Sports Betting

How Accurate Identity Verification Prevents Match Fixing

January 20, 2023
March 11, 2024
Table of Content

People and entities that are typically included in restricted lists and barred from accessing sports betting platforms still often find ways to bypass these restrictions and engage in match fixing. To fight this, sports betting platforms in Brazil must implement robust verification mechanisms that verify user identities in real-time and prevent restricted individuals from accessing online sports betting platforms

Passion for sports, especially football, is driving the growth of the sports betting market in Brazil. It is estimated that revenues from the online sports betting market in the country are likely to reach $600 mn in 2024 with a projected volume of $1.71 bn by 2028. This increasing popularity is also providing opportunities for bad actors to engage in match fixing. 

This is already an issue in Brazil; in 2023 a criminal ring organized with players and referees to manipulate the outcome of some football matches. Those involved bet on these fixed outcomes in order to benefit financially. 

With sports betting soon to be regulated in Brazil, this problem will likely only be exacerbated. 

The restricted lists

That’s why as part of these new regulations, the Brazilian government created a restricted list of those barred from sports gambling. The restricted list comprises government workers associated with regulation policy, those involved in professional sports such as players, coaches, and organizers, and legal entities, among others. 

However, bad actors can still find ways to bypass these restrictions and engage in online betting. These methods may include spoofing identities, using fake accounts, recruiting fans, and collaborating with intermediaries for match fixing. Furthermore, the ability to access online betting platforms from anywhere in the world makes it easier for people on restricted lists to participate in match fixing activities without getting detected or facing legal repercussions.

Match fixing adversely impacts operators and users

Match fixing can tarnish the reputation of sports betting platforms, undermine the integrity of their services, and erode customer trust. It distorts the fairness and transparency of the betting process, causing financial losses for both the sports betting operators and their customers. Failure to check and stop match fixing activities can result in regulatory scrutiny, legal consequences, and damage to long-term business viability.

For consumers, match fixing can cause financial losses as they may place wagers on matches that have already been compromised. Further, users may face legal action for participating in manipulated events. It may cost them significant amounts of time, effort, and resources to prove their innocence, causing mental trauma.

Measures to prevent online match fixing

To prevent fraudsters from engaging in online match fixing, the regulations in Brazil mandate sports betting operators to bar restricted individuals and entities from participating in online betting. Operators must, therefore, deploy stringent user verification protocols and continuous monitoring efforts to ensure only legally allowed persons can access their online platforms.

Robust identity verification can help operators ascertain whether the users are actually who they claim to be and verify the identity of customers in real-time and filter out fraudsters or restricted individuals, while allowing quick and secure onboarding for genuine customers. 

Further, sophisticated algorithms and monitoring systems can help detect suspicious betting patterns and irregularities, flagging potentially manipulated matches for further investigation. In addition, by spreading awareness and educating users about the risks and consequences of match fixing, operators can promote responsible gaming.

Robust identity verification can prevent match fixing

Robust identity verification is key to preventing online match fixing. By implementing stringent verification procedures and authenticating users, platform operators can verify the identity and age of individuals engaging in sports betting activities, thus deterring those on restricted lists from participating. Identity verification helps platform operators ascertain the true identity of users, making it difficult for banned players, officials, individuals with insider knowledge, or others on restricted lists, to conceal their identities and manipulate matches for financial gain.

Identity verification requires all users to undergo a thorough process where they must submit verifiable identification documents. These may include government-issued IDs such as passport, driving license, and the like. Operators check these documents for authenticity by matching them against government and other reliable databases. Additional verification techniques such as biometrics, facial recognition, and others may be used for further investigation. Fraudulent users are stopped from unauthorized access and unauthorized transactions, which helps protect genuine users from potential fraud and ensure compliance with regulatory requirements.

Caf - The partner of choice for sports betting platforms in Brazil

In view of the recent regulations for the sports betting market, operators looking to set up or expand their operations in Brazil need expert guidance to help understand and navigate the legal requirements. They need a partner with expertise and experience in the local sports betting market as well as the regulations governing the market in the country.

CAF, being a Brazil-born and headquartered company, knows the country’s sports betting market intimately. Having followed the evolution of the new regulations and engaging with the Brazilian authorities, CAF is the partner of choice for sports betting operators in Brazil for its knowledge of the local laws and regulations.

Caf’s platform has the ability to check if any person coming to a sports betting platform is related in any level to professional sports, such as technicians, referees, athletes, trainers, or administrators, or if they are on a restricted list for any other reason. 

With a suite of solutions that are tailor-made for the sports betting market in Brazil, CAF makes it significantly easier for operators to comply with legal obligations, including the new regulations, while efficiently balancing meaningful gaming experience with effective fraud prevention. CAF solutions maintain data security and integrity to ensure compliance with data protection laws, while at the same time offering the scalability needed to meet the needs of a growing business.

To learn how CAF helps leading sports betting platforms prevent match fixing in a user-friendly and legally-compliant manner, book a demo now.

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