Multi Accounting: The First Step in Promotion Abuse : About Fraud

Fraudsters make dozens of fake accounts to help them do things like abuse promotions, scam legit users, and evade bans, but these fake accounts also have a secondary effect—they can distort your core metrics. Left unchecked, fraudster accounts might even skew the data enough to affect decisionmaking, especially in teams like marketing. Money mules are recruited people who have a good banking history and who are later used to transfer illicit funds in order to create their true origin. This practice is a form of multi-accounting because multiple accounts are managed at once to prevent getting caught with money laundering schemes. Detecting these mules is challenging because they often use legitimate information, including KYC documents, for account creation.

Identifying Suspicious Activity: 11 Red Flags in Financial Transactions

Rather than manually comparing user similarities, an automated fraud prevention system can handle this task. Through a single API connection point, all data is gathered and analyzed in real time, enabling automatic decisions based on custom rules tailored to each business’s specific needs and usage patterns. By integrating automated fraud solutions, digital banks can proactively detect and block fraudulent activities, safeguarding their growth initiatives and mitigating future fraud risks. Tools like SEON’s fraud prevention solutions can reveal hidden connections between accounts, reducing false positives and enhancing overall account integrity.

In the realm of online activities, terms like “gnoming” and “gubbing” might evoke whimsical fantasies akin to a journey through Middle Earth. However, these peculiar terms harbor a darker reality, emblematic of a fraudulent practice known as multi-accounting. Far from a mere jest, multi-accounting poses a significant threat, estimated to incur billions in losses annually for the iGaming industry alone. Starting in June, as a requirement before all new accounts’ first purchases, identity verification will be required to minimize multi-accounting and promotional abuse.

Protecting your online casinos and sports betting sites is crucial to maintaining the success of your business. Although iGaming fraud prevention can be difficult, the benefits far outweigh the negatives. Gnoming, or multi-accounting, involves players creating multiple online gambling accounts to help one player win or increase their odds of winning over other players. Operators should be alert to sophisticated account takeovers, AI-generated fake identities, coordinated multi-accounting, and advanced bonus abuse tactics.

• When a user logs in from an unknown device, notify the account holder that an attempt has been made to sign in from a new device.
• If fraudsters just made dozens of fake accounts and never used them, maybe it wouldn’t be such a critical issue.
• To do this you need to buy a copy of the game and an account for each of the computers if it is paid.
• From a compliance standpoint, using automated RegTech tools and behavioral monitoring systems helps detect suspicious activity and such warning signs in real-time.
• These specialized browsers randomize or spoof browser attributes, making it much harder to recognize when the same underlying environment is reused.

When an account is suspected to be participating in fraudulent activity in breach of NBA Top Shot’s Terms of Service, the account will be off-boarded and the account’s collection will be locked indefinitely. Moments in accounts that are proven to be fraudulent will be sent to the Locker Room within 180 days. Rare and Legendary Moments from these accounts will eventually find their way back into circulation through special Locker Packs. The reality is that many of these accounts are working together but are different people with different social media presences. As a result, we’re reviewing the qualifying factors of what determines activity against the spirit of engagement on NBA Top Shot.

Introducing Incognia ID: Identify the user behind the device

This approach helps the user to evade detection and engage in prohibited activities, such as avoiding being banned on the original account or accessing first-time-only account bonuses. Even though it might appear a harmless act, in the context of online platforms, multi-accounting is tightly linked to fraud. Sensfrx is an AI-powered fraud prevention platform built to detect and block sophisticated fraud without disrupting the experience for legitimate users. Designed for speed, accuracy, and ease of integration, it helps businesses stay ahead of evolving threats in real time.

Multi-accounting schemes are often used to exploit promotions, evade bans, or bypass credit policies. Multi-accounting examples include using multiple accounts for fake reviews (for example, in e-commerce, to post negative or misleading product reviews to harm a competitor’s brand). Here, fraudsters use self-referrals and their own multiple accounts to sign up as affiliates to earn commissions. The number one prevention method to stop multi-accounting on any online platform is to conduct identity verification checks. Of course, it doesn’t make you a fraudster but those who purposefully create multiple accounts to abuse a system are crossing a fine line between customer benefits and company damage and hence, perpetuating iGaming fraud.

Check out our product sheet to find out how we officialstakebet.com can help protect your business from iGaming fraud today. Basic information collected during registration—such as email address, phone number and IP address—provides an initial foundation. Balancing user convenience with security increases player satisfaction and loyalty, directly impacting long-term profitability and competitiveness.

Sometimes, fraud rings use multi-accounting for phishing and other scams, which lead to further crimes, like account takeover (ATO) fraud and unauthorized purchases. Once this level is reached, the victim disputes the transactions, which then turn to chargebacks and losses for the online platform. Fraudsters also use proxies or virtual machines to create convincing user profiles that appear legitimate, shining a negative light on the business, which is used as a channel for fraud. Multi-accounting fraud persists due to the potential for illicit profits by exploiting system vulnerabilities.

If you have just learned what multi-accounting is, we will discuss it in this article, its potential risks and why gamers opt to create multiple accounts. Regularly check your transaction data to identify any suspicious activity that could indicate fraud. Some red flags include unusually large bets or frequent deposits from multiple accounts.

When combined with virtual private networks (VPNs) and proxy networks, fraudsters can further obscure their locations, simulating global distribution or sidestepping IP-based controls. Also make sure your host backs up your data to a remote server so that you can easily restore it in case your site is hacked. Getting buy-in from other teams in your organization means framing the story in a way that explains the long-term growth benefits of tackling multi-accounting at the source.

While fraudsters perpetuate the majority of these attacks, even customers you might know can take advantage of your generosity and commit fraud. I have always worked with a growth team very closely and how I have tackled this problem is by showing them the life cycle or the lifetime value of a customer. Like we mentioned in the introduction, knowing about the fake accounts is only part of the equation. Having a successful platform with an actively growing user base is a great thing, but it does come with its own challenges. The more popular a platform is, the more likely it is that fraudsters might want to target it.

In the online dating world, some users may create multiple profiles to deceive others, evade bans, or manipulate their online persona. “Gnoming” and “Gubbing” are strange terms and sound like activities you would find in a Lord of the Rings film. But behind these funny terms lies a fraudulent online activity called multi-accounting.

Evaluate email addresses used during sign up to identify suspicious account creations. With technology, you can find out when the email was created, how often it has been used, and when it was last used. The card verification value (CVV) is a three-or-four digit number on a credit or debit card that’s meant to help verify online purchases.