Age Verification System

Age verification is linked to the traditional identity verification process because it is often used along with other Know Your Customer (KYC) procedures. In these cases, confirming a person’s age is part of the broader identity verification process. That said, even without mandatory KYC compliance, when businesses sell age-sensitive products and services, companies still have a responsibility to ensure they are interacting with adult customers.

Government-issued ID documents are often used for age verification because they are a straightforward and simple solution to confirm the buyer’s age and identity online. 

The common workflow for this process includes these steps:

• The user takes a photo of their ID.
• The system extracts personal data and analyzes the document’s authenticity
• The user takes a photo of their face as part of the selfie check. 
• The user’s selfie is compared to their document photo.
• Information from the ID is verified against the user’s details, confirming their legal age.

Age gates are designed to restrict access to specific website features or content to prevent children from engaging with unsuitable material. An example of an age gate would be a confirmation box verifying that the user meets the required age to access certain content. 

While age gates offer some protection, they have their drawbacks. Age gating is easily bypassed since this method relies on user honesty. In contrast, age verification systems verify ID documents or cross-reference personal details with third-party data sources, providing digital platforms with a secure and reliable way to ensure only individuals of appropriate age access online activities.

Since selling age-restricted items or services to minors is both unethical and illegal, there are some age-restricted markets that are required to implement age verification systems by law. 

For example, common age-restricted markets in the US are:

• Lottery tickets
• Online gaming
• R-rated movies
• Dating sites
• Fireworks (state-dependent)
• Aerosol paint
• Certain types of guns
• Certain types of razors

That means age verification helps companies prevent underage visitors from making unauthorized transactions and ensures compliance with international age verification regulations, such as COPPA, GDPR, or the UK Gambling Act.

In-person age verification is the process of identifying customers and approving their age face-to-face. In the meantime, with online transactions taking place, digital platforms have built alternative age verification systems. 

So, the process varies depending on the verification method, with two main types:

• In-person age verification. Similar to buying alcohol at a liquor store, it involves presenting a passport or driver’s license. The seller checks the document’s authenticity using security features like NFC chips or barcodes and looks for signs of forgery, such as unusual fonts or holographic foils. 
• Online age verification. The customer scans a valid ID, and facial recognition technology confirms if their features match the ID photo. The final step involves cross-referencing data from government and public databases.

Age verification is important for three key reasons, which include verifying customer ages to:

• Comply with regulatory requirements and avoid fines. 
• Prevent fraud and protect minors from accessing age-restricted content.
• Ensure security and build a strong reputation. 

So, to stay competitive, digital platforms often use AI-powered age verification systems in order to provide both secure and seamless verification experiences. Otherwise, they risk losing customers to other platforms.