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I was wondering if anybody had a similar experience. Pokerstars has confiscated all my funds claiming I was using a poker bot, even though I didn't. They are refusing to release any funds and the account remains blocked. Is this a normal business practice they are using to enhance their revenues?

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    Are you sure you didn't used a bot ? Pokerstars are very good detecting them. – user1165 Oct 9 '15 at 1:01
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Pokerstars has confiscated all my funds claiming I was using a poker bot, even though I didn't

I find that difficult to believe, although it is possible. If Pokerstars software suspects bot usage it will bring up a captcha. If you fail that captcha that is strong evidence that you are botting. If you fail it multiple times they will likely lock your account.

If you honestly were not botting you should just contact their support. There is nothing any one here can do to help. Pokerstars staff can review your account more closely than their software can and confirm whether your activity seems human or not.

They are refusing to release any funds and the account remains blocked. Is this a normal business practice they are using to enhance their revenues?

No, preventing people from using their site would be a detrimental to the goal of increasing revenue. They make money off of rake and tournament entry fees, the more people playing the better for them.

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