IMO this isn't about preventing fraud. No offense but I sometimes find some elements within TUG to be a little overly paranoid about scammers. Yes, they obviously exist, but in the grand scheme of things, they are a tiny minority (a rounding error) on the more reputable booking platforms. Redweek is one of the more reputable booking sites, and they will remove scammers quickly if / when they are identified.
Redweek appears to be trying to move more into the space occupied by AirBnb, VRBO, etc. In essence, trying to generate revenue via increased fees and the carry interest collected on rental deposits. If they are able to increase revenue in a meaningful way, not only do they benefit financially right away, but it also makes them a more attractive acquisition target in a world where M&A has become the only meaningful way for larger enterprises to grow. Arrivia already did this when they acquired Redweek in 2022 but based on total sales they could potentially be an M&A target themselves at some point.
However, it will be interesting to see how this works out for "non-Marriott type" listings. Smaller independent resorts, Fixed Week units, etc. And all the shoulder season rentals where people are trying to recover their maintenance fees and post on Redweek for not much profit or even a loss with the $39.99 listing.
Although this change will result in me personally using Redweek less, I'm guessing Redweek has done the math. Just as one example, if they can convert every single Marriott listing into Proctected / Verified versus the DIY option, I am guessing that would be a significant increase in revenue. Maybe enough to offset the DIY listings elsewhere they might now lose?