Sumsub Releases its First KYC Guide For the Gaming Industry
- AML and KYC
- 17.08.2022 09:25 am
Sumsub, a regtech company that helps businesses stay compliant and fight digital fraud, has published “KYC for the gaming industry: Europe. A complete guide to balancing compliance, conversions, and fraud protection,”
The guide tackles the main challenges that the industry encounters today, such as staying compliant with KYC/AML regulations that vary from market to market, maintaining a high level of fraud protection, and building high-conversion verification flows.
The gambling market is set to grow by €140.05 billion from 2021-2026. With all this rapid growth comes greater exposure to different types of fraud attacks. So while gambling platforms aim to onboard more users as fast as possible, they can also neglect compliance and security requirements. This can lead to massive fines and even licence revocation, with several multimillion-dollar fines already hitting several industry players in 2022.
“Compliance with local KYC/AML regulations is vital for gaming companies, as a single regulatory fine can easily cost millions and permanently disrupt their ability to operate. Our guide dives into the regulatory specifics for gambling platforms in the EU and the UK, providing insights on local regulation of state bodies, general requirements and individual market initiatives and policies,” notes Andrew Sever, co-founder and CEO of Sumsub.
Building effective KYC flows that meet the full range of European regulatory requirements is another big challenge for gaming platforms. Each platform must develop a program in accordance with its gaming and market specifics. Such programs should be secure and compliant, but also fast enough to keep user conversion high. This guide shares best practices and easy practical steps to setting up level-based verification flow without compromising onboarding speed.