Sumsub announces KYC guide for the gaming industry

Wednesday 17 August 2022 13:30 CET | News

Regtech company that helps businesses comply with regulation and fight digital fraud, Sumsub, has launched its first KYC guide for the gaming industry in Europe.

The guide acknowledges the main challenges that the gaming industry is facing, including staying compliant with the latest KYC/ AML regulations that vary from market to market. In addition, it provides advice on how to maintain a high level of fraud prevention while still promoting a user-friendly and seamless online gaming experience.

According to the latest data in the industry, the gambling market is set to grow by up to EUR 140 billion until 2026, which also implies a higher exposure to different types of fraud and cyber-attacks. Thus, while gambling platforms aim to onboard as many users as possible, they might neglect compliance and security requirements, which can further lead to fines and even license revocation from the EU regulators.

Building an effective KYC guide

Creating a comprehensive KYC guide that meets all European regulatory requirements could prove a big challenge for gambling companies. Sumsub’s guide aims to de-burden companies from such work and shares a series of best practices and easy steps to set up level-based verification flows while not compromising the onboarding speed and keep a high user conversion rate.

The guide also offers a thorough FAQ section, answering to important questions such as the need for gaming platforms to be regulated to prevent criminal activity, including money laundering, terrorism financing, and multi-accounting.

Regtech company that helps businesses comply with regulation and fight digital fraud, Sumsub, has launched its first KYC guide for the gaming industry in Europe. 


Understanding the industry

For gaming platforms to remain compliant they must first understand the industry and its users. In its KYC guide, Sumsub provides a series of examples of problematic gaming behaviour, including handling self-excluded individuals, source of funds verification (SoF), and monitoring addicted gamblers, all initiatives that countries must take to protect their nationals.

Finally, the guide overviews the process of age verification, which could prove difficult, especially for teenagers and children who have access to their parents’ phones or mobile devices and can trick online KYCs by passing on their legal guardians’ credentials and even using their linked cards to make online purchases and deposit funds on gambling sites.

About Sumsub

Sumsub is an international tech company that has developed an in-house all-in-one verification platform for detecting fraud and providing ful compliance with AML/ KYC/ KYB regulations. It activates in more than 220 countries and territories and achieves high conversion rates in the industry, while providing full client verification in 50 seconds, on average. 
It counts for more than 2,000 clients across various industries, including fintech, crypto, transportation, and gambling. 

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Keywords: KYC, eKYC, regulation, regulatory sandbox, AML, compliance, fintech, gambling, fraud detection, online fraud, fraud prevention, identity fraud
Categories: Fraud & Financial Crime
Companies: Sumsub
Countries: Europe
This article is part of category

Fraud & Financial Crime


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