Walking the compliance tightrope: KYC/AML in iGaming payments
Payments have quietly become the lifeblood of modern life. With just a few taps on a smartphone, bills are paid, coffee is ordered, and groceries arrive at the door. Technology and convenience have merged to make transactions quicker, easier, and more accessible than ever.
In today��s digital-first world, instant gratification is no longer a luxury �� it��s simply what people expect, especially when it comes to moving money.
The same demand for speed and ease holds true in the world of iGaming. Online 바카라s, sportsbooks, and betting platforms compete fiercely for players�� attention, where smooth, instant payments have become central to the user experience. Deposits need to be effortless, withdrawals quick, and every transaction secure �� all while crossing borders, currencies, and a maze of regulations.
Yet, beneath this seemingly simple system, the iGaming industry operates under intense regulatory scrutiny, where Know Your Customer (KYC) and Anti-Money Laundering (AML) obligations are not just box-ticking exercises but essential safeguards against fraud, financial crime, and reputational risk.
Operators have little choice but to walk carefully. One error �� whether missing a fraudulent transaction or failing on compliance �� can trigger hefty fines, suspended licences, or worse. It��s a tightrope act, where the real challenge is blending rigorous compliance with a seamless payment journey.
At SiGMA Asia 2025, this very challenge took centre stage in our conversations with industry experts. We had a conversation with Kris Galloway, Product Head at Sumsub, and Ariyo Aboumahboub, Business Development Manager at InfiPay Tech, who shared valuable insights into how operators are managing these high-stakes demands.
UX, compliance & product’s role
As Kris Galloway explains, the product team plays a crucial role in ensuring that compliance, fraud detection, and payments work in harmony.
Kris stated, “The way I would put it is that compliance without UX is friction, and UX without compliance is basically just a lawsuit waiting to happen. And product sits in the middle of these two to make sure that both essentially speak the same language.”
“Our product team is that bridge between compliance, fraud detection, and payments,” he added. “We make sure that transactions flow seamlessly, while ensuring every compliance and fraud checkpoint is thoroughly reviewed. We work closely with our risk, compliance, and fraud teams, making sure every product decision ties back to protecting both the customer and the company, all while maintaining smooth payment flows.”
Ariyo Aboumahboub echoes a similar sentiment. “The role of the product team is to ensure fast, smooth, seamless transactions while keeping every checkpoint tied to KYC and compliance,” he notes. “All transactions must align with regulations based on the country, currency, and jurisdiction involved.”
Both agree that real-time monitoring is essential. Ariyo explains, “Our tools screen transactions live to detect any suspicious behaviour or fraudulent activity. The most important thing we are doing now is integrating AI into our compliance and product teams. This allows us to create a smoother experience for users while reducing fraud.”
Why integrated compliance matters
One of the major challenges for operators today is the divided nature of compliance tools. Kris points out that most platforms utilise separate tools for various aspects of compliance, including fraud detection, sanction screening, and KYC, and these systems often fail to communicate with each other in real-time.
“Today, we rely on manual work to connect the dots,” Kris explains. “Stacks are like patchwork quilts. We need an integrated stack where everything communicates instantly. If a transaction is flagged for fraud, the KYC tool and sanctions tool know immediately. What’s missing is the automation layer �� the intelligence that connects these tools for proactive decisions.”
Ariyo echoed that flexibility is often lacking in current systems. “Most companies still use outdated tools that aren’t fast or updated enough for today’s technology, especially now when everything should connect to AI. What’s missing is flexibility, updated models, and properly trained AI systems.”
This gap has made operators vulnerable to compliance failures and operational inefficiencies. With rising regulatory demands, integrating these tools into a unified system is now essential.
Managing forex within payments
Payments in iGaming are further complicated by foreign exchange (forex) volatility. 바카라ers deposit in one currency, while operators settle in another, exposing them to exchange rate fluctuations.
Most payment gateways address this by locking exchange rates when a transaction begins. “We lock the exchange rate the moment the transaction starts so that both the merchant and user know exactly how much is being sent or received,” Kris explains. “This shields both sides from forex swings during transaction processing.”
Ariyo further explains how their system supports different currencies and transaction speeds. “We lock the rates for a specific time window, which varies based on the currency. For South Asian currencies with slower fluctuations, we can lock rates for a longer period. For fast-moving pairs like USD to Euro, we keep it shorter to manage the risk.”
When it comes to anti-money laundering, both companies employ a hybrid system. Transactions are automatically screened by AI systems in real-time, followed by human review for added assurance.
“As much as possible, we are building in-house machine learning to reduce money laundering risks even further,” says Ariyo. “The combination of real-time AI monitoring with post-transaction human checks gives us the best coverage.”
AI & ML: the next big thing in fraud detection
Another question that struck us was the future. As we know, Artificial Intelligence (AI) and Machine Learning (ML) are rapidly reshaping fraud detection in iGaming payments. We asked how AI and ML will alter fraud detection in the future; their insights are worth mentioning. Both experts view this as a double-edged sword, a powerful tool for both defenders and fraudsters.
“AI will become increasingly sophisticated at detecting patterns humans might miss,” Kris explains. “Till now, it has helped us to process thousands of transactions per second, learning from historical data far faster than any human team. But bad actors are also using AI to develop more complex fraud tactics. It’s always going to be a cat-and-mouse game.”
But there’s a bright side too. Ariyo expanded on the benefits of AI’s capacity to recognise patterns. “AI can easily learn the patterns of suspicious behaviour �� the number of transactions, user behaviour, and even distinguish between bots and humans. In just two or three years, AI could match human expertise in detecting fraud but with far greater speed.”
However, both stress the importance of combining AI’s speed with human oversight. While AI can rapidly flag suspicious transactions, human reviewers are still needed to evaluate context and nuances that machines may misinterpret.
A global regulation for payments?
Global iGaming operators face a significant challenge due to inconsistent regulations across various jurisdictions. With operations in multiple countries, companies navigate a complex web of varying rules.
“That’s the dream, right? Global harmonisation,” Kris says with a smile. “But realistically, I don’t see that happening anytime soon. Every country has its own regulations, politics, and risk appetites. We might see some standardisation around anti-money laundering, but fragmentation will remain for a very long time.”
Ariyo is even more blunt. “Let’s be honest �� it’s a dream that won’t come true.” He added, “Every country has its own rules and political interests. There’s no way to have one centralised system. It’s like expecting one central bank for the whole world �� impossible. Every region must follow its own regulations. We won’t see unified rules for at least two to three decades.”
Therefore, for their means, countries must maintain country-specific compliance programs, tailored policies, and adaptive technologies that can meet the demands of each jurisdiction �� a costly and complex undertaking.
All in all, payments sit right at the heart of iGaming’s rise. But there’s no room for compromise between a smooth user experience and substantial compliance. 바카라ers want fast deposits and easy withdrawals; regulators expect rigid controls to keep crime at bay. Striking that balance isn’t easy.
That’s why operators are pouring resources into more innovative compliance tools, using AI where it helps, keeping human eyes where it matters, and navigating a maze of international rules. The risks are real, but so are the rewards.
Experience the pulse of global iGaming at SiGMA Euro-Med, 01�C03 September 2025. Join 12,000+ delegates, 400+ exhibitors, and 400+ speakers at Malta��s premier gaming event. From sunlit networking to high-stakes innovation, this is where the Med meets the movers.
