FDJ’s Senior MLRO & AML Governance Officer, Piotr Lisak shared his perspective on what gambling can learn from other industries, especially banking and fintech, when it comes to developing smarter KYC processes to meet the increasing regulatory demands placed on operators.
What can the iGaming industry learn from other sectors in terms of tapping into new technology to bolster the user experience?
In my opinion , such solutions can come from many different sectors.
Firstly banking, through the implementation of AI-powered chatbots and automated customer service tools that financial institutions use, providing 24/7 support.
Secondly, mobile-first authentication. Through the adoption of biometric authentication methods, like facial recognition and fingerprint scanning, and from fintech companies that streamline user onboarding while ensuring robust identity verification. Such companies closely develop measures which allow the use of e-ID in accordance with the EU laws.
Finally, blockchain integration through the use of decentralised identity verification systems from cryptocurrency platforms to create tamper-proof KYC records while maintaining player privacy. Such systems can be superior to the standard approach.
Overall, EU AML Directives (AMLD4/5/6) encourage the use of innovative technologies for enhanced customer due diligence, provided they meet regulatory standards for identity verification and data protection.
How do operators convert what they have learnt from others into tangible improvements to their own KYC strategies?
This is done mostly through technology integration, multi-layered verification and dynamic updates to the customer risk profiles through proper data analytics integration.
How can AI technology change KYC processes for operators, and what problems can it solve?
AI reduces false positives in suspicious activity detection, allowing compliance teams to focus on genuine risks rather than administrative tasks. Furthermore, automated identity verification using AI can complete KYC checks in under 10 seconds compared to traditional manual processes that take 24-48 hours. Also, AI can lead to cost reductions and enhanced fraud prevention, including identifying deepfakes, document forgery, and identity theft that human reviewers might miss.
How does tapping into best practices from outside the iGaming industry improve the customer experience for players?
The implementation of one-click KYC solutions like those used by fintech companies reduces player drop-off rates during registration. A good example would be to look to implement clear progress indicators and real-time status updates during verification processes, like e-commerce platforms. As the regulatory complexity across the industry increases, it is important that operators can provide a smooth and efficient verification experience in order to avoid a leakage to the unlicensed market. Being able to implement smart technology and AI will provide a significant improvement for both customers, and their wellbeing, as well as the licensed industry.
Which industries in particular do you believe iGaming can learn the most from to enhance their KYC processes?
As mentioned before, I would include fintech companies, e-commerce platforms and even regulated crypto exchanges. Technology, clear interfaces, process updates and automation is the key.
The UK is implementing new age verification requirements for certain types of content, do you believe this could have any impact on the gambling sector and what lessons could other sectors learn from gambling’s KYC development?
This refers to the ‘think 25’ concept. This could have a potential impact on reducing underage gambling, perhaps even enhancing the public trust in the industry. For sure the impact would also be in relation to data privacy concerns and how such extra data is handled from users’ perspective. Also, as with all new developments there could also be a cost impact.
Can you tell us more about the importance of the SBC Summit and what you are looking forward to learning from the event?
SBC Summit is the leading global iGaming conference. I am really eager for networking opportunities such venue provides as well as learning about best practices in the wider industry which includes for example the service providers and payment partners and new technologies in the sphere of AML.
VIP Event Pass: Access to the show floor, all networking areas and conference sessions, complimentary food and drink from the summit’s food festival and access to exclusive evening networking sessions and parties.
Group VIP Event Pass: Get your passes for just €400 each when you purchase for three or more people (a saving of €200 per ticket!) – perfect for bringing your team along.Expo+ Pass: Access to the show floor, conference sessions and daytime networking only.
