The Malta Gaming Authority (MGA) has encouraged industry stakeholders to engage with an EU-wide consultation on anti-money laundering guidelines to ensure that changes are ‘grounded in the operational realities of the gaming sector’.
The EU Anti-Money Laundering Authority (AMLA) is currently running consultations for updates to three draft regulatory technical standards related to customer due diligence, identifying business relationships, occasional and linked transactions and the determination of lower thresholds and reporting material weaknesses.
The MGA said: “Early and meaningful engagement is essential, as well-informed input can help ensure that the resulting technical standards remain proportionate, well-calibrated, and responsive to sector-specific risks.
“In view of the ongoing transition to a more unified and risk-sensitive EU legislation, this consultation phase offers licensees a valuable opportunity to familiarise themselves with the proposed measures and to contribute feedback that reflects operational realities within both the online and the land-based gambling sector.”
The AMLA was founded in 2024 to oversee the EU’s wider AML directive and is leading more centralised oversight and stronger coordination between authorities across the union.
This latest round of consultations seeks to refine technical standards and bring in the perspective of non-financial sectors, such as gaming, which were not consulted in the previous round of reviews led by the European Banking Authority.
The consultation related to due diligence is set to end on 9 March, with the other two closing on 8 May.
iGaming presents heightened AML risk
The gaming industry has long held concerns for authorities surrounding AML, as evidenced by the latest guidance released by the government of the Isle of Man – a jurisdiction that draws many comparisons to Malta, given the respective Islands’ statuses as gaming hubs for Europe.
The National Risk Assessment (NRA), which covers money laundering in the gaming sector, rated the overall sector and the online gambling sector as both carrying a medium-high risk for money laundering.
The land-based gaming sector was ranked as medium-low due to its smaller size and lower transaction volumes compared to iGaming.
The NRA cited criminal ownership and control of gambling businesses via front companies, exploitation by organised crime groups – particularly from East and Southeast Asia – and criminals using false or stolen identities to access gambling services as reasons for the rating.
It also warned that the threat of artificial intelligence is continuing to increase through the use of the technology to create deepfakes, obscure identities and automate fraud.
On the findings, the Isle of Man’s Gambling Supervision Commission (GSC) said: “The GSC recognises the legitimate concerns of licensed operators and stakeholders, many of whom have seen growing uncertainty in markets and regulatory regimes.
“Work is already underway to strengthen our controls, improve oversight, and enhance cooperation across government, regulators, and industry. These findings will help ensure that the Isle of Man maintains a resilient, responsible, and internationally trusted gambling sector, aligned with our wider financial crime strategy.”
