Don’t gamble with your regulatory responsibilities

Is problem gambling becoming something of a public health emergency? This is the question on everyone’s mind in the iGaming industry, and to be completely frank – we need to take it seriously.

Look at the UK, and you’ll find that the Gambling Commission has, over the years, been gaining ground when it comes to its regulatory reach. This probably comes as a direct result of a fair, few well-documented issues across the industry – specifically surrounding problem gambling, insufficient anti-money laundering measures, and rising concerns about underage players – none of which have been properly squashed yet. Because of this, stricter legislation is more than likely on the horizon. Responsible gambling and serious regulation aren’t just expected, but mandatory for any iGaming business looking to compete and succeed in the long-term. Improved player protection measures and quicker, more effective detection of addictive behaviour patterns is at the very top of the priority list, with tighter regulation surrounding anti-money laundering measures also at the centre of the discussion globally.

The biggest industry names are sitting up and paying attention to these new regulatory demands, investing significant resources and budget in a bid to not only meet these challenges head-on, but surpass expectations to boot. The issue remains, however, that changes to gaming regulations are coming hard and fast, with most industry players struggling to keep up.

Finding the balance between compliance and customer experience

So, the real question is, are your systems robust yet agile enough to keep up with these regulatory changes? How will this impact your most loyal customers and VIPs? Industry leaders do place a premium on compliance, but they also must meet and anticipate changes without compromising on customer experience. iGaming companies need to maintain a compliant, frictionless, efficient experience for their genuine players, but actually getting there using a manual approach or legacy systems in this dynamic regulatory environment is becoming more difficult every day. Future-proofing your business is more important than ever before, so try and invest in the latest technology early on in the game.

First, up the ante and identify at-risk players ASAP with behavioural monitoring. You’ll be able to provide support earlier on, and when it comes to anti-money laundering measures, it’ll allow you to hone in on suspicious behavioural patterns on a granular level. Next, look at ways to effectively leverage technology to drive change and meet ever-changing industry demands. You might need to overhaul your legacy systems first, but there are a whole host of modern solutions available to keep you ahead of the game.

Work smarter with automated transaction monitoring

ComplyRadar utilises a full risk-based approach to eliminate disruption to genuine customers, detect potential criminal or problematic behaviour, and demonstrate full ongoing compliance. It sends you notifications on the transactions that matter and enables you to automatically apply a full-pattern analysis to instantly see suspicious transactions in real time. You can then manage flagged transactions through a comprehensive, fully audited review process leading to the closing of a case. For more information on how ComplyRadar can help you maintain the right balance between stringent regulation and customer experience, contact us today.

Why manual AML Transaction Monitoring processes do not scale in iGaming & Gambling companies

With the rise of money laundering and online fraud, iGaming & Gambling companies everywhere have had to up their game and optimise their transaction monitoring solutions against such risks. Leading iGaming & Gambling businesses across the globe have even been heavily fined by the relevant authorities for failures related to compliance. Therefore, a good AML transaction monitoring solution is important not only to prevent crime and protect your brand, but also to keep regulators happy and to grow your business. In this article, we measure the weaknesses of manual transaction monitoring against the strengths of its automatic counterpart. 

Recurring problems with manual AML transaction monitoring

Reduced Productivity

There are only so many cases and transactions that each member on the team can work on manually, which results in a significantly lower throughput. When cases are highly involved, a manual transaction monitoring process may not have the capacity to deal with them as quickly or as efficiently as required. 

Higher Costs

The number of cases and transactions will increase as your business grows, leading to a need for more employees to handle the growing number of cases and thus resulting in a greater overall expense.

Lack of consistency

Each compliance officer processes things in a different way due to differing working styles. The resulting inconsistency means that suspicious activity may only be detected by a certain number of officers. Because manual transaction monitoring relies on the capacity of human memory, officers often need to pause their work to take notes, having to stop whatever they are doing and start again. This situation is often aggravated when there are multiple cases to work on.

More room for error

Transaction monitoring processes have to evolve with the times as techniques for money laundering change. This means having to train and re-train old and new employees – and even with the best instructors, mistakes can frequently occur when processes change or when there are judgement calls to be made.

ComplyRadar monitors transactions relating to individuals, accounts, and entities to detect suspicious activity – quickly and effectively. It automates the AML transaction monitoring process, empowering you to automatically identify and react to suspicious behaviour in real-time or retrospectively while minimising unnecessary alerts.

ComplyRadar also enables you to:

  • Avoid reputational risk and potential fines
  • Improve customer experience and increase retention
  • Reduce human error and reliance on reports
  • Automate time-consuming manual compliance processes
  • Decrease the number of tools needed for the compliance team
  • Easily adapt to ongoing regulatory changes
  • Simplify auditing through an electronic audit trail of investigations

For more information on how ComplyRadar can help you maintain the right balance between stringent regulation and customer experience, contact us today.