FATF Issues Updated Report on Money Laundering Risks Across Gaming and Gambling

The Financial Action Task Force released its report titled “Risks of Gaming and Gambling” in September 2026, and this document updates the organization’s 2009 analysis of the casino sector while expanding coverage to additional forms of gaming. The report identifies land-based casinos, online casinos, and sports betting as carrying the highest money laundering risks, whereas lotteries and scratchcards register lower risk levels according to the data collected. Experts compiled responses from questionnaires submitted by 80 jurisdictions, received additional input from 29 more jurisdictions, and incorporated direct consultation with industry participants to build the findings. This broad base of information allowed the task force to map current vulnerabilities across different gaming formats and payment channels that operators commonly accept.

Scope of the Updated Analysis

The 2026 report builds directly on earlier work yet incorporates new payment methods and operational models that have emerged since 2009, and it places particular emphasis on how cash transactions, e-wallets, and virtual assets continue to present elevated risks when used in gaming environments. Observers note that these payment options often allow rapid movement of funds across borders, which can complicate efforts by regulators to trace origins and destinations of money flows.

Researchers examined both regulated and unregulated operators during the review process, and they highlighted the challenges that arise when offshore platforms operate without consistent oversight from national authorities. Data gathered through the questionnaires revealed that many jurisdictions still struggle to apply uniform standards to entities located outside their direct regulatory reach.

Key Risk Indicators Identified

According to the report, land-based and online casinos along with sports betting platforms show the strongest exposure to money laundering schemes because of high transaction volumes, rapid payout structures, and opportunities for structuring bets to avoid detection thresholds. In contrast, lotteries and scratchcards demonstrate lower risk profiles due to smaller individual stakes, fixed prize structures, and more limited opportunities for layering funds through multiple accounts.

The task force also flagged specific vulnerabilities tied to certain payment instruments, and it pointed out that cash remains prevalent in many land-based venues while e-wallets and virtual assets facilitate quicker, sometimes less transparent transfers in online settings. Figures from the questionnaires indicated that jurisdictions with weaker controls on these methods report higher incidences of suspicious activity that requires follow-up investigation.

Calls for Enhanced Oversight

The report calls for stronger regulatory measures aimed at unregulated and offshore operators, and it stresses the need for improved information sharing between jurisdictions to close gaps that money launderers currently exploit. Those who reviewed the document note that consistent application of customer due diligence requirements across borders would reduce opportunities for illicit funds to enter gaming systems undetected.

Industry consultation revealed practical obstacles that operators face when implementing controls, such as varying legal frameworks and differences in technological capabilities among smaller platforms. The task force incorporated these insights to recommend targeted guidance rather than one-size-fits-all mandates, and the resulting recommendations focus on risk-based approaches that allow regulators to prioritize the highest-threat areas first.

Implications for Regulatory Practice

Jurisdictions that participated in the questionnaire process now have access to updated risk indicators that they can integrate into their national frameworks, and many are expected to adjust licensing conditions or supervisory priorities in response. The report also encourages continued dialogue between regulators and industry representatives to ensure that new controls remain effective without unnecessarily disrupting legitimate gaming activities.

Evidence gathered during the consultation phase showed that early detection of suspicious patterns often depends on real-time monitoring systems, and the task force highlighted examples where jurisdictions successfully combined transaction data with player behavior analytics to flag potential issues. These examples illustrate how coordinated approaches can strengthen oversight while maintaining operational efficiency for compliant operators.

Conclusion

The FATF report “Risks of Gaming and Gambling” provides a comprehensive update that reflects changes in technology, payment methods, and market structures since the 2009 analysis. By drawing on input from 109 jurisdictions total and direct industry feedback, the document supplies regulators with current risk indicators that can guide future policy decisions and enforcement priorities. The emphasis on cash, e-wallets, virtual assets, and unregulated offshore operators underscores areas where continued attention will be required to maintain integrity across the global gaming sector.