The Financial Action Task Force (FATF) has published new risk indicators aimed at helping authorities and gambling industry participants identify financial crime threats linked to gaming and gambling activities.

The international watchdog said the growth of online gambling, cross-border platforms and digital payment options has created additional opportunities for criminals to misuse the sector. The analysis focused on risks connected with money laundering, terrorist financing and proliferation financing across casinos, gambling services and video gaming.

The project collected information from more than 80 jurisdictions, alongside input from industry organisations and researchers. It represents FATF’s first detailed review of risks associated with online and illegal gambling.

The organisation identified several warning signs, including criminals using gambling platforms to transfer funds without placing meaningful bets, creating multiple smaller transactions to avoid detection, and placing unusually large or coordinated wagers on events where competition manipulation may be suspected.

FATF President Giles Thomson said in a press release:

“Without robust safeguards, these sectors can be attractive gateways for fraudsters, professional money launderers and organised criminal networks. I urge all governments to take note of the risk indicators we have set out today, and put in place appropriate risk-based responses – from strengthening oversight and cracking down on illegal and offshore operators, to boosting international co-operation, and deepening public-private collaboration.”

Illegal Operators And Digital Payments Create New Challenges

FATF identified illegal gambling as one of the most significant concerns facing the sector. In some jurisdictions, illegal gambling markets are comparable in size to, or larger than, regulated markets.

Unlicensed offshore operators can present themselves as legitimate businesses while offering anonymity and incentives that attract customers and criminal actors. The watchdog warned that these platforms can become channels for financial crime because they often operate outside established regulatory systems.

The expansion of digital services has added complexity for regulators. Gambling platforms now rely on various payment methods, including cash, e-wallets, mobile money and virtual assets, which can create exposure to money laundering risks.

FATF stated that online gambling services increasingly allow rapid and anonymous cross-border transfers, as well as the movement of value between different forms.

The report also highlighted links between gambling platforms and wider digital ecosystems, including social media networks, software providers and online marketplaces. These connections may create additional opportunities for criminals when related companies operate outside existing regulatory frameworks.

FATF Lists Key Warning Signs For Authorities And Operators

The new indicators cover customer behaviour, transactions and business structures that may require further investigation.

FATF highlighted risks such as multiple accounts linked to different identities, payment details that do not match customer information, questionable identity documents and connections between gambling operators and criminal networks.

Other indicators include deposits from multiple third-party accounts, frequent use of virtual assets, repeated use of virtual private networks, fake account information and attempts to avoid customer due diligence procedures.

The watchdog also pointed to unusual betting activity, including wagers placed across all possible outcomes, automated betting patterns and suspicious transaction behaviour connected with potential match manipulation.

At an organisational level, FATF warned about ownership structures designed to hide beneficial owners. The report noted that companies may use nominees, trusts or complicated shareholding arrangements to avoid regulatory checks.

The organisation also raised concerns about operators that expand quickly into payment or virtual asset services, unexplained increases in revenue or customer activity, and business relationships with technology or service providers that appear to lack a clear commercial purpose.

Global Coordination Needed To Address Evolving Risks

FATF said differences between national gambling regulations can allow criminals and illegal operators to exploit gaps between jurisdictions. These differences may also limit cooperation between authorities and private companies.

The report noted that traditional casinos have historically faced risks from organised crime groups attempting to gain ownership or influence over operations. Online gambling environments can increase those risks because of complex ownership arrangements and international structures.

The organisation recommended stronger licensing and registration procedures, improved information sharing between public and private sectors, and closer international cooperation on online and illegal gambling activity.

FATF also noted that illegal gambling operators may continue to pose greater risks as technology develops and payment methods become more accessible.

The new guidance is intended to provide practical support for regulators, law enforcement agencies and businesses by helping them identify suspicious activity and strengthen responses to financial crime threats affecting the gaming and gambling industries.