Report by Sumsub
State of Identity Verification in the iGaming Industry 2025
Key Findings
Across all industries, there was a 700% global increase in deepfake fraud between Q1 2024 and Q1 2025.
iGaming operators cited the top threats as: Identity fraud: 64.8%, Money laundering: 64.8%, Bonus abuse: 63.8%, Payments fraud: 31.4%, Account takeovers: 23.8%.
Europe saw a 5.1% increase in fraud rates in the iGaming industry, from 1.18% in 2024 to 1.24% in 2025.
Synthetic identity document fraud rose by 195% between Q1 2024 and Q1 2025.
Legitimate players typically register around 6 p.m. in the iGaming industry.
Latin America (LATAM) saw the steepest fraud rise in the iGaming industry, with a 31.8% increase, from 0.88% in 2024 to 1.16% in 2025.
Africa recorded the biggest drop in fraud rates in the iGaming industry, with a 14.7% decrease, from 2.99% in 2024 to 2.55% in 2025.
Reusable KYC solutions have helped slash return-user verification time by half in the iGaming industry.
Average verification time across the iGaming industry decreased from 32 seconds in 2023 to 25 seconds in 2025.
83% of iGaming operators have experienced fraud in the past year.
The deposit stage is now the most targeted point in the user journey, with 41.9% of iGaming operators citing it as the primary fraud flashpoint. Other vulnerable stages include withdrawals: 22.9% and in-game activity: 11.4%.
34.3% of iGaming operators saw a large spike in AI-powered fraud.
Nearly a third (29.5%) of iGaming operators found keeping up with new regulations "very challenging".
Asia experienced a 6.0% decrease in fraud rates in the iGaming industry, from 3.49% in 2024 to 3.28% in 2025.
North America had a 5.2% increase in fraud rates in the iGaming industry, from 1.16% in 2024 to 1.22% in 2025.
Middle East and North Africa (MENA) observed a 4.5% increase in fraud rates in the iGaming industry, from 2.01% in 2024 to 2.10% in 2025.
Fraudulent activity in the iGaming industry most frequently occurs between 4-8 a.m..
78% of iGaming operators encountered a growth in AI-generated fake documents in the past year.
Legitimate players typically register around 6 p.m. in the iGaming industry.
The deposit stage is now the most targeted point in the user journey, with 41.9% of iGaming operators citing it as the primary fraud flashpoint. Other vulnerable stages include withdrawals: 22.9% and in-game activity: 11.4%.
iGaming operators cited the top threats as: Identity fraud: 64.8%, Money laundering: 64.8%, Bonus abuse: 63.8%, Payments fraud: 31.4%, Account takeovers: 23.8%.
43.8% of iGaming operators reported a noticeable increase in AI-powered fraud over the past year.
iGaming operators using Non-Doc verification reported a 53% drop in processing time and 35% more clients onboarded successfully.