Sumsub published its annual industry fraud report, analyzing more than three million verification attempts. The findings indicate a 40% increase in fraudulent activity across the iGaming sector between 2024 and the first quarter of 2026.
Suspicious transaction volume reached 4.5 times the previous year level during Q1 2026. The average value of a flagged transaction climbed from $3,960 to $6,500. Global fraud incidence settled at 1.53%, marking an 18% year-over-year rise. Processing fraudulent applications now requires 4.6 times longer verification time than standard user onboarding.
AI-Driven Verification Challenges
Artificial intelligence tools drive the sector growth. Operators report deployment of deepfake technology, synthetic facial recognition, forged identification documents, and automated bonus abuse networks. Regional distribution shows Africa recording a 2.54% fraud rate, followed by Europe at 1.14%.
North America maintains a 0.44% incidence. European markets account for 41% of all deepfake-related verification attempts.