Law No. 14,790/2023 and Ordinance SPA/MF No. 1,143/2024 impose detailed rules for anti-money laundering (AML), forcing operators to quickly adapt or face severe penalties.
However, conducting the entire compliance process manually is not only inefficient but also dangerous. Mistakes, false positives, and delays in reporting to COAF can result in irreparable damage to a company’s reputation and operations.
The solution? Automation. For efficient and secure compliance, the only way to handle the volume and complexity of iGaming transactions is to implement intelligent tools that ensure continuous monitoring, real-time alerts, and instant reports—all in line with legal requirements.
Anti-money laundering in iGaming: the limitations of manual analysis
Even though Brazilian legislation is clear about the need to maintain a robust AML and CFT (Counter Financing of Terrorism) policy, manual analysis of such activities is a true operational nightmare.
In other words, processes such as customer due diligence, continuous transaction monitoring, and reporting to COAF are extremely time-consuming and prone to errors.
Moreover, an excess of false positives can lead to wasted time, and the inability to detect money laundering patterns may expose the betting house to fines and even legal action.
Without an automated platform, identifying suspicious activity in a timely manner becomes nearly impossible, and the risk of non-compliance is extremely high.
In short, the impact of an automated AML solution goes beyond just reducing human error. It also brings operational efficiency, allowing the compliance team to focus on critical analysis instead of being overwhelmed with time-consuming manual tasks.
How automation can help
AML automation is a strategic necessity for any iGaming operator aiming to remain competitive and compliant with the law.
Automated systems can do much more than just speed up processes—they also ensure data analysis accuracy, minimizing the risk of human error.
Additionally, automation allows for continuous and transparent auditing, making the process faster and more secure.
What features should an intelligent AML tool have?
When it comes to automated AML solutions for iGaming, the system must have specific features to ensure effective analysis and regulatory compliance, such as:
1. Real-time risk indicator dashboard
An intuitive dashboard that allows the compliance team to view risk indicators in real time is essential. It enables the rapid identification of suspicious transactions or atypical behavior without having to go through extensive reports. Automation should be able to categorize and highlight any transaction that deviates from the standard profile in real time, helping prioritize urgent investigations.
2. Activity timeline with complete audit history
Traceability is key in any compliance process. The platform should provide a detailed history of all analysis activities, including decisions made, alerts triggered, and corrective actions taken. This history is crucial for audits and for demonstrating ongoing compliance in case the operation is questioned by COAF or other regulatory authorities.
3. Customizable flagging system
The ability to customize risk flag parameters is one of the most important features. Operators should be able to filter transactions based on their users' profiles and specific regulations. For example, if a user exceeds deposit limits based on their presumed income, the system can automatically trigger a high-risk alert. This helps reduce false positives and improves monitoring efficiency.
In short, in the current regulatory environment, adopting an automated AML solution is no longer a choice but a requirement to ensure ongoing compliance and protect operations from financial and legal risks.
Click here to learn more about the processes behind Brazil’s most efficient AML automation solution.
Source: Legitimuz
