Malta Investigates Artificial Intelligence Risks in Gaming

Artificial intelligence has established a presence within Malta’s gaming sector, though its deployment is primarily restricted to functions that do not directly impact players. According to a Malta Gaming Authority (MGA) survey, operational analysis and customer support drive the majority of this integration, whereas automated payment systems and Know Your Customer (KYC) verifications are seldom utilized.

These insights coincide with the release of the AI Gaming Charter on September 18, 2026, a collaborative effort by the MGA and the Malta Digital Innovation Authority (MDIA). Developed following discussions with technology specialists and industry licensees, the 48-page document offers voluntary guidance regarding AI governance.

Operators Face Gaps In AI Oversight

The study revealed deficiencies concerning how businesses supervise and document their technological systems. While the majority of participants deemed their technical infrastructure sufficient, a smaller portion maintained comprehensive risk-management protocols or formal AI strategies.

Managing data proved to be another hurdle. Although numerous licensees indicated they have policies addressing data retention, ownership, and access, fewer could verify data lineage—the tracking mechanism for the origin of information utilized by AI models.

Furthermore, impact assessments, bias testing, and staff training remained insufficient. Only a minor fraction of participants maintained fully developed incident-response and AI risk-assessment frameworks.

Additionally, the MGA highlighted transparency concerns regarding third-party technology vendors. Just a single supplier participant confirmed providing clients with explanatory documentation detailing the mechanics of their AI tools. Such a gap could hinder operators’ ability to account for third-party responsible gambling or fraud detection features.

Player-Facing Applications Receive Closer Scrutiny

The findings indicated that customer service chatbots constitute the most advanced AI tools engaging directly with consumers. Businesses additionally deploy machine learning for anti-money laundering tracking, fraud detection, and responsible gaming evaluations.

Conversely, personalization features have experienced slower implementation. While a few businesses employ recommendation tools for promotional purposes, very few evaluate whether these algorithms might stimulate hazardous gaming habits.

Payment processing, KYC procedures, dynamic odds, and artificial intelligence-driven live casinos persist as the least common implementations.

The Charter categorizes systems based on potential risk levels. Administrative tasks internal to a company are designated as lower impact, whereas tools affecting account limits, user eligibility, player safety, or fraud tracking face heightened oversight.

Furthermore, chatbots are required to disclose their artificial identity at the onset of a session, and dialogues concerning gambling harm or personal vulnerability must be transferred to human staff.

Malta Establishes Voluntary Industry Principles

The framework establishes six core pillars encompassing data protection, transparency, fairness, technical reliability, human responsibility, and sustainability. It also cautions against “AI washing”—the practice of overstating technological capabilities or branding standard software as artificial intelligence.

This initiative works alongside current regulations like GDPR and the European Union AI Act, avoiding the imposition of new legal mandates.

MGA CEO Charles Mizzi stated: “The AI Gaming Charter reflects a shared commitment between regulators, industry and technology experts to promote the responsible and transparent use of artificial intelligence. Our role as a regulator is not to stand in the way of innovation, but to help create the certainty and confidence needed for innovation to flourish responsibly.”

MDIA CEO Kenneth Brincat emphasized the necessity for practical strategies to track AI deployments, supervise risks, and preserve accountability.

This rollout unfolds as the UK Gambling Commission formulates its own AI oversight strategies, encompassing industry recommendations and internal policies. Malta’s framework serves as an alternative benchmark for gaming regulators evaluating these technologies.

“AI in iGaming: chatbots went live first, KYC models are still rare”, blask.com, November 5, 2026

Frequently Asked Questions

What is the AI Gaming Charter?

Published on September 18, 2026, by the MGA and the MDIA, the 48-page framework provides voluntary guidance on AI governance following consultations with technology specialists and licensees.

Which AI applications are most common in Malta’s gaming sector?

Customer support chatbots and operational analysis drive most of the adoption, alongside machine learning used for fraud detection, anti-money laundering monitoring, and responsible gambling assessments.

Which AI applications are least common?

Automated KYC checks, payment applications, dynamic odds, and AI-powered live casino features remain among the least adopted.

Does the AI Gaming Charter introduce new laws?

No, the document complements existing legislation such as the EU AI Act and GDPR without introducing additional legal duties.