The gambling industry is at high risk for money laundering due to the use of cash and complex transactions. It's a big market worth $263.3 billion
in 2023. However, this lucrative industry is also facing increased scrutiny, with casino regulators issuing fines amounting to $264 million
in 2022 alone, a significant 444% increase from the previous year.
Criminals often use a scheme called "cash-in, cash-out." They deposit illegal money into their bank accounts, convert it into casino chips or put it into a betting account, and then gamble with the funds. This makes the money look legitimate, and they can later convert their winnings back into cash, hiding its source.
This has prompted changes in gambling regulations worldwide.