A Digital Win-Win: iGaming’s Growth and the Role of Solutions Like X-faces

The iGaming sector is experiencing rapid expansion, unlocking opportunities for users and fuelling economic development at the national level. While this trend is set to continue, the complexity of operating in fast-growing markets demands innovative solutions. Advanced KYC and identity verification technologies are becoming critical for ensuring security and seamless onboarding process. Newer entrants like X-faces are developing these solutions specifically for the unique needs of iGaming operators, while major players such as EveryMatrix are investing heavily in compliance and risk management systems to meet evolving regulatory standards.

Established Demand

iGaming today is a global industry with a market volume approaching $80 billion — a figure expected to double within the next five years. IIt attracts a broad range of users, from sports fans monetising their expertise in football, cricket, or boxing, to gaming enthusiasts and eSports followers. The sector unites people with diverse interests and holds significant potential for growth — both financially and geographically — particularly as new emerging markets come into play.

The recent surge of interest is no coincidence. With widespread smartphone adoption, even in developing economies, and the emergence of transparent, regulated platforms, iGaming has become a gateway to the digital world for tens of millions of people. Technology has deepened engagement with online activities, and increasing internet penetration is amplifying this trend.

Europe remains the largest iGaming market, but expansion is accelerating in Asia and across North and South America. Interestingly, the industry’s leaders are not always the largest economies. In Europe, Malta, Ireland, Sweden, and Denmark stand out. In Malta, for example, iGaming accounts for around 12% of GDP, illustrating its potential as a driver of national economic development. The market is still only partially mature, leaving space for new players from a wide range of regions. As Ebbe Groes, CEO of EveryMatrix, observes: “We’ve built a company basically with European revenues only. There are lots and lots of opportunities. Local heroes need to step up.”

Economic Gains, Business Risks?

The dynamism of the iGaming industry is one of its defining traits. iGaming not only significantly contributes to national budgets but also acts as a driver of social development. It creates jobs for designers, marketers, customer service professionals, fintech specialists, and many others. As platforms grow, so do their teams, making iGaming a professional springboard for IT professionals and adjacent fields. Аccording to the Gibraltar Betting and Gaming Association, iGaming is the largest private-sector employer in the region. In Ontario, Canada, the industry has already created over 12,000 jobs and added $1.6 billion to the provincial GDP.

However, rapid growth also brings challenges. Regulatory requirements differ widely between jurisdictions, and operators expanding into high-potential markets must adapt quickly to avoid compliance pitfalls. As Simon Hammon, CEO of Relax Gaming, observes: “The European market has differing rules and regulations from country to country, with regulators looking to find that perfect balance of making a vast array of content available to players while also keeping them safe.”

As regulatory landscapes evolve, maintaining compliance is only part of the equation — platforms must also address the growing sophistication of security threats that directly impact profitability and player trust.

Fraudsters are getting smarter — using bots, click farms, and exploiting system loopholes such as multi-accounting to abuse bonus structures and cause significant losses to platforms. Verification systems can be lengthy or inefficient, and overly complex checks risk driving users away. Current solutions can also be costly, forcing operators to balance the integration of multiple KYC tools with maintaining a sustainable business model.

Each of these issues is directly linked to platform security, and improvements are ongoing. This is where advanced, integrated solutions are making a difference. Companies like X-faces have developed next-generation identity verification systems that streamline onboarding, reduce fraud, and support a seamless player experience — strengthening operators’ security while preserving growth potential.

Growth and Security

Several key trends are shaping the future of iGaming, ensuring its continued expansion: the drive toward simplicity and convenience, the growing use of AI — especially in security and player monitoring — and an overall move toward scalable systems.

This creates a vast space for innovation. With no single dominant global player, competition for the user is fierce. That, in itself, is a historic opportunity for emerging economies. With the right mix of agility and innovation, these regions could emerge as future leaders.

“In fast-growing iGaming markets, operators can’t afford to treat security as a separate layer — it has to be built into the player journey from the start. Advanced verification not only prevents fraud but also removes friction for genuine users, which in turn drives engagement and revenue. That’s the balance every operator should aim for.” — Aleksey Armach, Co-founder & Managing Director at X-faces.

X-faces has shown how targeted innovation can deliver measurable results — helping a platform increase revenue by over one-third and cut fraud incidents by nearly half. Such solutions are highly scalable and offer value that is universal across the market.

iGaming presents countless scenarios for competing over user attention, and developers worldwide are eager to seize the opportunity. The sector is becoming a proving ground for the most effective solutions, enabling startups to build a reputation, expand internationally, and launch new products ahead of competitors.

This combination of rapid market growth and technological innovation explains the global surge of interest in iGaming. Optimism about its future is grounded not only in the popularity of existing platforms, but also in the sector’s untapped potential. As smaller nations have already demonstrated, those willing to plan strategically for the next 5–10 years can unlock promising new opportunities — from Latin America and Eastern Europe to Southeast Asia and Africa.