The Malta Gaming Authority (MGA) has published a new AI charter focused on ensuring the ‘ethical and responsible use’ of the technology across the sector.
The MGA noted that AI is increasingly being used across aspects of business such as player protection, fraud detection, customer interactions and operational decision-making.
As a result, it has worked with the Malta Digital Innovation Authority to launch the charter, which is a voluntary framework for businesses to use when integrating AI within their systems.
In line with the European Union’s AI Act, the charter classifies uses into high and low risk based on how close they are to impacting a player or gaming outcome.
As the risk increases, companies are expected to increase the level of testing, documentation, monitoring and human oversight.
MGA licensees are also encouraged to create an inventory of their AI systems and ensure there are appropriate testing, validation and safety controls for AI systems.
Charles Mizzi, Chief Executive Officer of the MGA, said that the publication of the charter reflects a shared commitment between regulators, industry and technology experts to promote the responsible use of AI.
He added: “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.”
AI adoption not wholesale
As part of the development of the charter, the MGA investigated current use levels of AI and found that adoption is currently ‘uneven and selective, rather than widespread’.
The charter described AI use at a ‘minimum viable product stage’ in many cases, meaning that testing is still ongoing before wider rollout.
More mature uses included operational optimisation, data analytics and customer support chatbots. Whereas there was less extensive use of AI across recommendation engines, player profiling, fraud detection and anti-money laundering controls.
The research also found that only a small number of organisations disclosed AI usage to customers, and there was very little data on whether AI-driven personalisation increases risky or vulnerable behaviour.
“The findings of the study on AI use and adoption highlight a sector that is actively engaging with AI, but where levels of maturity, governance readiness, and risk awareness remain uneven,” reads the charter.
“Against this backdrop, the principles set out in the Charter are intended to respond directly to the practices, gaps, and emerging risks observed across the sector.”