The Ukrainian Gaming and Lottery Regulatory Commission, known as KRAIL, received a significant number of applications for licenses related to gambling during the initial three months of 2024.
KRAIL granted permission for a substantial portion of these applications, issuing licenses for a variety of gambling activities within Ukraine. This included a considerable number of licenses for gaming machines, along with a smaller number of licenses for gambling services.
Furthermore, licenses were granted for a limited number of gaming tables, including one for an online casino and one for a roulette table.
However, a small number of applications were not approved due to incomplete documentation, and KRAIL also decided to deny one license request.
The Ukrainian government is currently considering a measure that would prohibit military personnel from engaging in gambling activities.
Earlier this month, the Ukrainian President, Volodymyr Zelensky, announced that he would examine a proposal to restrict members of the armed forces from participating in online gambling. This decision was prompted by a petition submitted by a Ukrainian soldier.
The Ukrainian President revealed this potential restriction in his nightly address to the nation on April 2nd.
The Ukrainian government is currently preparing to enhance its oversight of the country’s online gambling sector, with the aim of safeguarding the interests of its citizens.
The plea from the military personnel seeks to bring attention to the detrimental effects of the gaming industry on the Ukrainian military and Ukrainian society, such as pushing them into financial burdens.
Military personnel are advocating for a prohibition on gambling and access to online gaming platforms for those serving in the armed forces through martial law.
Ukraine’s KRAIL is actively combating illicit gambling operations.
Ukraine has been taking steps to suppress unlawful gambling operators for a number of years. In August 2023, KRAIL reported that almost three-quarters of unauthorized operators were blocked from accessing websites in the nation after the organization contacted them.
According to KRAIL, 72.3% of websites ceased operations in Ukraine following the regulator’s intervention. This encompasses the period from January 25, 2022 to August 8, 2023.
In February, Ukraine’s State Bureau of Economic Security confiscated 700 million Ukrainian hryvnias (approximately £14.8 million/€17.3 million/$18.6 million) from an unidentified leading betting operator for tax avoidance.
However, despite KRAIL’s efforts in Ukraine, its future is unclear. In May 2023, Deputy Prime Minister Mykhailo Fedorov submitted a draft law proposing the disbandment of KRAIL and its replacement by a new executive body.
Fedorov emphasized the challenges the regulator has encountered in issuing gambling licenses in a timely manner.
KRAIL functions as a collective body comprising a chairperson and six members. Its meetings, including those regarding license applications, are only valid if five members are present.
Sadly, following the Russian military’s incursion into the nation, certain KRAIL members were compelled to enlist in the armed forces. This predicament made it challenging to maintain regular KRAIL gatherings and resulted in postponements for tasks such as license approvals.
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