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Insiders suggest potential culprits in the assaults targeting the gambling industry.

Persistent Pressure Intensifies on Honest, Tax-Compliant, Legal Gambling Market Participants in Ukraine: The Struggle Continues for Legitimate Operators in Ukraine's Gambling Industry

Insiders suggest potential culprits in the assaults targeting the gambling industry.

Gambling Industry in Ukraine Under Fire From Political Pressure

In a bold statement, Anton Kuchukhidze, head of the Ukrainian Gambling Council (UGC), called out authorities for allegedly exerting political pressure on legal gambling businesses. Published on the council's website, Kuchukhidze highlighted that the industry not only paid nearly 11 billion UAH in taxes and 1.969 billion UAH for licenses in 2023, but also invested heavily in charitable endeavors ranging from support for the Ukrainian Armed Forces to humanitarian initiatives and sports development.

Kuchukhidze categorically denounced the blocking of businesses' accounts based on unfounded accusations of ties with Russia and terrorism financing. He asserted that thorough checks are conducted on beneficiaries, management, and funding sources before issuing licenses, and the information is openly available.

Despite the apparent growth of unlicensed websites, the UGC advocates for the protection of the licensed market from arbitrary actions by state bodies. Kuchukhidze suggested that the crackdown might be due to the lobbying efforts of the lottery market segment, which benefits alongside unlicensed operators while the state loses out.

Several significant developments and challenges have come to light in the Ukrainian gambling industry over the past years:

Regulatory Shifts and Online Casino Restrictions

The appointment of a career prosecutor to head Ukraine's new gambling regulator, PlayCity, in April 2025, marked the end of scandal-ridden KRAIL[3][4]. The passing of Law No. 9256-d in March 2025 also signaled the end of operations for KRAIL by April 2025. In April 2024, President Volodymyr Zelensky enacted a decree restricting online casinos, highlighting the government's effort to regulate the industry more effectively.

Tax Revenues and Market Performance

Despite paying a substantial amount to the state budget, the gambling industry's profitability remains uneven across companies[5]. In the first quarter of 2025, the industry contributed 5.4 billion UAH to the budget, marking a 20% increase compared to the same period in 2024.

Charitable Investments and Problem Gambling

More information is needed on the charitable endeavors spearheaded by the gambling industry in Ukraine. However, their financial contributions to the state budget indirectly support various public services and potential charitable initiatives funded by the government.

Concerns about problem gambling among Ukrainians continue to rise, with a significant increase in the number of self-registrations[1]. As a response, regulatory efforts have been implemented to cover only licensed operators in the market.

The UGC urgently calls for an end to overzealous enforcement against legal market operators, expressing concern that such actions may force the industry into the shadows.

[1] "Public Health Institute of Ukraine (2025). Problem Gambling Trends In Ukraine."[2] "Office of the President of Ukraine (2024). Restrictions on Online Casinos."[3] "Parliament of Ukraine (2025). Law No. 9256-d."[4] "Reuters (2025). New Gambling Regulator to Head Ukraine's Reorganized Regulator."[5] "Tax Service of Ukraine (2025). Gambling Industry Revenue Statistics."

  1. The Ukrainian Gambling Council (UGC) publicly rebuked authorities for what they perceive as political pressure on legal gambling businesses, citing nearly 11 billion UAH in taxes and 1.969 billion UAH for licenses paid in 2023.
  2. Kuchukhidze, the head of UGC, stated that the auxiliary finance given to charitable causes, such as Ukrainian Armed Forces support, humanitarian initiatives, and sports development, further underscores the industry's significant positive impact.
  3. The UGC insisted on shielding the licensed market from unwarranted actions by state bodies, proposing that the ongoing crackdown could be the result of lobbying from the lottery market segment, benefiting both unlicensed operators and causing the state to lose out.
  4. In a notable development, Ukraine's new gambling regulator, PlayCity, was appointed in April 2025, marking the closure of KRAIL and the government's intention to regulate the industry more effectively, as evident in President Volodymyr Zelensky's decree restricting online casinos in 2024.
  5. With growing concerns about problem gambling among Ukrainians and the increased number of self-registrations, the UGC pleaded for a halt to excessive enforcement against legal operators, fearing that such actions could drive the industry underground.
Intensifying Scrutiny on Licensed Gambling Operators Persists in Ukraine, With These Entities Remaining Compliant and Faithful Payer of All Due Taxes

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