Ukraine’s New Gambling Regulator Receives Expanded Powers

Ukraine’s newly established gambling regulator, PlayCity, is taking shape with a set of fresh responsibilities and powers aimed at tightening oversight of the country’s betting industry, now subject to new rules signed into effect by President Volodymyr Zelenskyy on January 3.

The Cabinet of Ministers has signed off on new rules defining the scope and authority of the agency, which was approved in March to replace the now-defunct Commission for the Regulation of Gambling and Lotteries (KRAIL).

Bold Plans to Restore the Public’s Trust 

Leading the transition is Gennadiy Novikov, a former deputy head of KRAIL who now serves as the head of PlayCity. 

Though the agency will inherit KRAIL’s 61 staff members and work out of the same offices, it’s been tasked with overhauling the regulatory landscape and restoring public trust in the system.

According to Ukrainian MP Oleksiy Honcharenko, who shared details on Telegram, the new body will have expanded responsibilities. 

“PlayCity will have the duty to maintain a national register tracking people with gambling addiction,” he noted. 

In addition to that, the agency will oversee a state lottery registry, run the operator selection process, and publish annual reports evaluating the health of the gambling sector.

The Power to Request Blocks for Unlicensed Gambling Platforms

PlayCity has also been given important enforcement powers, including the ability to request blocks on unlicensed gambling websites and apps. 

Operators will be required to follow responsible gaming measures, such as implementing mandatory breaks and daily time limits on play.

“Players must also be allowed to set voluntary personal spending limits for gambling on a per day, per week or per month basis,” the regulation states. 

These limits can only be adjusted once every 30 days, aiming to curb impulsive behavior.

The new regulator reports to Deputy Prime Minister Mykhailo Fedorov and has been given a strong anti-corruption mandate. 

KRAIL, its predecessor, was dismantled after a series of controversies and operational hurdles, particularly during wartime. Criticisms included lax enforcement, tax confusion, and widespread illegal gambling, some linked to Russian interests.

In December, KRAIL’s former director Ivan Rudyi was arrested by the State Bureau of Investigation. He was accused of enabling the operations of a Russian-owned gambling site and facing separate drug-related charges. He remains in custody without bail.

While Novikov’s appointment signals some continuity, PlayCity’s mandate makes clear that it’s expected to take a tougher stance. 

Along with modernizing license issuance through digital tools, it’s tasked with clamping down on unauthorized operators, particularly those with foreign or hostile ties.