The State Agency 'PlayCity' for Regulation of Gambling has Started Working.

Ukraine has received a new state agency 'PlayCity', which was created to replace the Commission for Regulation of Gambling and Lotteries (CRGL). The new head of the organization is Gennady Novikov, who previously worked at CRGL as the deputy head.

Tasks of 'PlayCity'

• Digitalization of license issuance to avoid corruption.
• Launching a state online system to monitor the operations of legal casinos.
• Blocking websites and applications of illegal casinos.
• Restarting the lottery business market.
• Creating a convenient system for registering gambling addicts.
• Excluding casinos of Russian origin from the market.

According to the Ministry of Digital Transformation, the illegal gambling and lottery market in Ukraine leads to a loss of up to 10 billion hryvnias in the state budget annually. Legalizing this industry may lead to a significant increase in tax revenues that can be used for defense needs.

Strengthening the Rules of the Game

Transparent rules of the gambling market will make Ukraine more attractive to foreign companies, which may ensure an influx of investments into the state budget. This, in turn, will contribute to the economic development of the country.

Scandals with Heads of CRGL

In December 2024, the head of the CRGL Ivan Rude was detained on suspicion of collaborating with the aggressor state and illegal possession of drugs. Also recently detained and suspected of collaborating with the Russian Federation is CRGL member Evgeny Yakhniy. These two cases led to the liquidation of the Commission and the creation of the new state agency 'PlayCity'. The emergence of the state agency 'PlayCity' in Ukraine was a response to the scandals with the heads of CRGL. The new agency aims to combat the shadow gambling and lottery market, ensuring more effective control and legalization of this sector of activity, which, in turn, may lead to a significant increase in tax revenues and improved defense funding.