The recent PlayCity competition for official lottery operator status, the results of which were announced on January 28, marked the first tangible step toward bringing Ukraine’s lottery market out of the “gray” zone. Only three companies — M.S.L., UNL, and Patriot — advanced to the final stage under the updated rules. At first glance, this may appear to preserve the existing hierarchy of market players. However, behind this formality lies a strategic transition from a regulat

It is commonly believed that the Western market is a benchmark for the sustainable development of the gambling industry. Many European countries where gambling is legalized demonstrate record growth in online GGR, an increase in the number of gambling companies, and a growing player base. This has been made possible by the systematic development of the regulatory environment, which allows for maintaining a balance between expanding business opportunities and protecting player

Moody’s Outlook 2026 highlights a critical gap: artificial intelligence in iGaming consumes significantly more resources than it generates in profit. Operators invest in experience personalization, behavioral analytics, security, and marketing, yet only 5% of projects achieve financial returns. The remaining projects burn budgets on computing power, data engineering, and opaque algorithms that are difficult to interpret or improve. AI effectiveness is limited to specific task

A scandal involving an anonymous trader on the Polymarket platform, who earned $436,000 from the arrest of Venezuelan President Nicolás Maduro, has exposed a systemic vulnerability in prediction markets. A new account, registered in December 2025, placed a $32,000 bet just hours before a Delta Force raid on January 3, 2026 — the probability that “Maduro will lose power by January 31” jumped from 6.5% to 11% ahead of Trump’s announcement. This is a classic insider trade: acces

Problem gambling is not a critical issue for the Ukrainian gambling market. The share of potential problem gamblers typically accounts for 0.5–1% of the total number of players. Nevertheless, gambling addiction does exist and therefore requires targeted countermeasures. There are several mechanisms to address this challenge — ranging from state regulation through systems such as the State Online Monitoring System (SOMS) to technical solutions developed and implemented by the

Gambling addiction cannot be cured retroactively; it is prevented. Europe has proven this through various self-restriction tools that give players control without total pressure. In 2020, Ukraine laid the groundwork: the Self-Exclusion Register is being expanded, operators are required to offer counseling and monitoring, and PlayCity is preparing a digital relaunch via Diia for instant online applications. Cyprus created the National Self-Exclusion Programme (NSEP) under the

One of the key events in the gambling market last year was the emergence of a new regulator, PlayCity . It was established to streamline and strengthen regulatory mechanisms, automate the process of issuing and revoking gambling licenses, and combat illegal operators. In each of these areas, certain steps have already been taken, inspiring optimism about the future of regulation in the industry. However, to fully establish effective processes, many more changes across multipl

In the first 10 months of 2025, the legal gambling market paid UAH 14.6 billion in taxes. This figure is not only impressive but also demonstrates that the industry has the potential to be a significant revenue source for the state. Full statistics for the year will be released soon, but it can already be noted that this young market shows considerable prospects. At the same time, expectations should not be overstated, as this success has its “shadow side.” According to Henna

Over the past several years, lotteries have been the subject of active discussion within the gambling sector. Unfortunately, these discussions have not focused on industry development or investment potential, but rather on the illegal activities of lottery operators, imitation of gambling, non-payment of taxes, and avoidance of licensing fees. Finally, the newly created regulator, PlayCity, has paid attention to this situation and announced an open tender for obtaining lotter

Traditionally, at the end of the year we sum up the performance of Ukraine’s legal gambling market. Despite the fact that the market continues to operate amid tax and regulatory uncertainty, it still generates significant revenues for the state budget. Over the first ten months of 2025 alone, gambling has already contributed more than UAH 14.5 billion to the budget in taxes. Given current trends, this figure may reach UAH 16–17 billion by the end of the year. According to the

In developed countries, lotteries are one of the key sources of revenue for state budgets within the gambling sector. Through active regulation of the industry, governments receive significant amounts in taxes and fees. In Ukraine, however, the situation remains uncertain. As a result, we have a multi-million-dollar sector of the economy that is not controlled by the state in any way and creates problems for legal businesses. The first steps toward addressing this issue have

The Ukrainian gambling market has entered a phase where domestic resources for development are no longer sufficient. The state is reviewing its regulatory architecture, operators are adapting to new requirements, and public demand for transparency and responsibility continues to grow. At this point, the system either becomes more complicated and gets stuck in its own mistakes, or receives an external impulse strong enough to trigger a qualitative leap. Such an impulse is the

The Ukrainian gambling market has existed in a state of uncertainty for far too long. And although licensed gambling operators have managed to adapt, it is impossible to unlock the industry’s true potential under such conditions. This uncertainty has, without exaggeration, taken on a systemic character. It has created a situation in which the legal segment is forced to compete with the illegal one for players, but under much more difficult conditions — since legal companies m

Against this backdrop, the figure of ₴14.5 billion in revenues from legal operators in 2025 looks like a success — but a success “on thin ice.” Without high-quality regulation, strong institutions, and normal cooperation between the state and the white market, these revenues remain fragile and unstable. A Young Market and “Uneven” Institutions The Ukrainian gambling market is a typical young market with high expectations and uneven institutional performance. State agencies de

The experience of most European countries and the United States convincingly shows that excessive strictness in gambling regulation rarely delivers the expected results. Fighting the shadow market solely by tightening legislation not only fails to reduce it but often does the opposite — it strengthens it. The reason is simple: when the legal market becomes over-regulated, expensive, or inaccessible to players, a portion of the audience inevitably moves to the "grey" or "black

Legalization is always only the first step in building any system in a country. Conventionally, it is a permit that authorizes the start of a certain process. However, what should be done after this "permit" is obtained? What are the next steps? These are the most difficult questions. The answer to them requires systematic work aimed at making this "permission" work and ensuring that all parties involved benefit from it. That is why the development of a regulatory system capa

France and Liechtenstein demonstrate two different but effective approaches to regulating the lottery sector — both based on transparent licensing, structured GGR, and no tax pressure on players. In France, lotteries operate under the supervision of the ANJ regulator, and the state operator FDJ has a 25-year concession. The main burden in the system is focused on GGR: about 69% of gross revenue goes to the state, including social contributions. Added to this is an annual paym

In developed countries, lotteries are one of the most important sources of revenue for state budgets in the gambling sector. Abroad, this sector is actively regulated, and the state receives significant amounts from taxes and fees, which are used for the development of medicine, sports, culture, and other areas. At the same time, the situation in Ukraine remains unclear, despite some  changes,  that have recently in Ukrainian legislation  . The most pressing issues are the pa

The Ukrainian gambling market and related financial services are gradually moving from reactive to preventive control mechanisms. One of the most important innovations in the near future will be the creation of a "drop registry" — a system designed to detect and block funding channels for illegal businesses before an offense occurs. The idea is simple: instead of searching for culprits after violations, the state creates a mechanism that prevents financial abuses from occurri

The main goal of any business is to make a profit. To understand how much a business earns, it is necessary to have a clear understanding of its own cost mechanism. The tax burden is one of the key items of expenditure, so the more transparent the taxation system is and the more clearly defined the tax rates are, the easier it is for businesses to develop, plan, and invest. Unfortunately, at present, tax terms for gambling are not defined in Ukraine. Moreover, even the basic