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, we are summing up the performance of Ukraine’s legal gambling market in 2025. 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 10 months of 2025, the budget has already received more than UAH 14.5 billion from gambling in taxes alone. Given current trends, this figure could reach UAH 16–17 billion by the end of the year. Read more

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 substantial amounts from 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 ha

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 for the industry to unlock its true potential under such conditions. This uncertainty has, without exaggeration, become systemic. It has created a situation in which the legal segment is forced to compete with the illegal one for players — and under far more difficult conditions, since licensed companies must co

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

The Ukrainian gambling market is a typical young market — full of high expectations but marked by uneven institutional performance. State authorities delay decisions and create unpredictability: licensing procedures, by-laws, sanctions, and fines often appear not as a coherent policy but as fragmented responses. For an investor, this is a risk signal: tomorrow the rules may change without a transition period or clear logic. Read more

Ukraine’s gambling industry reflects the traits of a young market — full of promise yet hindered by uneven institutional effectiveness. Government agencies frequently postpone decisions, creating uncertainty: licensing processes, regulations, sanctions, and fines often appear more like ad‑hoc responses than coherent policy. For investors, this unpredictability signals risk, as rules may shift abruptly without clear rationale or transitional measures. Read more

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

The experience of most European countries and the United States clearly shows that excessive strictness in gambling regulation rarely produces the expected outcome. Combating 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 overly regulated, expensive, or inaccessible to the player, part of the audience inevitably shifts into 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. Read more

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

Kuchukhidze provided examples of successful international practices. In the United States, lotteries pay between 20% and 30% of GGR, which generates substantial revenue for healthcare, education, social assistance, and economic development. In Europe, lotteries have long been regulated on the same level as gambling: in Lithuania alone, lottery operators generated €14.7 million in tax revenues in the first half of 2025. In Germany, the total fiscal benefit from lotteries reach

The outlook for Ukraine’s gambling sector remains uncertain, even after recent legislative changes. Key challenges persist, including tax obligations for lotteries and the ongoing problem of illegal gambling imitations. This lack of clarity surrounding lotteries undermines their ability to contribute effectively to the state budget—leaving losses felt across the board. Read more

The Ukrainian gambling market and financial services sector are preparing for a major shift in their approach to combating shadow schemes. Deputy Chairman for Communication at the Ukrainian Gambling Council, Viktoriya Zakrevska, wrote about this in a new blog post, focusing on the launch of the “drop registry” — a tool designed to operate not reactively but preventively, before any violations occur. More details

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

Artificial intelligence (AI) is rapidly transforming the gambling industry — from predicting player behavior to automating marketing, compliance, and even fraud prevention. However, this technology is not a “magic button.” As recent analytical data from MIT Sloan Management Review  shows, only 5% of companies in the entertainment sector record real revenue growth after implementing AI-based pilot projects. The rest either see no financial return or are forced to halt developm

Zakrevska emphasized that transparency is not a privilege but a duty, and the state must urgently adopt licensing conditions for lotteries so that they become part of a unified legal framework. “Honest business does not fear transparency. If we are talking about reform, it is time to make it complete,” the expert concluded. Read more