Stakeholders in the Ukrainian gaming industry were upset that the country’s newly established Commission for Regulation of Gambling and Lotteries (CRGL) seemingly jumped the gun in issuing its first license.
On February 3, CRGL announced it had awarded its first online gambling license to Speisiks LLC, operator of the Cosmolot brand. The announcement took the industry by surprise, reported SBC News, because “interested parties (are) still awaiting a decision from the government to settle on vital requirements related to the technical certification of the Gambling Law.” Moreover, CRGL rejected and left “without consideration” around 15 license applications and offered no clarity on the system and technical requirements.
The Gambling Law was approved by President Volodymyr Zelensky last summer, opening the door to applicants. But the Ukraine’s government has yet to adopt technical accreditation’ requirements with regards to technologies, operating systems, software and compliance controls.
As a result, “skepticism surrounds CRGL as a government agency,” SBC reported.
“Developments continue to gather pace in Ukraine, however, applicant parties still await vital information on technical certification to address legislation requirements,” said Ilya Machavariani, CEO and senior partner of CIS gambling consulting firm 4H Agency.
“The next months will be critical in how a regulated market shapes up. Out of the blue, CRGL offered its first license this month, but greater transparency certainly could help the market.”
