The Russian Federation is mulling categorizing poker as a “game of skill” rather than gambling, clearing the way to legalize iPoker in the world’s largest nation.
The change would require operators of online poker sites to be licensed and regulated. No timetable for these possible changes has been announced, but observers of the “riddle, wrapped in a mystery, inside an enigma” that is Russia, say the action might come sometime this year.
Six months ago First Deputy Prime Minister Igor Shuvalov began the process of legalization, but no details have been forthcoming.
Clearly Russia sees the advantages of licensing and reaping profits from taxing online gaming operations.
Pavel Sychyov, a member of Russia’s Civic Chamber commented recently, “We are trying to counteract the illegal online gambling, but we understand that it is very difficult to control the Internet in principle.”
Other observers point out that by continuing to ban online gaming that the state has simply forced it underground. Maxim Katz, an international professional poker player, quoted by the Business Insider, said last week, “In particular, poker went underground after the ban. The game did decline, but not for long. And the (national) budget stopped receiving taxes.”
Recent polling suggests that about 16 percent of Russia’s adult population engages in illegal online gaming. Sometimes they use internet cloaking devices such as TOR, a service that Russia’s parliament is contemplating banning.
Recently Marina Bludvan, a leader of the Poker Enthusiasts League noted that international operators would be required to keep servers inside the country and not allowed to remove player data outside of the country. Players may be required to provide financial data and tax data before being allowed to play.
Alexander Zakondyrin, a Moscow politician who also practices law, told Business Insider: “In my opinion, conceptually the decision to legalize online poker has been already made by the Russian government.” He added, “As early as June 2014, Shuvalov instructed the Ministry of Economic Development and the Ministry of Justice to prepare a report on such a project’s prospects.”
Supporters of poker would be greatly heartened if Russia were to join other countries that have declared poker to be a game of skill. A few years ago former U.S. Senator Alfonse D’Amato wrote, “Congress knows that poker is a game of skill. Congress knows that playing games of skill in American homes needn’t be outlawed. And Congress knows that, since poker is a game of skill that is legal in the home, it should be legal to play it online.”
Lawmakers in several U.S. states agree with D’Amato, but so far they haven’t acted.