Ukraine’s authorities has formally accredited the beginning of the liquidation course of for the Commission for the Regulation of Gambling and Lotteries (KRAIL), marking a pivotal shift within the nation’s strategy to playing oversight. Starting April 1, 2025, the fee’s duties might be absorbed by a newly created state company referred to as PlayCity, beneath the coordination of the Ministry of Digital Transformation.
This transfer follows long-standing issues over KRAIL’s inefficiency in regulating the playing trade. According to authorities sources, the fee failed to present enough oversight, prompting the necessity for structural reform. Law enforcement is at present investigating over 450 prison circumstances tied to unlawful playing operations, additional reinforcing the urgency of the overhaul.
Digital Licensing and Anti-Corruption on the Forefront
PlayCity’s core mission might be to implement state coverage within the playing and lottery sectors by way of enhanced digital instruments and extra sturdy regulatory oversight. The digitalization of licensing procedures is a cornerstone of the brand new technique, designed to enhance transparency and scale back alternatives for corruption.
According to the Ministry of Digital Transformation, the reform is anticipated to end in simpler market regulation and stronger enforcement towards illegal playing enterprises, particularly these with connections to the aggressor state. In line with this, PlayCity goals to introduce new mechanisms for monitoring on line casino actions and shutting down unlicensed operations.
“Eradicating corruption, bringing illegal casinos to zero, and generating meaningful tax revenues for the state budget” are key targets of the brand new company, stated Deputy Minister of Digital Transformation Oleksandr Bornyakov in a current public assertion.
Boosting Tax Revenues and De-Shadowing the Market
With the shift to PlayCity, officers anticipate to unlock important monetary advantages for Ukraine’s financial system. The Ministry estimates that annual tax contributions from the authorized playing and lottery trade may rise to UAH 10 billion (roughly $240 million). These funds might be directed towards supporting the Ukrainian Defense Forces and different nationwide priorities.
The restructuring can also be designed to promote honest competitors by establishing clear, clear working circumstances for all licensed operators. Officials imagine that this readability will assist deliver the trade out of the shadows and foster a more healthy, extra accountable gaming surroundings in Ukraine.
Next Steps and Expert Reactions
While PlayCity will inherit a lot of KRAIL’s group, sources, and headquarters, a number of key steps stay earlier than it turns into totally operational. These embody appointing the company’s management and finalizing its institutional guidelines.
Danylo Hetmantsev, Head of the Verkhovna Rada Committee on Finance, Tax and Customs Policy, voiced help for the company’s creation and pledged backing from the Committee. However, he additionally questioned the naming of the brand new physique—PlayCity—noting its similarity to the identify of a non-public operator. In response, Bornyakov clarified through Facebook that the identify had been in growth for a while and will have been conceived by Minister of Digital Transformation Mykhailo Fedorov.
From KRAIL to PlayCity: A Structural Reform with Broader Implications
Although the dismantling of KRAIL was first accredited again in April 2024 following a presidential decree, its official liquidation now paves the best way for a extra trendy, tech-driven strategy to playing regulation. PlayCity is positioned to usher in a brand new chapter in Ukraine’s playing trade—one centered on transparency, efficient oversight, and financial resilience.
Source:
Uriad ughvalyv rishennia pro pochatok likvidatsii KRAIL, Cabinet of Ministers of Ukraine, March 25, 2025.
