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PlayCity Marks First Year with Licensing Growth, Enforcement Push and Market Reforms

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PlayCity Marks First Year with Licensing Growth, Enforcement Push and Market Reforms
PlayCity has published the results of its first year of operation, highlighting significant progress in licensing, market supervision, enforcement, and digital monitoring as Ukraine continues to modernize its regulated gambling sector.

According to the regulator, more than 250 licenses were issued during the year across a range of sectors, including gambling operators, B2B service providers, gaming equipment suppliers, and lottery companies. The licensed industry generated over UAH 14 billion ($320 million) in tax revenue, while gambling license fees contributed approximately UAH 2 billion to state coffers.

The lottery sector also played a role in the market's financial contribution. During the first quarter of 2026 alone, licensed lottery operators generated more than UAH 72 million in licensing fees and over UAH 74 million in tax payments.

A major priority during PlayCity’s first year was combating illegal gambling activity. The regulator reported blocking more than 4,100 unauthorized gambling websites and removing over 700 social media accounts used to advertise or promote illegal operators. To strengthen enforcement efforts, PlayCity developed a dedicated system for tracking unlicensed gambling platforms and expanded cooperation with law enforcement agencies and other government institutions.

The regulator also resumed scheduled inspections of gambling businesses following the end of a moratorium that had been in place since 2022. In addition, new reporting requirements were introduced for lottery operators as part of broader transparency measures. According to PlayCity, enforcement actions and compliance inspections resulted in nearly UAH 988 million in fines for violations of gambling legislation.

Digitalization remained another key focus throughout the year. PlayCity continued developing the State Online Monitoring System, a platform designed to provide real-time oversight of licensed gambling activity. The system entered a testing phase during the reporting period, with 11 licensed operators already connected.

Commenting on the regulator’s first year, PlayCity Chairman Gennady Novikov said the primary objective was to build regulatory infrastructure that previously did not exist. He emphasized the importance of data-driven regulation, arguing that effective oversight requires regulators to identify risks before they evolve into larger industry problems.

Looking ahead, PlayCity plans to focus on several major initiatives, including submitting updated gambling legislation to the Verkhovna Rada, revising advertising regulations, expanding the State Online Monitoring System, and implementing Ukraine’s broader national strategy aimed at preventing gambling-related harm.

The regulator’s first-year results suggest Ukraine is continuing to move toward a more structured and technology-driven gambling framework, with increased emphasis on transparency, enforcement, and responsible market development.

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