Ukraine claims to have reaped big rewards from the country’s new lottery licensing system just a couple of months after its implementation.
PlayCity, Ukraine’s relatively new gambling regulator, states that over €72m has been paid in licensing fees by the country’s three approved lottery operators.
The three firms – MSL, Patriot and the Ukrainian National Lottery – each paid a licensing fee of €24.2m, with the combined figure of €72m going into the state budget.
The licensing window for lottery applications closed in January, with MSL, Patriot, and the National Lottery confirmed as the successful trio of applicants soon after.
PlayCity, which was established as a replacement for the Ukrainian Commission for Regulation of Gambling and Lotteries (KRAIL) after allegations of corruption against the former regulator, was conducting a wider overhaul of gambling and lottery regulation.
Ukrainian lottery activity was suspended following allegations of cross-border money laundering between Russia and Ukraine levied against the industry in 2015. Both MSL and Patriot were actually named in these allegations.
PlayCity was subsequently revealed as the new regulator of Ukrainian gambling in March 2025, with the government keen to ensure strong central oversight of betting, gaming and lotteries, and the revenue these sectors provide, amid the Russian invasion of the country.
Regarding the three lottery licences, PlayCity has stated that permits come with three key terms – mandatory electronic reporting to the regulator, real time control of sales and payments, and a unique QR code for each lottery ticket and terminal.
A PlayCity statement read: “For over a decade, this sector of the economy operated virtually without licences and effective state regulation. Now, operators’ activities are regulated within the framework of new licensing conditions.
“Since the issuance of licences, the market has been operating under the licensing requirements approved by the Government last year. Preparations are also underway for comprehensive amendments to the relevant law on lotteries. They are intended to update the market access model itself, the licensing format and state control.”