The new Commission for Regulation of Gambling and Lotteries (CRGL) in Ukraine was put in place to help shape the country’s online gaming industry and it has been busy putting together all the pieces of the puzzle. However, it still has more work to do, as Ukraine’s new Gambling Law is still being fine-tuned. This has led to some confusion among gaming operators, of which 15 have had their license applications rejected, who are trying to figure out how the CRGL could have turned them down when, at the same time, it approved a license for Speisiks LLC, the company behind the Cosmolot gaming brand. Last Wednesday, the commission awarded Speisiks a license to operate Cosmolot in the iGaming realm. It had previously held an instant lottery license, but stepped away from the activity almost two years ago. Other online gaming operators have been patiently waiting to receive updated guidance on several points regarding technical certification of the country’s new gambling laws, and are now wondering how the CRGL could have given Speisiks a license without that guidance having been delivered. The government of Ukraine has yet to implement “technical accreditation” requirements needed to satisfy certain aspects of iGaming, including which operating systems and software can be used, as well as what types of compliance controls are to be put into force. Without that information established, it isn’t clear how Speisiks was able to find approval, unless it had a helping hand from someone on the inside. It’s expected that the other gaming candidates who have found their applications rejected will file a legal challenge, possibly against both the CRGL and Speisiks, which could further hamper efforts to bring a legitimate iGaming market to the country.The CRGL came into existence about three months ago and is already being viewed as incompetent to handle its responsibilities. This is enough to give the anti-gambling crowd fuel for their opposition and their argument that gambling only leads to corruption on all levels. Everyone is now requesting that better oversight be given to the industry and to CRGL, and 4H Agency CEO and Senior Partner Ulya Machavariani asserts, “Developments continue to gather pace in Ukraine; however, applicant parties still await vital information on technical certification to address legislation requirements. 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.”
Monday’s move by regulators in the Ukraine to award an online gambling license to operator Spaceiks LLC has reportedly dumbfounded many who are still waiting for the nation to clarify a raft of specific technical and system requirements.
According to a report from SBCNews, the decision from the Ukrainian Commission for the Regulation of Gambling and Lotteries (KRAIL) represented the first time a firm had been issued with an iGaming license for Europe’s second largest country. The source detailed that the operator is responsible for the online casino at Cosmolot24.com, which was previously run by the Ukrainian National Lottery, and is now licensed to offer a wide range of games including slots, roulette and baccarat to adult punters across the nation of some 42 million people.
However, the award reportedly came despite no specific terms having yet been set for ‘technical accreditation’ requirements covering such aspects as operating systems, technologies, software and compliance controls. Spaceiks LLC moreover purportedly got its online casino license while the applications of approximately 15 rivals were languishing ‘without consideration’ owing to their inability to meet the as yet undetermined regulatory obligations.
This state of affairs has reportedly left many industry observers wondering how and why Spaceiks LLC was granted a Ukrainian iGaming license when so may of its competitors are still waiting to discover the rules to which they must first meet. Ilya Machavariani from gambling consultancy 4H Agency purportedly explained that KRAIL was established only three months ago and could now face a series of legal challenges should the operator now utilize its new license to go live in the Ukraine.
Reportedly read a statement from Machavariani…
“Developments continue to gather pace in the Ukraine but applicant parties are still waiting for vital information on technical certification to address legislation requirements. The next months will be critical in how a regulated market shapes up. Out of the blue, KRAIL offered its first licence this month but greater transparency certainly could help the market.”
igamingspaceiks llcukrainian national lotteryukrainian commission for the regulation of gambling and lotteriescosmolot24.comkraililya machavariani
In the Ukraine and authorities have reportedly issued the nation’s inaugural iGaming license some five months after finally passing a wide-ranging piece of legislation to legalize some forms of online gambling.
According to a Wednesday report from iGamingBusiness.com, the maiden license was awarded to iGaming operator Spaceiks LLC, which is responsible for the online casino at Cosmolot24.com previously run by the Ukrainian National Lottery. The source detailed that the firm will now be obliged to hand over a fee of about $1.4 million before being given ultimate permission to begin offering a wide range of games including slots, roulette and baccarat to adult punters across Europe’s second largest country.
Spaceiks LLC reportedly had its first license application turned down by the Ukrainian Commission for the Regulation of Gambling and Lotteries (KRAIL) in December owing to ownership concerns. Two subsequent rejections purportedly followed before the regulator was conclusively convinced that firm met its criteria and had no ties with criminal elements or anyone associated with Russia.
Sergey Potapov from Spaceiks LLC reportedly proclaimed that he is happy to have received the five-year license following a long wait and now looks forward to launching a large portfolio of iGaming entertainment services for the almost 42 million people of Ukraine.
Reportedly read a statement from Potapov…
“Obtaining a license is an important step. The road to legalization has been long but the creation of a ‘white market’ is totally worth it. I really do appreciate the team’s efforts; the guys prepared for this day for several months. We should also pay tribute to the Ukrainian Commission for the Regulation of Gambling and Lotteries. It’s great when a government authority works quickly and accurately.”
russiaigamingspaceiks llcukrainian national lotteryukrainian commission for the regulation of gambling and lotteriessergey potapovcosmolot24.com