Ukraine has issued lottery operator licenses for the first time in 12 years. Permits were granted to MSL, Patriot, and the Ukrainian National Lottery. Each license cost €0.53 million ($0.61 million), bringing a total of €1.6 million ($1.85 million) into the state budget.
 

Ukraine Resumes Lottery Licensing After a 12-Year Pause

The Ukrainian state budget received €1.6 million from the issuance of the first lottery operator licenses in 12 years. Three companies — MSL, Patriot, and the Ukrainian National Lottery — each paid €0.53 million for operating rights. The regulator reported that these payments have already been transferred to the state budget this year.

After more than a decade without licensing and effective oversight, the sector now operates under the new rules approved last year. These include mandatory electronic reporting to PlayCity, real-time monitoring of sales volumes and prize payouts, and the implementation of unique QR codes on every ticket and terminal. These measures are designed to strengthen state oversight and reduce the risk of manipulation in ticket sales and prize distribution.

According to the regulator, the new system will allow consumers to verify the legality of sales points, check the transparency of lottery procedures, and receive guarantees regarding payouts and ticket validity. For the state, these changes are expected to provide predictable license revenues, restore market control, and reduce shadow practices.
 

License Terms and Upcoming Legislative Reforms

The issued transitional licenses are valid for the duration of martial law and for one year after its end, but for no less than three years. They replace the previous ten-year license term set out in the law. The shorter duration is intended to avoid locking in the current regulatory model for a decade.

The Ministry of Digital Transformation of Ukraine, in cooperation with PlayCity, is preparing legislative amendments aimed at removing barriers for foreign operators and creating a more competitive market structure.
 

Proposed measures include:

• replacing the competitive selection process with an electronic auction, where licenses are awarded to the highest bidder;
• removing the terms “state lottery” and “state monopoly” from legislation;
• establishing the state’s role as regulator rather than product owner;
• clearly separating lotteries and gambling to prevent the use of lotteries as a cover for betting or casino-like mechanics;
• banning “toto” lotteries, which resemble betting products;
• prohibiting the use of gambling equipment or casino-style design in lottery products.

These amendments are expected to make the licensing system more transparent, open, and competitive.

 

 

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