Taking into account new initiatives to regulate the gambling market one gets the clear impression that someone has decided to get rid of its legal segment. Instead of dealing with the real source of problems, which is primarily lotteries and other illegal operators, some legislators are persistently fighting the part of gambling organizers that benefits the state budget. Moreover, this pressure is comprehensive and covers not only taxation or license fees, but now also advertising. But is this strategy effective?
In the current Ukrainian context, the tendency to direct fines and restrictions against legal gambling organizers is unfortunately becoming more widespread. At first glance, this seems like a convenient step, as it is easy to find those who officially operate within the law and punish them. However, this approach can only bring results if there are no illegal companies. When only legal businesses are punished, and illegal ones remain untouched, this inevitably leads to the decline of the former, as it simply ceases to cope with the financial burden.
In addition, it should be borne in mind that advertising for illegal gambling outnumbers advertising for legal gambling by hundreds of times. That is why changes in the advertising sector should take place against the backdrop of an active fight against illegal gambling organizers. After all, they account for almost 80% of all traffic, and they do not bear any responsibility to the law. However, instead of directing efforts to destroy the shadow business, the authors of 9256-d decided to limit themselves to prosecuting those who work legally and pay taxes.
Instead of simply banning gambling advertising, effective regulatory legislation should be developed. On the one hand, it will allow licensed organizers to operate transparently. On the other hand, it will create conditions that will significantly limit or even make it impossible to advertise illegal online and offline casinos.
The basis of regulatory legislation on advertising should be primarily based on strict control over the activities of illegal organizers. This may include:
- Strengthening the advertising market monitoring system, which will allow to quickly detect and block illegal advertising, and the system of such monitoring can be built on the basis of CRGL;
- automatic and fast blocking of illegal online casino and lottery websites that imitate gambling;
- imposing sanctions and fines on the media (including alternative media) that place and distribute such advertising;
- cooperation with international partners to identify and combat illegal online platforms and their intermediaries that advertise their activities in Ukraine or facilitate such advertising.
The provisions of 9256-d should be fundamentally revised, and representatives of the legal gambling sector should be involved in this process. After all, persecuting legal organizers will not solve the urgent problems with intrusive gambling advertising or gambling addiction, but will only deepen them. It is necessary to change the approach, focusing efforts on fighting shadow business and creating effective regulatory legislation. This is the only way to ensure adequate conditions for all market participants and protect the interests of the state and players, if, of course, the authors of 9256-d are interested in this, and not in covering up for illegal organizers.
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