Legalization of online betting and “bookmaker import substitution”
Since 2009, only betting shops and betting shops are allowed in gambling establishments in Russia. The volume of the offline segment is estimated at one billion dollars. The country has about 5.5 thousand points of interest rates. The online gambling segment has not yet been provided for by Russian laws. However, its turnover is comparable to the offline segment. However, in the near future, Russian legislation in this area will be finalized.
In 2006, the Russian president banned most types of gambling with rare exceptions. Since June 30, 2009, the activity of bookmakers is on a special account. A bet made by a client with a bookmaker is based not only on luck, but also on analytical forecasts, on the client’s knowledge and his level of intelligence.
However, since 2009, requirements for bookmakers have been tightened. They had to re-license. Thus, the volume of the core market fell from $ 1.7–1.9 billion (2008) to $ 400 million (2010). Since 2010, financial requirements have become even tougher: the amount required for starting a business has grown from 100,000 to 1.6 billion rubles (1 billion is the company's net assets, 500 million is a mandatory bank guarantee, 100 million is the authorized capital).
')
Since July 2014, a law enacted prescribing bookmakers mandatory membership in self-regulatory organizations ( SRO ). The president of the SRO bookmakers, Konstantin Makarov, believes that after this the bookmaker market has become more orderly, a dialogue is being established with the state and public organizations.
However, the question of the legalization of bets via the Internet remains unresolved. The concept of an interactive bet was introduced by law, and now bookmakers are waiting for the government to complete the process of legalization. In December last year, the responsibility for illegal gambling using the Internet was tightened. The maximum penalty for illegal gambling is now imprisonment for six years.
In 2014, the overall gain of bookmakers from offline betting almost reached a billion dollars. However, the forecast for 2015 is disappointing - only $ 0.6 billion.
In the Russian online gambling segment, the situation is different. The fact is that foreign companies from offshore jurisdictions operate under brands of the same name with Russian ones. Thus, foreign bookmakers take bets from Russian players, now taking almost half of the Russian online market, said First Gaming president Leonid Obozny, told Kommersant. He estimates the volume of the online Russian bookmaker market at $ 0.6- $ 0.9 billion.
While foreign players do not seek to enter the Russian market in a legal way. “Perhaps they will be ready to start exploring the market when clearer rules of the game are established. In particular, if the issue of online betting is resolved positively, ”argues Konstantin Makarov.
“But it cannot be excluded that someone from public companies, such as William Hill or Betfair , may consider that, in order to increase market capitalization, legal access to the Russian market will be the right decision. The Russian market is already one of the largest, and its growth potential is far from exhausted, ”adds Leonid Obozny.
“It should be borne in mind that a foreign bookmaker will have the opportunity to operate not only“ on the ground ”, but also online; the option is not excluded that he will be able to choose exclusively online. And our tax legislation has not yet developed a tax schedule for such a development. Then the foreign bookmaker will get a significant advantage over the domestic one, ”notes Nikolai Oganezov, vice president of the Russian Association of Bookmakers .
The issue of advertising legislation for bookmakers also remains unresolved. The existing restrictions in this area and the actual total ban on advertising of bookmakers on the Internet no longer correspond to the realities of today, Mr. Obozny is sure. Instead, it was possible to simply impose restrictions on the advertising of gambling on radio and television, but not to prohibit it completely.
In 2006, the Russian president banned most types of gambling with rare exceptions. Since June 30, 2009, the activity of bookmakers is on a special account. A bet made by a client with a bookmaker is based not only on luck, but also on analytical forecasts, on the client’s knowledge and his level of intelligence.
However, since 2009, requirements for bookmakers have been tightened. They had to re-license. Thus, the volume of the core market fell from $ 1.7–1.9 billion (2008) to $ 400 million (2010). Since 2010, financial requirements have become even tougher: the amount required for starting a business has grown from 100,000 to 1.6 billion rubles (1 billion is the company's net assets, 500 million is a mandatory bank guarantee, 100 million is the authorized capital).
')
Since July 2014, a law enacted prescribing bookmakers mandatory membership in self-regulatory organizations ( SRO ). The president of the SRO bookmakers, Konstantin Makarov, believes that after this the bookmaker market has become more orderly, a dialogue is being established with the state and public organizations.
However, the question of the legalization of bets via the Internet remains unresolved. The concept of an interactive bet was introduced by law, and now bookmakers are waiting for the government to complete the process of legalization. In December last year, the responsibility for illegal gambling using the Internet was tightened. The maximum penalty for illegal gambling is now imprisonment for six years.
In 2014, the overall gain of bookmakers from offline betting almost reached a billion dollars. However, the forecast for 2015 is disappointing - only $ 0.6 billion.
In the Russian online gambling segment, the situation is different. The fact is that foreign companies from offshore jurisdictions operate under brands of the same name with Russian ones. Thus, foreign bookmakers take bets from Russian players, now taking almost half of the Russian online market, said First Gaming president Leonid Obozny, told Kommersant. He estimates the volume of the online Russian bookmaker market at $ 0.6- $ 0.9 billion.
While foreign players do not seek to enter the Russian market in a legal way. “Perhaps they will be ready to start exploring the market when clearer rules of the game are established. In particular, if the issue of online betting is resolved positively, ”argues Konstantin Makarov.
“But it cannot be excluded that someone from public companies, such as William Hill or Betfair , may consider that, in order to increase market capitalization, legal access to the Russian market will be the right decision. The Russian market is already one of the largest, and its growth potential is far from exhausted, ”adds Leonid Obozny.
“It should be borne in mind that a foreign bookmaker will have the opportunity to operate not only“ on the ground ”, but also online; the option is not excluded that he will be able to choose exclusively online. And our tax legislation has not yet developed a tax schedule for such a development. Then the foreign bookmaker will get a significant advantage over the domestic one, ”notes Nikolai Oganezov, vice president of the Russian Association of Bookmakers .
The issue of advertising legislation for bookmakers also remains unresolved. The existing restrictions in this area and the actual total ban on advertising of bookmakers on the Internet no longer correspond to the realities of today, Mr. Obozny is sure. Instead, it was possible to simply impose restrictions on the advertising of gambling on radio and television, but not to prohibit it completely.
Source: https://habr.com/ru/post/291474/
All Articles