Uzbekistan Sets New Licensing Regulations for Online Gambling and Betting
The Uzbek Cabinet of Ministers has approved comprehensive regulations for licensing lotteries, betting enterprises, and online gambling. Effective January 1, 2025, the framework introduces strict financial requirements and oversight to ensure a secure and regulated gambling market.
Licensing Costs and Financial Requirements
The National Agency for Prospective Projects (NAPP) will oversee the licensing process, with licenses valid for five years. The cost for obtaining a license is 18.75 million soums (approximately $1,500), while any revisions will require a fee of 9.375 million soums (around $730).
Businesses operating in the gambling sector must meet significant financial thresholds. Online gambling and betting operators are required to maintain a minimum authorized capital of 56.25 billion soums ($4.4 million), along with a reserve fund of 28.125 billion soums ($2.2 million).
For lottery operators, the financial requirements are set lower, with a minimum capital of 20.625 billion soums ($1.6 million) and a reserve fund of 15 billion soums ($1.2 million).
Additionally, traditional lotteries must allocate at least half of their revenue to prizes, while electronic lotteries must dedicate 75% of their income to payouts.
Player Protection and Digital Verification
The regulations place significant emphasis on player protection and system transparency. All gambling activities must take place on licensed platforms that verify participants’ identities using digital tools.
Players will be required to submit photo identification, which will be cross-referenced with official databases to ensure compliance. Transactions will be processed electronically, ensuring traceability and security.
To further safeguard consumers, a Unified State Register of Bets and Players will be created. This system will monitor gambling activity, participant records, and transaction limits, helping authorities identify and address any issues promptly.
Participation is restricted to individuals over 18 years of age. Additional measures bar individuals with documented gambling addiction or court-ordered restrictions from engaging in gambling activities.
Regulating Ownership and Compliance
The government has introduced stringent regulations regarding the ownership structure of gambling companies. Individuals with prior convictions, involvement in financial crimes, or legal violations will be prohibited from holding leadership roles.
NAPP will ensure compliance, with foreign operators also required to adhere to Uzbekistan’s new standards. Non-compliant entities will face fines and potential operational restrictions.
The NAPP, supported by the Central Bank, Tax Committee, and Ministry of Internal Affairs, has been tasked with finalizing the licensing and oversight processes before January 2025.
