Uzbekistan to Regulate Online Gambling by 2025
### Key Points at a Glance
– Uzbekistan has introduced new regulations for licensing online gambling and betting operators.
– Licenses will be valid starting January 1, 2025, and cost 18.75 million soum (approximately 1,500 USD).
– Operators must meet strict financial requirements, including a minimum capital of 56.25 billion soum (approximately 4.4 million USD).
– The regulations emphasize player protection, transparency, and digital identification of participants.
– The National Agency for Prospective Projects (NAPP) will oversee compliance with the rules.
### New Licensing Regulations in Uzbekistan
The Uzbek government has taken a significant step toward regulating the gambling market. On December 12, 2024, the Cabinet of Ministers published a resolution based on a presidential decree issued in April. These new regulations will allow the operation of online gambling and betting platforms, as well as lotteries, starting January 1, 2025.
Licensing will be managed by the National Agency for Prospective Projects (NAPP). A license costs 18.75 million soum (approximately 1,500 USD) and is valid for five years. Amendments to existing licenses will cost 9.375 million soum (approximately 730 USD).
### Financial Requirements for Operators
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The new regulations set high financial thresholds for companies wishing to enter the market. The minimum requirements for online gambling and betting operators are as follows:
– **Minimum Capital**: 56.25 billion soum (approximately 4.4 million USD)
– **Reserve Fund**: 28.125 billion soum (approximately 2.2 million USD)
Lottery operators face slightly lower thresholds:
– **Minimum Capital**: 20.625 billion soum (approximately 1.6 million USD)
– **Reserve Fund**: 15 billion soum (approximately 1.2 million USD)
A portion of the revenue must be allocated to prizes: 50% for traditional lotteries and 75% for electronic lotteries.
### Focus on Player Protection and Transparency
The new rules place a strong emphasis on player protection and operational transparency. Players will only be allowed to participate through licensed platforms, which require identity verification and electronic transaction processing.
The government plans to introduce a **Unified State Register for Bets and Players** to monitor activities. Additionally, there are age restrictions: only individuals aged 18 and older are allowed to participate. Certain groups, such as individuals with gambling addiction or those legally barred, will be excluded.
### Strict Oversight and Penalties
The NAPP will strictly monitor compliance with the regulations. Foreign operators must also adhere to the rules, or they risk facing fines. The ownership structure is also regulated: individuals with ties to financial crimes or legal violations are prohibited from holding leadership positions.
A central component of the new regulations is the digital identification of players. Participants must submit a photo of their identification documents, which will be cross-checked with official databases.
### Goal: A Safe Gambling Market
The Uzbek government aims to establish a regulated and secure market for online gambling and betting. Supported by the Central Bank, the Tax Committee, and the Ministry of Internal Affairs, the NAPP is working to implement licensing and monitoring systems by January 2025.
### Our Assessment
The introduction of a regulated gambling market in Uzbekistan is a significant step for the industry. The strict requirements and focus on player protection demonstrate the government’s commitment to creating a safe and transparent environment. However, for operators, this means high entry barriers, particularly due to the financial minimum requirements. Players, on the other hand, will benefit from greater security and clear rules.
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