According to the Russian Businessman newspaper, Russian Minister of Finance Anton Silunov has proposed to President Putin to legalize the Internet lottery. He proposed the establishment of a “special operator” to pay to the Government “at least 30 per cent of the income after the deduction of the bonus” on a monthly basis, which is expected to increase the federal Government’s revenue by approximately 100 billion roubles (approximately $1.3 billion) per year.
Proponents believed that this would help to combat the black market and provide greater protection for players, including mechanisms to reduce the risk of addiction. Critics believe, however, that this is just a hole in the financial damage caused by the Russian-Uu conflict. According to RBC Ukraine, the conflict has led to the loss of 42 trillion roubles in Russia. Since 2009, online games have been banned in Russia. At present, only a few special economic zones, including the coastal zone near Vladivostok, are allowed to open physical sites. According to the Russian Ministry of Finance, the legal lottery industry produces approximately 1.7 trillion roubles per year.
However, the Russian Times had previously reported that there were “currently about 100 illegal gaming platforms in operation” in Russia, and that the underground industry traded up to 3 trillion roubles annually. Opponents of the Ministry of Finance’s programme noted that the legalization of online lottery could harm groups with less affordable means, such as the poor and the elderly. Vasily Riy, Executive Director of the Association for the Defence of the Interests of Lottery Participants, stated: “Legalization is a means, but not the only means, of combating illegal markets. The experience of many countries in different forms of legitimization has shown that the lack of appropriate national regulation can be counterproductive.”
