PlayCity and Ukraine intensify crackdown on illegal gambling websites

PlayCity, the national gambling regulator operating in cooperation with the Ministry of Digital Transformation of Ukraine, continued its regulatory campaign aimed at reshaping and stabilizing the country’s gambling and lottery market. In February 2026 the authority took a series of enforcement actions that targeted unlicensed operators, unlawful advertising practices and compliance standards among licensed market participants.

According to official regulatory updates, PlayCity ordered the blocking of 226 illegal gambling websites during the month. The action forms part of a broader regulatory strategy designed to reduce the presence of offshore and unlicensed gambling services that operate outside Ukraine’s legal framework.

The February enforcement measures also included monitoring social media platforms for unlawful advertising, issuing new operating licences and advancing a national digital monitoring system that will oversee financial and operational activity within the regulated market.

Together these steps reflect a continuing effort by Ukrainian authorities to strengthen regulatory oversight, protect consumers and ensure that gambling activities taking place in the country operate within clearly defined legal and technical standards.

Enforcement campaign targets unlicensed operators

The removal of illegal websites remains one of the central priorities for Ukrainian regulators. In February alone, PlayCity identified and ordered the blocking of 226 unlicensed gambling domains that were accessible to users in Ukraine.

Authorities indicated that these websites were offering gambling services without proper authorization under Ukrainian law. Many such platforms are typically operated offshore or outside domestic regulatory supervision. As a result they may not meet consumer protection standards or financial transparency requirements required from licensed operators.

The blocking orders were implemented through the regulator’s digital tracking system. This mechanism monitors online activity and allows authorities to detect websites that provide gambling services without valid licences.

Since the introduction of the monitoring and blocking mechanism, more than 3,000 unlicensed gambling websites have been restricted from access within Ukraine. The cumulative number illustrates the scale of the enforcement effort that has been ongoing for several years.

Regulators emphasize that limiting access to unlicensed gambling services is considered a necessary step toward creating a more transparent and accountable market. By restricting illegal platforms authorities aim to encourage users to engage only with operators that are properly licensed and supervised.

Cooperation with Ministry of Digital Transformation

PlayCity conducts its enforcement activities in coordination with the Ministry of Digital Transformation of Ukraine. The collaboration focuses on developing technological tools that can help authorities identify unlawful activity more efficiently.

Digital monitoring technologies are used to track gambling websites, detect advertising campaigns and identify online platforms that may be promoting illegal services.

The cooperation also extends to communication with social media platforms and digital service providers. Authorities submit requests for the removal or blocking of accounts that promote gambling services without authorization.

Government officials have indicated that such partnerships are an important part of modern regulatory frameworks, particularly in sectors where online activity plays a dominant role.

Crackdown on illegal gambling advertising

In addition to blocking websites, regulators also intensified their oversight of gambling advertising. Illegal promotion of gambling services is viewed by authorities as a major channel through which unlicensed operators attract new users.

Throughout February PlayCity monitored several social media networks in order to detect promotional content that may violate Ukrainian gambling regulations.

During the review period the regulator identified 87 accounts on TikTok and 27 pages on platforms operated by Meta that were promoting gambling offers without authorization.

These accounts were flagged and submitted to the relevant platforms for blocking. The action forms part of an ongoing cooperation framework between Ukrainian authorities and major technology companies.

Regulators argue that limiting illegal advertising is essential to protecting consumers. Online promotions can often redirect users to unlicensed gambling websites that operate outside regulatory supervision.

By removing such promotional content authorities hope to reduce the visibility of illegal operators and strengthen the position of licensed market participants.

Oversight of licensed gambling operators

While enforcement actions frequently focus on illegal operators, regulatory supervision also extends to companies that already hold licences to operate within the Ukrainian gambling sector.

PlayCity conducted scheduled inspections of two licensed gambling companies in February. The inspections examined operational procedures, technical systems and compliance with regulatory reporting obligations.

Following these inspections the regulator imposed financial penalties totaling more than €93,000.

According to regulatory statements, the violations identified during the inspections included failures related to mandatory reporting requirements. Authorities also identified the use of software that had not received the necessary certification and technical irregularities in the operation of certain gambling equipment.

Regulators emphasized that compliance obligations apply equally to all licensed operators. Companies that hold licences are expected to follow strict operational and reporting standards that are designed to ensure transparency and protect players.

Financial penalties are one of several enforcement tools available to regulators. In more serious cases authorities may also suspend licences or impose additional compliance requirements.

State Online Monitoring System enters testing phase

Another major development in February was the advancement of Ukraine’s State Online Monitoring System, known as DSOM. The project represents a key technological component of the country’s evolving gambling regulation framework.

The first phase of the system entered its testing stage during the month. This initial module focuses primarily on financial transactions within the gambling sector.

The system is designed to record and monitor several types of financial activity, including bets placed by players, payouts issued by operators and overall revenue generated by gambling companies.

Market participants are expected to begin integrating their operational systems with the monitoring platform in order to conduct functional testing.

Regulators view the digital monitoring system as a crucial tool for improving transparency within the gambling market. By collecting real time data authorities can obtain a clearer overview of financial flows and operational activity.

The development of the monitoring system will continue throughout 2026. A second implementation phase is planned that will expand the system’s capabilities.

Future modules are expected to include oversight of gaming machine operations as well as monitoring of compliance with responsible gambling requirements. The system will also track transactions that involve gaming substitutes of the national currency.

Officials believe that the digital infrastructure will ultimately allow regulators to respond more quickly to irregularities and ensure that operators follow established rules.

Licensing activity supports regulated market growth

Despite the strong focus on enforcement, regulatory activity during February also included the expansion of the licensed gambling sector.

PlayCity issued six new licences during the reporting period. The approvals included one licence for online gambling operations, two licences for business to business software development services and three licences for lottery operators.

Licensing fees collected from these approvals generated more than €2.12 million in revenue for the Ukrainian state budget.

Regulators note that licensing serves several purposes beyond revenue generation. The licensing process ensures that operators meet strict financial, technical and legal requirements before entering the market.

Companies seeking licences must demonstrate compliance with regulatory standards and submit detailed documentation regarding their ownership structures, software systems and operational procedures.

By maintaining these standards authorities aim to create a competitive yet controlled environment where legitimate businesses can operate while illegal actors are excluded.

Continuing regulatory strategy for 2026

PlayCity has indicated that its regulatory strategy for 2026 will continue to focus on several key priorities.

One central objective is the reduction of illegal gambling activity through ongoing website blocking and monitoring of online advertising.

Another priority is the strengthening of technological oversight through the implementation of the State Online Monitoring System. Regulators expect the platform to significantly improve the government’s ability to supervise gambling activity across different sectors.

Finally authorities will continue supervising licensed operators to ensure compliance with national regulations and responsible gambling policies.

Officials believe that combining enforcement measures with digital monitoring tools and a structured licensing framework will help stabilize the market and improve transparency.

Conclusion

The regulatory actions carried out by PlayCity in February 2026 highlight the evolving approach taken by Ukrainian authorities toward the gambling and lottery sector. By blocking illegal websites, monitoring social media advertising, inspecting licensed companies and developing a comprehensive digital monitoring system the regulator is pursuing a multi layered strategy designed to strengthen oversight of the market.

These efforts reflect broader policy goals aimed at ensuring that gambling activity in Ukraine takes place within a clearly regulated environment that prioritizes transparency, accountability and consumer protection. While the continued presence of unlicensed operators demonstrates the challenges involved in regulating an online industry, the introduction of advanced monitoring technologies and coordinated enforcement initiatives suggests that authorities are seeking long term solutions.

As the State Online Monitoring System continues its development and regulatory enforcement remains active, Ukraine’s gambling market may gradually move toward a more structured and transparent framework. The combination of technological oversight, licensing controls and enforcement measures will likely remain central to the country’s regulatory policy in the years ahead.

FAQs

What is PlayCity in Ukraine?
PlayCity is the gambling regulator responsible for overseeing and enforcing gambling and lottery regulations in Ukraine.

Why did PlayCity block gambling websites in February 2026?
The websites were identified as unlicensed operators offering gambling services without authorization under Ukrainian law.

How many illegal gambling sites were blocked in February 2026?
PlayCity ordered the blocking of 226 illegal gambling websites during that month.

What is the State Online Monitoring System in Ukraine?
It is a digital system designed to track financial transactions and operational activity in the gambling sector to improve transparency and regulatory oversight.

What activities does the monitoring system track?
The system records bets, payouts and operator revenue and will later expand to include gaming machine oversight and responsible gambling compliance.

Did regulators take action against licensed operators?
Yes. Inspections of licensed operators led to fines totaling more than €93,000 for compliance violations.

What types of violations led to the fines?
Violations included reporting failures, the use of uncertified software and technical irregularities in gambling equipment operations.

How does PlayCity monitor illegal gambling advertising?
The regulator monitors social media platforms and cooperates with technology companies to identify and block accounts promoting illegal gambling services.

How many social media accounts were flagged in February?
PlayCity identified 87 TikTok accounts and 27 Meta pages promoting illegal gambling offers.

How many licences were issued during the reporting period?
The regulator granted six new licences including one online gambling licence, two software development licences and three lottery licences.