Russia is reportedly exploring the legalization of online casinos as a potential source of revenue to offset the financial strain caused by its ongoing conflict in Ukraine. Finance Minister Anton Siluanov proposed the plan to President Vladimir Putin, according to independent news outlet Novaya Gazeta.
Projected Revenue and Proposed System
Siluanov estimates that legalized online gambling could generate up to 100 billion rubles ($1.3 billion) annually. The proposed framework would include:
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A centralized operator managing all online casino activity.
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Eligibility restricted to adults aged 21 and older.
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A 30% tax on all revenue earned by licensed gambling companies.
No official timeline has been announced for when Putin might consider the proposal.
Russia’s Pressing Budget Needs
The Russian government faces mounting fiscal pressure as the war with Ukraine enters its fifth year. Military expenditures continue to strain the federal budget, while oil and gas revenues decline, raising the risk of a substantial budget deficit in early 2026.
Alexandra Prokopenko of the Carnegie Russia Eurasia Center noted that the economy’s current structure underscores the high cost of the conflict: “It’s still too early to say that the current structure of the economy is forcing Russia to scale back the war. More accurately, the current structure of the economy is screaming that the war should never have been started.”
Finance Ministry officials, including Siluanov and Deputy Vladimir Kolychev, are reportedly exploring non-military revenue streams, with online gambling emerging as a popular option.
Russia’s History with Online Poker
Russia was once a key market for international online poker operators. Following the 2011 U.S. online poker crackdown, sites like PokerStars relied heavily on Russian traffic, with up to one-third of global activity coming from the country by 2015.
The 2022 invasion of Ukraine, however, led Western operators to exit Russia due to sanctions and political pressure. PokerStars ended operations in Russia in April 2022, while other major poker sites also withdrew, closing off access to a lucrative player base.
Some operators, like GGPoker, retained Russian players through alternative brands such as PokerOK, which remains accessible to local players. PokerOK made headlines in April 2024 when its CEO imposed restrictions on Russian player stables.
The loss of the Russian market contributed to PokerStars losing its global lead, while GGPoker grew into a dominant position in the international online poker scene.
Legalized online gambling in Russia could restore some of the lost market activity and generate much-needed revenue for the state, marking a significant shift in the country’s approach to digital gaming.
