Bwin Online Gambling Partners With Russian Billionaire

Published Saturday, June 10, 2017 - Online-Casinos.com
Bwin Online Gambling Partners With Russian Billionaire

Wagering in Russia is not as simple as it appears but there are operators willing to try to offer a legal form of betting in the jurisdiction. Russia introduce legislation last February with the intention to have banks and payment processors block transactions with international online gambling locations.

An estimated $3b per annum leaves Russian gambler’s bank accounts for the coffers of international online gambling operators. To stem that tide of cash exiting the country the Federal Service for Supervision of Communications, Information Technology and Mass Communications also known as the “Roskomnadzor” have made efforts to block related sites.  Roskomnadzor blocked 12,561 gambling domains in 2016, second only to sites offering “extremist materials.” The regulator blocked more an estimated 2,810 gambling sites in January and the trend continues to escalate.

It was recently announced that GVC Holdings, the parent of Bwin, will partner with Russian billionaire Alexander Mamut to launch an online sports betting platform in the restrictive jurisdiction. Mamut’s holdings include all of the necessary requirements. He acquired a Russian online gambling license in 2016 and according to the media provider Kommersant, Digital Betting LLC, and Bwin.ru will use Mamut’s technology firm Rambler & Co. to service the offering.

The media outlet also revealed that the billionaire will invest as much as €10m ($11.2m/£8.6m) every year for the next three years to establish the online sports betting Bwin.ru brand. It has been estimated by Kommersant that the regulated online gaming market generates only €15.7m in total annual revenue currently. The numbers are expected to go up as the number of available online gambling sites becomes more localized.

The blocking of fund transactions with international online gambling companies has done little to deter interest in gambling in Russia. At the time there are but 10 book makers approved to offer online betting   consumers in Russia. Bwin's entry into the regulated real money online gambling market may be an experiment of sorts that will foster more activity.

                                                                                                                                         

 

 

 

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