The stress associated with the war, the growing number of gambling advertisements increases the number of gambling addicts in Ukraine, how and when will the Ukrainian authorities deal with this?

Recently, restrictions on online casinos and the question of their relevance have become a topic of discussion in the media, especially over the past few days. The President of Ukraine, Volodymyr Zelenskyy, has twice addressed citizens on this issue. Daily Hub News together with psychologist Elina Desheva figured out why gambling has become so popular in Ukraine and what to do about it.

The growth of casino advertising

Until 2020, gambling advertising and the business of this industry were illegal. However, it was legalized in August of the same year. Before that, casinos and bookmakers mainly advertised their services on sports websites. After the legalization, banners and advertising posters of these establishments began to appear on the streets.

In recent years, the share of TV channels' revenue from gambling and betting advertising has increased, reaching 1.4% in 2021 and 1.7% in 2023. This is approximately the same amount as channels receive from advertising cosmetics or pet food.

In 2024, the share of gambling advertising in the total number of TV ad units increased to 3%, compared to previous years, when this figure was from 0.6% to 1%. A similar situation is observed in online media: from June to October 2023, the share of hidden advertising in favor of the gambling business in the news feeds of popular online media increased from 12.4% to 16.4%.

This growth is a result of the liberation of the advertising market as a result of the outbreak of a major war when many advertisers reduced their budgets. At the same time, online casinos and bookmakers are investing heavily in advertising, paying higher prices for ads in line with market conditions. This strategy is also adopted by alcohol and tobacco companies.

Gambling business has used this free niche in the advertising market to grow. According to the National Bank of Ukraine, in 2023, the turnover of the gambling business amounted to UAH 12-15 billion per month, which indicates a significant amount of money spent by Ukrainians in online casinos.

Psychologist explains the reasons for such popularity of gambling by stress related to the war

Why are people attracted to gambling?

1. It's an easy dopamine. People feel pleasure from the very expectation of a possible win. Guaranteed money does not give such a strong surge of hormones. Those who do not control their impulses well can easily get hooked on this emotional swing like a drug.

2. Gambling owners promise easy and fast money. It looks very attractive. And people who lack money are often stressed. In this state, the ability to think critically is reduced. And it becomes much easier to influence a person by promising a simple solution to the problem.

Why do people continue to play despite the fact that they have already lost?

People don't usually lose a lot at once. They bet a little and can win a small amount. Having felt the taste of success, many people risk raising the bet.

The casino allows a new user to win so that he or she believes that it is possible, that he or she is not being cheated. Then, when a person loses more money, he believes that he can win back and bets again.

Gambling algorithms are designed so that a person enters it gradually. If you throw a frog into boiling water, it will jump out immediately. And if you start cooking it in cold water, it will not notice the moment when the temperature becomes dangerously high. The same is true here. Often, a player notices how bad things are only when they have already reached the edge.

How is stress related to gambling?

A person intuitively tries to calm down or distract himself. They start doing things that help release substances that reduce stress. Dopamine is one of these substances. It can be obtained in different ways. However, when a person is exhausted or scared, he or she has a reduced ability to think critically and little energy to find more useful methods of self-help. Gambling helps relieve stress in the moment, but it only adds to it in the long run. And the person goes to relieve stress again in a casino, getting into a vicious circle.

Why is there such a large number of gambling addicts among the military?

War is excessive stress. And the military has fewer opportunities to distract or "reboot" their psyche than the civilian population. They are in places where there is almost no entertainment and personal space. And online advertising that offers to play and distract can be much more attractive in such conditions.

Another thing is that the psyche of a frontline soldier works differently than that of a civilian. Some military personnel may change their perception of money, begin to depreciate it, and so on. This can also affect the choice. Many people do not sleep well, which also negatively affects the ability to distinguish between right and wrong.

How to deal with this?

- Restrict access to gambling, remove advertising.

- Conduct educational work. Tell people what exactly happens to their body and psyche in such games. As well as how online casino algorithms actually work and how they manipulate people.

- Find and offer people safer ways to distract themselves, relieve stress, and get dopamine.

- Improve communication between the authorities and citizens. Transparency gives more confidence and less stress."

How Ukrainian authorities are fighting against gambling addiction

Recently, Ukrainians massively supported a petition with 25 thousand signatures demanding restrictions on online casinos. In response to this initiative, the Verkhovna Rada Committee supported a bill aimed at strengthening control over the gambling business.

In 2020, the Commission for the Regulation of Gambling and Lotteries (CRGL) was established, which was responsible for controlling this area. However, over the past year, this commission faced a problem with the lack of participants at meetings, as they required a minimum of five people to hold them. This proved to be inefficient.

In order to improve the situation, it was decided to liquidate the CRGL and transfer its powers to the Ministry of Digital Transformation, where an authorized body with a responsible person will be created. This body will aim to regulate the gambling business effectively and respond to abuses in this area.

It is planned to strengthen control and restrictions on gambling advertising by prohibiting the participation of persons under 21 in advertising materials, prohibiting the use of the symbols of the Armed Forces of Ukraine and other similar symbols in advertising, as well as prohibiting the sponsorship of sports events.

The powers to include so-called ludomaniacs in the register are also expanded. In addition, it is planned to effectively regulate transactions with cards and accounts used to make payments in the gambling business.

An important step is the establishment of severe fines and penal sanctions for violators of gambling legislation. In particular, the doubling of fines and other measures aimed at punishing non-compliance with the law are envisaged.

According to experts, there is currently no ideal model of gambling business regulation, either in Western countries or in other parts of the world. However, Ukraine has relevant law enforcement agencies, such as the ESB (Economic Security Bureau - Ed.) and the SBU, which are able to effectively take measures to stop illegal online casino activities. Also, those who are licensed must comply with the law, and violators must be punished according to the law.