Filenews 15 October 2025 - by Charalambos Zakos
The Cyprus Online Gaming Association (COGA) calls for the legalization of gambling that falls into the categories of online casinos, calling on the State to proceed with the necessary regulatory framework for this purpose.
In particular, the Association, on the occasion of the Safer Gaming Week, brought back the discussion around the issue, which has previously occupied the Authorities and professionals in the sector.
As he argues, the legislative regulation of the issue and the legalization of the "online casino" is now considered imperative, in order to address various challenges and risks lurking for citizens from many illegal platforms and online scams.
According to the Association, which was founded in May 2025 with the betting companies Stoiximan, Bet365 and Bet on Alfa as members, a modern and effective regulatory framework is needed, which will allow online casinos, but at the same time operate in a properly structured supervisory framework.
As they explain, the establishment of a clear and uniform legal framework for online gaming, as is the case in other EU member states, could generate significant tax revenues, strengthen consumer protection and create a level playing field. At the same time, it would pave the way for new investments and jobs, if companies in the sector chose to operate legally in Cyprus.
Typical of the above are the statements of both the president of the Cyprus Online Gaming Association, Angelos Hontoulides, and representatives of other companies. "It is important that we are now in a phase where the new bill is expected to regulate markets that until now remained unregulated, such as the online casino. Through a clear licensing framework, the market will gain credibility and growth prospects, for the benefit of all," said Mr. Hondoulidis,
In the same vein, the statements of Panos Giannisis, Head of Legal & Compliance at Stoiximan and the representative of Bet365, who emphasize that a new regulatory framework must be created, which will regulate the markets, such as the online casino, which will ensure transparency and the responsible operation of the market, for the benefit of players.
It should be reminded that in Cyprus only online betting activity is allowed in sports events with a special license from the Betting Authority, however, according to the legislation, any operation of online games, such as casinos, poker, slots, is not allowed.
What market players say
The absence of regulation in the online casino sector in Cyprus has opened, according to market players, a multiple front that affects public revenues, fair competition and the security of the financial system. Although online betting activity is legally permissible, illegal online gaming platforms continue to operate uncontrollably, creating serious financial and institutional distortions.
It is estimated that the state loses up to €1 million per month in taxes and licensing fees that could be attributed if the industry were regulated, thus depriving the public coffers of resources that could be boosted.
Unfair competition
Another factor pointed out by stakeholders is the unfair competition between companies that are supervised and pay taxation to the state, in relation to those who operate illegally.
In particular, legal betting companies operate under the strict supervision of the National Betting Authority, complying with audits and tax obligations. In contrast, illicit platforms operate uncontrollably, absorbing market share without contributing to public revenue. As noted, in other EU countries, such as Malta and Estonia, the regulated online gaming industry contributes more than 10% to GDP, while in Cyprus the percentage does not exceed 3.6% (2024), due to the absence of a comprehensive legal framework.
Increase in online fraud
Another dimension highlighted by companies in the sector is the increased risk of money laundering, since platforms use local payment providers and European bank accounts (IBANs).
Reports by the Central Bank and MONEYVAL have highlighted the problem, highlighting the need for stricter controls on payment providers, as suspicious transaction flows from unlicensed platforms have been recorded.
Another issue that has become a scourge in Cyprus is the deception of citizens by so-called online platforms that offer gambling. The lack of regulation has allowed these scams to spread, as fraudsters create fake websites that visually replicate well-known companies or casinos, misleading unsuspecting users.
These cases have been increasing lately and have already caused concern to the authorities, who are calling on citizens to be careful.
