GCGRA issues warning as UAE Lottery’s first draw approaches

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The upcoming inaugural jackpot draw of The UAE Lottery, scheduled for Saturday, December 14, marks an exciting milestone in the nation’s gaming landscape. In the lead-up to this event, the General Commercial Gaming Regulatory Authority (GCGRA) has issued a crucial alert to participants, emphasizing the dangers of engaging with unlicensed lottery or gaming operators.

On December 9, the GCGRA reaffirmed that The Game LLC is the singular licensee for lottery operations within the UAE.

Having secured the UAE Lottery license in July 2023, The Game commenced ticket sales for its AED 100 million Lucky Day draw on November 27.

The UAE Lottery: The Sole Authorized Game in Town

According to the Federal Law by Decree that established the GCGRA, only two lotteries are permitted to operate in the UAE. These include The UAE Lottery and the renowned Big Ticket, hosted at Abu Dhabi International Airport and Dubai Duty Free.

“In accordance with the law,” the GCGRA emphasized, “all pre-existing lotteries that do not comply with licensing requirements will cease operations.”

Understanding the Context: Who is Affected by GCGRA’s Announcement?

The GCGRA has not explicitly named any companies in its recent communications. However, multiple fiat and cryptocurrency gaming operators have previously targeted UAE players. Notably, analytics provided by Semrush indicate an impressive 39.6 million visits to gambling-related websites year-to-date, a figure that encompasses both licensed and unlicensed operators.

Historically, two prominent lotteries, Mahzooz and Emirates Draw, were functional within the UAE. According to Mahzooz’s official announcement, they ceased operations effective January 1, 2024, following The Game’s successful bid for the lottery license. Mahzooz has since expressed intentions to explore new gaming opportunities.

Similarly, Emirates Draw has paused its UAE operations as of January 1 this year, as a response to the GCGRA’s directive, indicating potential plans to reapply for licenses under different gaming verticals.

A Cautionary Message from the GCGRA CEO: Stay Vigilant and Informed

The GCGRA cautions consumers about the significant risks associated with gambling through unlicensed operators. Such players expose themselves not only to potential financial losses but also to the dangers of fraud and deceit. The possible consequences include identity theft, malware attacks, and the risk of unwarranted legal scrutiny.

“Your adherence to legal gaming practices is vital not only for your security but also for maintaining the integrity of our community,” stated Kevin Mullally, Chief Executive of the GCGRA. “If you choose to participate in gaming activities, it is imperative to engage only with licensed operators.”

Unlicensed entities lack the necessary technology and game evaluation processes to ensure fairness and security. They are not mandated to uphold responsible gaming practices, nor do they have to comply with consumer protection regulations. Furthermore, these businesses operate without oversight regarding their financial practices, including prize reserves and anti-money laundering adherence.

“We strongly advise consumers to steer clear of unlicensed operators to guard against potentially severe repercussions,” Mullally concluded. This message also extends beyond players, as advertisers, payment solution providers, and suppliers may face sanctions that could hinder their ability to operate within the regulated UAE market.

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