RGW Sochi Set to Take Place This ThursdayPublished October 24, 2016 by Ivan P
Russian Gaming Week (RGW) Sochi will discuss development ideas for the new gambling zone, as well as investment opportunities and legal implications.
Russian Gaming Week (RGW) Sochi is set to take place this week, Thursday October 27, 2016. The event represents an international forum which will gather experts and interested parties from the gambling and other connected industries to talk strategies, exchange ideas, and much more.
Sochi as New Gaming Industry Center in Russia
The coast of Sochi is set to become a new gambling hub of Russia. Development plans for the zone include 8,000 slot machines and 400 game tables, which should boost the local budget with RUB 120 million on a monthly basis.
RGW will provide a perfect opportunity to discuss development strategies, expectations, legal implications, and more. Many casino and sportsbook owners, legal experts, software developers, and investors are expected to be in attendance.
Legal Aspects of New Gaming Zone
The creation of Krasnaya polyana gaming zone in Sochi would provide significant tax benefits but there are many legal issues that need to be addressed prior to realization of this project. Exploring the subject, a representative of RGW caught up with Maria Lepschikova, a lawyer with more than 12 years of experience in the gaming industry.
In the interview, Ms Lepschikova explained that the development of the gaming zone is mostly dependent on the number of companies that apply for operational licenses. Although the government designated the area where the future gambling venues will be located, only the companies that can provide necessary documents to prove their eligibility will be granted permissions to set up their business operations in Sochi.
Foreign Investments Prospects
According to the Russian law, casino game organizers can only be legal entities established within the territory of the Russian Federation. Founders of such entities must meet certain legal criteria, in terms of them not being convicted of serious economic or other grave crimes. Thus, foreign investors can use their money to fund the operations in Krasnaya polyana zone only through an established Russian business entity.
Implications for Existing Bookmakers
There are bookmakers who already have legal betting shops in Sochi. The development of the new gaming zone is bound to have a certain impact on their day-to-day operations, but Ms Lepschikova believes that it doesn't necessarily have to be all bad. Many tourists will probably venture outside of the new gambling zone, which could produce some extra foot traffic for the existing betting shops.