Betting Companies Are Pulling Out Of Russia In Response To Ukraine Invasion

Let us be absolutely clear: what is happening in Ukraine is a disgrace. Not only that, but the repercussions for people that fancy placing a bet or two is very much unimportant when compared to the plight of the Ukrainian people. This article is not to suggest that the issues around companies stopping operations in Russia is in any way important. Even so, it is also a real concern for some people, so it is worth touching upon. There are numerous companies that have decided to stop operating in Russia, with that being as relevant in betting as in other industries.

The decision of major Western countries like the United Kingdom and the United States of America to stay out of things in Ukraine means that many people are feeling pretty helpless. As a result, the only option open to those that want to do something is to protest against Russian companies or companies that have chosen to continue operating in the country whilst the war rages on. If Vladimir Putin won’t listen to diplomatic causes, perhaps an economic hit to his country and his closest advisors might cause a re-think at some point.

What Does The Invasion Of Ukraine Mean For Betting?

With condemnation of Russia’s attack on Ukraine continuing around the world, there are numerous bookmakers that operate on a global scale but have decided to stop allowing their services to be used in Russia. It is not overly surprising that Parimatch, which is based in Cyprus but was founded in Kyiv, has chosen to withdraw its Russian franchise. A statement on the matter referred to the ‘military aggression of the Russian Federation in Ukraine’ as a reason for its decision to stop operations in the country for the foreseeable.

The rights to operate Parimatch in the region were granted to Betring LLC back in 2016, but termination documents were sent to them in order to stop that from happening. On top of that, the brand’s use in sponsorship contacts will also be removed from the area, such as La Liga in the CIS region, which Russia is the largest territory of. A statement from the company read,

“We have always been proud of the Ukrainian roots of our company, and in these difficult times we are even more overwhelmed by love for our native country. We strongly condemn the military aggression against Ukraine and try to do everything possible to help Ukraine!”

The company is aiming to provide direct support to the armed forced of Ukraine, courtesy of a launch a UAH 30 million fund, which equates to about €2.9 million. The company was founded three years after Ukraine gained independence from Russia, becoming one of the country’s first online businesses. The hope is that the fund will be able to help supply ammunition, medicine and food to Ukraine’s army as it tries to repel Russian invaders. Parimatch is also continuing to pay the salaries of employees, as well as hire new ones, in spite of the conflict.

Bet365 Also Suspending Russian Operations

Whilst it will come as little surprise to anyone that Parimatch are suspending any operations in Russia, it is slightly more noteworthy that Bet365 has also reportedly stopped offering betting services in Russia. Sources in the country say that Russian customers will need to withdraw funds from their accounts by the 15th of March. Those wishing to register a new account or deposit funds are unable to do so, however. There has also been a request from Bet365 to its partners to remove its logo or other forms of promotion in Russia.

It comes as numerous sports-based companies and organisations have decided that the invasion of Ukraine is one that is deserving of sanctions against Russia. From FIFA to UEFA, many of football’s governing bodies are keen to remove themselves from any sign that they are willing to ignore what is happening. Russia won’t be able to compete in the 2022 World Cup, for example, whilst the Champions League final will take place in Paris rather than St. Petersburg. The National Hockey League has also suspended business deals in the country.

It is in this environment that Bet365 has seen it as an appropriate time to stop any and all operations in Russia. There is something of a united front from sports, with the Polish data collection company Statscore also confirmed that it won’t supply any statistics from Russian and Belorussian tournaments for the time being. Given that Statscore is used by bookmakers such as BoyleSports, that could impact the information that bettors are able to work with in the future. They said,

“We do not wish to provide any sports data and livescores for competitions organised by countries that just savagely assaulted other nations or helped in this process.”

Russian Entities Banned From Clarion Gaming Events

Clarion Gaming is the parent company behind major betting industry events, with the likes of ICE and iGB Affiliate conferences both coming under their jurisdiction. Alex Pratt, the Group Managing Director for Clarion Gaming, published a short piece on LinkedIn in which he explained that Russian and Belorussian ‘entities, companies and their representatives’ would not be allowed to participate in the company’s upcoming events in London. Re referred to the ‘ongoing tragedy unfolding in Ukraine’ as part of the reason why the company had decided to suspend such companies’ involvement.

Interestingly, the decision by Clarion Gaming wasn’t met with widespread approval. Many commentators responded to Pratt’s announcement by saying that it was ‘stupid’, with some asking if the company had done the same thing to British and American companies during the war in Afghanistan. One person referred to it all as ‘virtue signalling’, which is one of the buzz phrases used by right-wing people that don’t really understand why people might object to the illegal invasion of a country. The idea seems to be that the companies shouldn’t suffer, but it is only by ostracising Russia that any change is likely.

Raising Funds For Ukraine

The work of the likes of Parimatch isn’t the only thing happening to raise money to help Ukrainians out, as far as the betting industry is concerned. All levels of the gambling world are trying to find ways to offer assistance, including the launch of a GoFundMe initiative under the title of ‘Gaming Industry for Ukraine’. At the time of writing, 111 contributors have helped to raise more than £70,000 towards the target of £250,000. The aim is to help any citizens from Ukraine that have been displaced as a result of the Russian invasion of their country.

Funds are going to the Ukraine Crisis Fundraiser, which is a program run by a charity called ‘Choose Love’. Meanwhile, LeoVegas has given more than £40,000 to Red Cross and the Swedish gaming company ATG has given nearly £200,000. It is a sign of the betting industry coming together to try to limit the influence of Russia and to help those out that are most in need of it. It is likely that other companies will make similar choices in the coming weeks and months, should the attack on Ukraine continue unabated and more people die or become displaced as a result.