The UAE Gaming Industry: A New Phase of Regulation and Business Opportunities

In recent years, the United Arab Emirates has been actively strengthening its status as one of the world's leading financial and technological centers. Along with the development of fintech, digital assets and innovative business models, the country is gradually opening up another promising area - the regulated commercial gaming market.

An important signal for the industry was the launch of the first legal advertising campaign for betting on international football events in the country by the operator Play971. The project was implemented within the current legal framework and in accordance with the requirements of the new regulator, which became one of the first practical examples of the functioning of the licensing system in the UAE.

In 2023, a federal regulatory authority was established in the UAE - the General Commercial Gaming Regulatory Authority (GCGRA).

The main goal of the new regulator was to create a transparent system of control over commercial gaming activities, including the licensing of operators, technology providers and other market participants.

The system provides for the division of licenses into several categories, including:

• operators of casinos, betting platforms and lotteries;
• technology and payment providers;
• key company officials.

This approach allows the state to ensure a high level of control, transparency and compliance with international compliance standards. One of the most discussed events was the construction of a large-scale integrated resort by Wynn Resorts in the emirate of Ras al-Khaimah. The project is being implemented on Al Marjan Island, and the volume of investment is estimated at approximately 4 billion US dollars. The opening of the complex is scheduled for 2027.

It is expected that this facility will become the first official casino in the recent history of the UAE and will actually open a new page in the development of the gaming industry in the country. Contrary to popular belief, the topic of gambling is not completely new to the region.

Historical sources indicate that as early as the 1970s, Dubai had indoor gaming venues, primarily aimed at foreign visitors. However, subsequent geopolitical changes led to the virtual closure of this trend for several decades.

Today, the country is returning to the issue of gaming in a completely different format - through the creation of a comprehensive regulatory system, digital transaction control and the introduction of modern financial monitoring mechanisms.

The launch of a regulated gaming market can have a significant impact not only on the tourism industry, but also on the real estate market.

Traditionally, large entertainment complexes form a large-scale infrastructure around themselves, which includes:

• hotels;
• restaurants;
• retail facilities;
• office space;
• housing for staff and management teams.

That is why investors often begin to assess the potential of suitable locations long before the construction of the main facility is completed.

An example of this process has already been Al Marjan Island, where after the announcement of the Wynn Resorts project, a significant increase in interest in real estate and land assets was observed.

Further development prospects:

Many market participants consider the project in Ras al-Khaimah as a test model for the further development of the industry in other emirates. In case of successful implementation, similar projects may appear in other key centers of the country, including Dubai and Abu Dhabi. It is important to understand that the potential increase in real estate values ​​is unlikely to be uniform across the market. The greatest effect is traditionally received by locations that fall directly into the zone of influence of new infrastructure and tourism projects.

The creation of GCGRA and the launch of the first licensed projects indicate the formation of a new regulated segment of the economy in the UAE. For international business, this opens up additional opportunities in the areas of gaming, fintech, payment services, technological solutions and investment activities. At the same time, a successful entry into this market requires careful legal structuring, an assessment of regulatory requirements and the construction of a compliance model that will meet the standards set by the new regulator.

The Antwort Law team supports companies operating in the areas of gaming, fintech, digital assets and international business. We advise on licensing, regulatory requirements, business structuring and building compliance models in various jurisdictions, including the UAE.

If you are planning to launch a project in the gaming industry, are considering entering the UAE market or want to assess the regulatory requirements for your business, contact our specialists. We will help you build a legal structure that will meet the requirements of the legislation and facilitate the safe scaling of your project internationally.

Lidia Ivanova

International lawyer
Antwort Law