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Fintechs in Kazakhstan Raises Concerns Over Proposed Gambling Regulation

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Fintech companies in Kazakhstan are urging greater scrutiny of a proposed law intended to regulate betting transactions in the country.

The submitted legislation, currently in its final reading, would form a monopoly entity, the Unified Accounting System (UAS), the firms said in a joint press release. The UAS would be used to determine market participants, process payments, maintain a single “electronic wallet” and make settlements with clients. A critical concern is that it could charge up to 1.5% in commissions on all market transactions, within a market where regulated transactions exceed KZT1.2tn ($2.6bn) annually.

Irina Davidenko, a spokesperson for Kazakhstan’s payments industry, commented: “The proposed legislation would be a step backwards for Kazakhstan, harming competition in the country’s vital payments sector and signaling to the outside world that necessary business reform is being driven by shadowy interests, rather than what’s right for industries and consumers.”

The proposal, partly billed as a public health move against problem gambling, resembles a previous initiative, the Betting Accounting Centre (BAC). It was shelved in 2021 after a scandal involving a deputy minister who was dismissed for accepting bribes from BAC lobbyists, according to the press release.

The lack of transparency on the UAS structure and ownership as outlined in the legislation is another aspect of the change that is seen by critics as troubling.

The reintroduction of a UAS model occurred as late as the second reading of the legislation. If passed by parliament, it will become law without the comprehensive impact analysis and scrutiny typical for such significant regulatory change.

Observers argue the new regulation duplicates existing regulatory functions already managed by Kazakh state bodies and was proposed without the cooperation of the National Bank of Kazakhstan. The central bank has previously developed its own reform proposal that avoids introducing a monopolistic entity.

Opponents further contend that the regulation could cause “significant economic damage”. National Bank of Kazakhstan representatives and the payments industry have sounded alarm bells, but the issues have not been adequately addressed, the press release added.

The concerned fintech and payment companies want the legislation to be reconsidered. They are advocating for it to be sent back to the lower house of the legislature for a full regulatory impact analysis and thorough examination to ensure that it does not adversely affect industry or the economy.

Ilya Efimenko, commercial director of the payment organisation PayDala, said: “I appeal to the Senators, who need to know the true purpose of why the UAS has made a comeback in the bill.

“This is a re-emergence of the ‘Betting Accounting Center’ (BAC), a strikingly similar entity that was withdrawn before, and behind which, as the deputy from the Amanat party Elnur Beisenbayev said, are the powerful forces of ‘Old Kazakhstan.’

“Before our eyes, a monopolist, a private operator, is being created. The emergence of monopolies such as the UAS threatens the principles of a Fair Kazakhstan. Now everything is being done to break the financial system of Kazakhstan, recognized by experts as one of the best in Central Asia.”

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Asia

Xsolla to Present Global Expansion Solutions at Tokyo Game Show 2024

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Xsolla to Present Global Expansion Solutions at Tokyo Game Show 2024
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Xsolla, a global video game commerce company, will showcase its cutting-edge solutions at Hall 4, Booth #04-C48, during the Tokyo Game Show 2024, which will take place from September 26-27, 2024, at the Makuhari Messe Convention Center in Tokyo, Japan. Xsolla’s booth will feature live demonstrations of its latest solutions aimed at helping game developers and publishers succeed in expanding to international markets.

During the event, Jin Jeong, Regional Vice President of Xsolla Japan, will deliver a keynote session focusing on the critical role of Xsolla’s Merchant of Record (MoR) solutions in transforming the way game companies handle cross-border transactions, taxes, and regulatory complexities. This session will offer developers and publishers a comprehensive look into how Xsollasimplifies global operations, allowing studios to focus on creating games while Xsolla handles the business side.

In addition to showcasing their MoR solutions, Xsolla will demonstrate how their payment systems and cross-play/cross-pay features enhance global reach for game developers of all sizes and across all platforms. Xsolla will also showcase how they help video game companies integrate with various payment methods worldwide, allowing developers to monetize their games across different regions easily.

David Stelzer, President of Xsolla, emphasized the significance of this event for the company: “We’re thrilled to be part of the Tokyo Game Show and to present our latest solutions designed to empower game developers and publishers to expand globally. Our mission is to support the gaming industry with the tools they need to thrive in international markets, and we are eager to showcase how Xsolla can make global expansion easier and more effective.”

Attendees are invited to visit Xsolla’s booth to meet with the team of experts, who will be available to provide insights, answer questions, and discuss how their tailored solutions can help game developers and publishers grow their businesses. For those interested in more in-depth discussions, Xsolla also offers one-on-one meetings to explore specific solutions for global market expansion.

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Mortal nominated for ‘Esports Content Creator of the Year’ at global Esports Awards 2024 Part 2

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Naman ‘Mortal’ Mathur, co-founder of S8UL and widely recognized as the ‘Face of Indian gaming and esports,’ has been nominated for the prestigious ‘Esports Content Creator of the Year’ award at the Esports Awards 2024 Part 2, which is set to take place on November 14th, 2024, in London.

This marks Mortal’s sixth consecutive nomination at the global Esports Awards, highlighting his immense influence and contributions to the esports community, both in India and globally. The 27 year old will be up against some of the biggest names in the industry including Tarik Celik, Ibai Llanos Garatea, and Marc ‘Caedrel’ Lamont, in his category.

Following the conclusion of The Esports World Cup, the first part of The Esports Awards took place in Riyadh in August, where Mortal bagged the Runners-up title in the Esports Personality of the Year category and S8UL Esports, created history at the event by winning the Content Group of the Year award for the third consecutive time, a feat no other organisation, globally, has achieved at this platform.

Recently, Mortal and S8UL Esports have also been acknowledged with multiple nominations at the MOBIES Awards 2024, recognizing their exceptional content and significant impact on the mobile gaming industry. Mortal has been nominated in the ‘Mobile Content Creator of the Year’ category, while S8UL Esports has received nods for ‘Mobile Organisation of the Year’ and ‘Live Event of the Year’ for their S8UL Gaming Fest 2023.

These nominations reaffirm the remarkable influence of Mortal and S8UL in shaping the future of Indian esports and creator economy on the global stage.

Naman Earns Sixth Nomination at Esports Awards:

  • 2020: Esports Mobile Player of the Year- 3rd position; Streamer of the Year- 2nd position
  • 2021: Streamer of the Year – 2nd position
  • 2022: Esports Personality of the Year – 2nd position
  • 2023: Esports Personality of the Year – 2nd position
  • 2024: Esports Personality of the Year – 2nd position
  • 2024: Nominated for “Esports Content Creator of the Year”
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FBM® announces a $10M investment in a software house based in the Philippines during a PAGCOR visit to Portugal

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FBM®, a leading player in the gaming industry in the Philippines, is set to reinforce its commitment to this market by investing $10M in the construction of a new software house in Manila. This strategic expansion decision was announced yesterday during a visit by a Philippine Amusement and Gaming Corporation (PAGCOR) delegation to one of the FBM Group’s software houses in Porto, Portugal.

The Champion legacy of FBM has strong roots in the Philippines. FBM has been expanding its land-based operations in the country for over two decades and recently launched its remote gaming platform FBM E-Motion, following the steps of PAGCOR in modernizing and expanding the gaming industry in the country.

To strengthen ties between both institutions and renew its commitment to continue investing in the Philippines Gaming Industry, FBM invited a PAGCOR delegation led by Chairman and CEO Alejandro Tengco to join Renato Almeida (Director at FBM) and Pepe Costa (Philippines Country Manager at FBM) in visiting one of the Group’s software houses in Portugal, where FBM announced a key strategic decision for the market.

The tour allowed PAGCOR representatives to explore the technology, innovation, and methodologies used by the FBM Group in the creation of reliable, compelling, and high-performance video bingo and slots. During the visit, Renato Almeida took the opportunity to announce the building of a new software house in the Philippines and explain the brand’s $10M investment in this new facility.

“We are a reference in the Philippines gaming scene, and this investment represents our commitment to the industry and to boost FBM’s leadership position in the country! We want to continuously bring customized entertainment products and experiences that entertains the Filipino players, and this facility will be the perfect infrastructure to meet the growing demand of this market,”stated Renato Almeida.

The new software house in the Philippines will follow the successful models implemented in FBM Group’s current software houses in Portugal and Brazil, while adding proximity and expertise in local culture. FBM expects this facility to serve as a gateway for innovation in the country, allowing FBM to stay ahead of trends and develop cutting-edge technology and innovative solutions.

With this significant investment in a new software house, FBM begins a new chapter in its successful journey in the Filipino gaming industry. Once again, the FBM Group demonstrates its commitment to continuous growth and technological evolution, remaining focused on delivering high-quality experiences for players and business partners worldwide.

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