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MN

Is Gambling Legal in Mongolia?

Partially Regulated
Sports betting is legalized and regulated under a licensing system; all other forms of gambling remain strictly prohibited.
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    Key Information Highlights Legislation Timeline Requirements Sources

    Key Information

    Last Update 2025
    Regulatory Authority Mongolian Government
    License Cost Varies

    Regulation by Activity Type

    Casinos Prohibited
    Online Casinos Prohibited
    Betting Regulated
    Online Betting Regulated
    Lotteries Unregulated
    Poker Unregulated

    Highlights

    • Sports betting is the only form of gambling currently legalized and regulated in Mongolia.
    • A special licensing system exists exclusively for sportsbooks, ensuring strict oversight and transparency.
    • All other gambling activities, including casinos and online gaming, remain strictly prohibited.
    • Harsh penalties and new legal amendments target both illegal gambling operators and those facilitating such activities.
    • Authorities have banned gambling advertisements and restricted paid puzzle games that mimic gambling.
    • The government actively blocks access to thousands of illegal gambling websites, but enforcement remains challenging.
    • Legislation aims to prevent capital outflow and economic crime, with a focus on protecting citizens from fraud.
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      Legislation

      Mongolia has recently undergone significant changes in its gambling regulatory framework, with new legislation specifically addressing sports betting while maintaining prohibitions on most other forms of gambling.

      Primary Legislation

      Mongolia's gambling legal framework is primarily governed by recently approved legislation that legalizes sports betting while maintaining strict prohibitions on other gambling activities. The Mongolian government has established a specific legal distinction between sports betting, which is now permitted under a licensing system, and other forms of gambling which remain illegal. This legislative approach aims to create a controlled environment for sports betting while preventing unauthorized gambling activities. The new sports betting legislation, approved in March 2025, establishes the foundation for a regulated sports betting market in Mongolia. This law introduces a licensing framework specifically designed for sportsbooks and includes provisions aimed at protecting Mongolian citizens from fraud and online crimes through tighter industry regulation. The legislation also contains provisions to prevent the outflow of national currency, which the government considers essential for Mongolia's economic security. Complementing this primary legislation are amendments to existing laws that strengthen penalties for illegal gambling activities and specifically target those who facilitate illicit gambling operations. These legal amendments address the use of personal bank accounts, payment systems, money transfer services, and telecommunications networks for illegal gambling purposes.

      Regulatory Authority

      The Mongolian government exercises regulatory oversight of the gambling sector, with key officials such as the Chief Cabinet Secretary playing important roles in implementing and communicating gambling policies. The regulatory framework includes coordination between multiple government entities to ensure comprehensive enforcement.
      • The Communications Regulatory Commission has authority to restrict access to online gambling domains, having already blocked access to thousands of gambling websites
      • The National Statistics Committee provides data on gambling-related economic crimes that inform regulatory decisions
      • Financial investigation authorities monitor currency transfers related to gambling activities
      The regulatory structure is designed to implement the new licensing system for sports betting operators while simultaneously enforcing prohibitions against other forms of gambling. Authorities are also empowered to ban gambling advertisements and restrict paid puzzle games that mimic gambling activities, demonstrating a comprehensive approach to gambling regulation beyond just licensing and enforcement.

      License Types

      Types of Gambling Licenses Available in Mongolia

      • Sports Betting License: As of 2025, Mongolia issues a special license exclusively for sports betting operations. All other forms of gambling, including casinos, lotteries, and iGaming, remain strictly prohibited under current law.

      Application Process for Sports Betting Licenses

      • Regulatory Authority: The licensing process is overseen by the Mongolian government through a designated regulatory body, with the aim of ensuring transparency and preventing illegal activities.
      • Application Submission: Interested operators must submit a formal application, providing detailed information about their business structure, operational plans, and compliance measures.
      • Background Checks: Applicants undergo thorough background checks to assess their suitability, including verification of financial stability, criminal records, and previous involvement in gambling-related offenses.
      • Review and Approval: The regulatory authority reviews applications to ensure all requirements are met before granting a license. The process is designed to be rigorous to prevent fraud and economic crimes.

      Duration, Renewal, and Eligibility

      • License Duration: Licenses are typically issued for a fixed term, with specific renewal conditions set by the regulatory authority. The exact duration and renewal intervals are determined by current government regulations.
      • Renewal Conditions: Operators must demonstrate ongoing compliance with all regulatory requirements, including responsible gambling measures and financial reporting, to be eligible for license renewal.
      • Eligibility Criteria: Only entities that meet strict suitability, financial, and operational standards are eligible to apply. Applicants must not have any history of involvement in illegal gambling activities.

      Licensing Costs, Fees, and Financial Requirements

      • Application and Licensing Fees: The government sets specific fees for the application and issuance of sports betting licenses. These fees are designed to cover administrative costs and ensure only serious operators enter the market. The exact amounts are determined by the latest government regulations and may be subject to periodic updates.
      • Financial Guarantees: Applicants may be required to provide financial guarantees or proof of sufficient capital to operate responsibly and cover potential liabilities.

      Key Requirements for Obtaining and Maintaining a License

      • Operational Transparency: License holders must maintain transparent business operations, including regular financial and operational reporting to the regulatory authority.
      • Responsible Gambling Measures: Operators are required to implement measures to prevent problem gambling, protect minors, and ensure fair play.
      • Anti-Fraud and Security: Strict protocols must be in place to prevent fraud, money laundering, and other financial crimes.
      • Advertising Restrictions: Advertising of gambling services is strictly regulated, with a ban on gambling ads and restrictions on paid puzzle games that mimic gambling.
      • Compliance Monitoring: Ongoing compliance with all regulatory standards is mandatory. Failure to comply can result in penalties, suspension, or revocation of the license.

      Summary Table: Sports Betting Licensing in Mongolia

      License Type Available Activities Application Requirements Duration & Renewal Fees & Financials Key Compliance Points
      Sports Betting License Sportsbook operations only
      • Detailed application
      • Background checks
      • Proof of financial stability
      • Fixed term (as per regulation)
      • Renewal subject to compliance
      • Application and licensing fees (set by government)
      • Financial guarantees may be required
      • Transparency
      • Responsible gambling
      • Anti-fraud measures
      • Ad restrictions

      Gambling Tax

      Tax Rates for Gambling Operators in Mongolia

      Currently, Mongolia has legalized only sports betting under a special licensing regime. All other forms of gambling remain prohibited, except for draft legislation regarding casinos, which has not yet been enacted.
      Type of Gambling Tax Rate Tax Base
      Sports Betting Not publicly specified To be determined by new legislation
      Casino (Draft Law, not in force) 40% of daily profits Gross daily profits

      Basis for Taxation

      • Sports betting taxation details, including whether the tax is based on Gross Gaming Revenue (GGR), turnover, or other measures, have not been officially published as of April 2025. The new legislation is expected to clarify the basis and rates for taxation once fully implemented.
      • According to the draft casino law (not yet in effect), casino operators would be taxed at 40% of their daily profits.

      Tax Reporting and Payment Requirements

      • For sports betting, specific procedures for tax reporting and payment have not been disclosed. These details are expected to be outlined in secondary regulations following the introduction of the new sports betting law.
      • For casinos, the draft law proposes daily calculation and payment of income tax based on daily profits, but this provision is not yet law.

      Tax Incentives, Exemptions, and Special Provisions

      • No tax incentives or exemptions for sports betting operators have been announced.
      • The draft casino law includes special provisions: after 30 years of operation, 50% ownership of casino tables must be relinquished to the government. This is not a tax incentive but a unique ownership condition.

      Prohibited Individuals

      Age Restrictions and Identification Requirements

      • The minimum legal age for participation in any form of licensed gambling, including sports betting, is 18 years.
      • Operators are required to verify the age and identity of all participants to ensure compliance with age restrictions and to prevent underage gambling.

      Prohibited Activities and Game Restrictions

      • All forms of gambling except licensed sports betting are strictly prohibited. This includes casino games, poker, slot machines, lotteries, and all forms of online gambling other than regulated sports betting.
      • Engaging in or facilitating illegal gambling activities is subject to significant penalties, including fines and potential criminal liability.
      • Paid puzzle games and similar activities that mimic gambling mechanics are also subject to restrictions and may be banned if deemed to simulate gambling.

      Advertising and Marketing Limitations

      • All forms of gambling advertising are banned, including both direct and indirect promotion of gambling services.
      • This ban covers traditional media, digital platforms, and any public communications intended to promote gambling products or services.
      • Operators are prohibited from using marketing strategies that target minors or vulnerable groups.

      Responsible Gambling Requirements and Player Protection Measures

      • Operators must implement strict measures to prevent underage gambling, including mandatory age and identity verification at registration and before allowing participation.
      • There are enhanced penalties for individuals and entities that facilitate illegal gambling, including those who allow the use of personal bank accounts, payment systems, or telecommunications for unauthorized gambling activities.
      • Authorities monitor and restrict access to illegal online gambling domains, with thousands of such domains already blocked to protect players from unregulated operators and fraud.

      Geographic and Location Restrictions

      • Licensed sports betting operations must be conducted in accordance with geographic and jurisdictional requirements established by the authorities. Unlicensed gambling venues and online platforms are strictly prohibited.
      • Physical gambling establishments for prohibited forms of gambling are not permitted anywhere within Mongolia.
      • Access to unauthorized online gambling sites is actively restricted through domain blocking and other regulatory measures.
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        Timeline

        Year/Date Event
        1998 The Law on Casino was approved by the State Great Hural (Parliament) but was repealed shortly after due to allegations of corruption and abuse of power.
        December 26, 2022 Draft laws on casino, betting, and lottery were submitted to the State Great Hural for consideration, marking a renewed legislative push toward regulated gambling.
        2023 The Mongolian government declared 2023-2025 as “The Years to Visit Mongolia,” linking gambling reform to tourism development. Economic crimes related to gambling were highlighted as a growing concern.
        March 2025 The Mongolian government approved new legislation legalizing sports betting under a special licensing system while maintaining a ban on all other forms of gambling. The law also introduced stricter penalties for illegal gambling and measures to block gambling advertisements and online access.

        Requirements

        Software Certification and Technical Standards Requirements

        • All sports betting platforms must comply with technical standards established by the Mongolian authorities to ensure fairness, transparency, and security of betting operations.
        • Software used for sports betting must undergo certification by an approved testing laboratory to verify the integrity of random number generators, bet settlement mechanisms, and system reliability.
        • Operators are required to implement robust technical controls to prevent unauthorized access, manipulation, or tampering with betting systems.
        • Regular system audits and vulnerability assessments must be conducted to maintain compliance with regulatory standards.

        Data Protection, Privacy Measures, and Server Location Requirements

        • Operators must implement strong data protection measures, including encryption of sensitive customer and transaction data both in transit and at rest.
        • Personal data of players must be collected, stored, and processed in accordance with Mongolian privacy laws and international best practices.
        • All servers hosting betting operations and customer databases must be physically located within Mongolia to prevent unauthorized cross-border data transfers and ensure regulatory oversight.
        • Operators are required to maintain secure backup systems and disaster recovery plans to protect against data loss or breaches.

        Anti-Money Laundering (AML) and Know Your Customer (KYC) Procedures

        • Operators must implement comprehensive AML programs, including real-time transaction monitoring, suspicious activity reporting, and risk-based customer due diligence.
        • KYC procedures are mandatory for all customers and must include identity verification through government-issued documents, age verification, and ongoing monitoring for unusual activity.
        • Enhanced due diligence is required for high-risk customers or transactions, with clear escalation and reporting protocols to the relevant authorities.
        • Operators must maintain detailed records of all AML and KYC activities for regulatory review and audits.

        Financial Reporting, Auditing Standards, and Record-Keeping Requirements

        • Operators are required to maintain accurate and up-to-date financial records, including all transactions, customer balances, and operational expenses.
        • Annual independent audits of financial statements and operational systems must be conducted by certified auditors approved by the regulator.
        • Operators must submit regular financial reports to the regulatory authority, detailing revenues, payouts, and compliance with financial obligations.
        • All records, including customer data, transaction logs, and audit trails, must be securely stored for a minimum period as prescribed by Mongolian law and be readily accessible for inspection.

        Technical Implementation Requirements for Responsible Gambling Tools

        • Operators must integrate responsible gambling tools into their platforms, including self-exclusion options, deposit and betting limits, and reality checks for players.
        • Systems must be capable of automatically enforcing player-imposed limits and self-exclusion requests without manual intervention.
        • Responsible gambling features must be prominently displayed and easily accessible to all users at all times.
        • Operators are required to provide real-time monitoring and reporting of responsible gambling tool usage to the regulatory authority.

        Sources

        Primary Regulatory Authorities

        Legislation Resources

        Contact Information

        • State Great Hural (Parliament of Mongolia): info@parliament.mn, +976 51 262371
        • Communications Regulatory Commission of Mongolia: info@crc.gov.mn, +976 11 304258
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          Important Information Notice

          Gambling regulations are subject to change. The information provided on this page was accurate at the time of publication, but may not reflect the current regulatory landscape. Always consult official sources for the most up-to-date information before making any gambling-related decisions.

          Last updated: 22 April 2025