Kyrgyzstan is considering legislation to prohibit gambling conducted through binary options and strengthen criminal penalties for illegal gambling and lottery operations.
The parliamentary Committee on Finance, Budget, Entrepreneurship and Competition Development approved the draft amendments at the second-reading stage on 27 October. Parliament had approved the bill in its first reading on 7 October.
Kairat Mamatov, Chairman of the State Service for Regulation and Supervision of the Financial Market, outlined the proposals on Birinchi Radio.
He said platforms offering opportunities to profit from movements in share prices, currencies and other assets could operate on principles comparable to gambling.
Mamatov described binary options as bets on whether an asset’s price or an exchange rate would rise or fall, saying the authority classified such activity as gambling.
The bill would prohibit organising and conducting gambling in this form, alongside advertising, promotion and recruitment of participants.
It would also ban accepting money and virtual assets from Kyrgyz citizens and residents for participation in binary options.
The proposals involve amendments to the Criminal Code and the country’s gambling and lottery laws. They also provide for separate criminal liability for organising or conducting lotteries without the required authorisation, including through online channels.
According to the bill’s authors, the measures aim to protect citizens from financial fraud, strengthen oversight and prevent money laundering and terrorist financing.
The proposals follow Ministry of Finance figures showing KGS443.4m ($5.07m) in gambling tax collections during January–August 2026, with casinos contributing approximately 95.3% of the total.
Separately, the Association of the Gaming and Entertainment Industry (AIRI), launched in July, has brought licensed casinos, bookmakers and lottery operators together and is pursuing cooperation with the financial market regulator.
The reported second-reading approval was at committee level; it doesn't mean the proposed restrictions have become law
