PokerStars has suspended operations in Russia. Pokerstars abruptly exited the Russian online poker market in support of Ukraine. And it’s not just the online poker site that has cut ties with Russia. Some of the world’s leading brands, from McDonald’s to Disney, have also abruptly exited Russia.
Russia has become an international untouchable and commercial pariah ever since it declared war on Ukraine earlier this year on February 24th. Since Russia invaded Ukraine, its military has been embarked on a brutal campaign of shelling and attacks as they take over some of the biggest cities in Russia one by one. While the forces in Ukraine have done their best to fight off the Russian military, the situation has caused the death and displacement of thousands of Ukraine residents.
All over the world, there has been an outcry against the Russian invasion, which has caused hundreds of brands to exit the Russian market. Why are brands exiting the market? That’s because brands do not want to be caught on the wrong side of the imminent sanctions that the US will place on Russia. Indeed, the US, as well as its supporters have been ramping up pressure on Moscow’s invasion of Ukraine.
Along with having to conform to US sanctions against Moscow, many companies and organizations are also glaringly aware of all the possible risks that come to their reputations and business should they choose to keep operating in Russia. Many brands, including PokerStars, have also expressed concerns over the plight of residents of Ukraine as the war continues to take a mounting toll on the locals.
Since Russia declared war on Ukraine, more than 2 million Ukrainians have fled their country based on reports from the United Nations Refugee Agency also known as UNHCR. According to the refugee organization, the number of people that have been forced to flee now constitutes the most rapidly growing refugee crisis in Europe since World War and the migrant crisis that was spurred by the war in Syria in 2015.
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Pokerstars Also Shutting Down the European Poker Tour Let in Sochi
As the war between Russia and Ukraine intensifies, PokerStars has opted to cancel the European Poker Tour stop at Sochi. The EPT, which is owned by PokerStars, has opted to postpone the event to October when things will hopefully have settled down in the region.
The European Poker Tour leg at Sochi had been scheduled to take place between March 18th and 27th at the Sochi Casino. A little while after Russia invaded Ukraine, PokerStars announced that it would be moving the tournament series to the fall, specifically between October 1st and 10th. Upon further review, however, PokerStars announced that it would be canceling the event as there doesn’t seem to be an end to the abrupt conflict in sight.
PokerStars rolled out the special product for Russian poker platers dubbed PokerStars Sochi in 2018. The platform has been catering to Russian poker players ever since gaming regulations were updated in Russia. Since the regulations were updated, Russian citizens can only access betting sites that have been designed specifically for Russian punters. Now that the war effort has intensified, PokerStars has temporarily ceased all operations on the online poker site.
Eugene Katchalov, Former Pokerstars Team Pro Member Manages to Flee Ukraine
While numerous Ukrainians in the eastern and central parts of the country have had to move to western Ukraine and further away from the front lines, millions have had to leave Ukraine entirely. Most of those fleeing the country have been children and women as males aged 18 to 60 were banned from escaping after the Russian national government-enforced martial law.
One of those individuals that have managed to flee includes Eugene Katchalov, the all-time poker leader in Ukraine. The ex-poker professional who dominated the all-time poker money list in Ukraine has been candid about his experience as he gives followers and poker fans a glimpse into his life during this tumultuous period. The top Ukraine poker player retired from professional poker in 2018 after amassing more than $9 million in cash winnings over his career.
Since his retirement, Katchalov has been running a professional e-sport company that he cofounded known as QLash. Before the attack, Katchalov was residing in Russia’s most populous city, Kyiv. According to the poker pro, officials in Ukraine have already reported the death of hundreds of people as a result of the conflict with numerous locals attempting to flee the populated city all at the same time thus leading to chaos.
Plenty of Other Sportsbooks and Betting Companies Have Exited Too
Aside from PokerStars, plenty of other US gambling brands have also stopped taking action on sporting events from Russia. Sportsbooks all over the country have come up with their own versions of sanctions against Russia by refusing to accept any play on sporting events from Russia on both mobile and brick and mortar platforms.
For instance, the Superbook situated at Westgate in Vegas had previously taken action on Russian soccer. However, since the invasion, the sportsbook has removed the market from its list of offerings. Similarly, DraftKings, which offered wagers on the Russian hockey league is no longer offering wagers on sports leagues and events from both Belarus and Russia.
Caesars announced that it was also closing its wagering market in Russian hockey, table tennis, soccer, and volleyball. On the other hand, Fanduel has opted to temporarily suspend all sports leagues and events tied to Russia and Belarus. Sports leagues such as the Union of European Football Association and FIFA have also cut ties with Russia.
Final Thoughts
For many businesses such as PokerStars, ceasing operations in Russia is as much about the stability of the business environment as it is about morality. It has been extremely difficult for organizations to conduct business in Russia. As such, exiting the market has been welcomed by many as a smart business move. As the war intensifies in the coming days, companies have continued to react to not just sanctions but to social sentiment as well.
