Germany opens regulated betting and iGaming market

A new State Treaty comes into force in Germany today following a thorough transitional period which began last October. This new law will impose a number of strict restrictions for licensed betting and gaming operators within the country.

New restrictions

Under the new State Treaty, these restrictions will include limited availability of in-play sports betting and a limit on online slot spending. They will also include a prohibition of online casino table games, such as roulette and blackjack, as well as a 5.3 percent tax on iGaming stakes.

These restrictions are expected to limit the appeal of the regulated market to players within Germany. Previous to the new law, these players may have sought out unlicensed online operators with a wider product offering and higher pay outs.

Long awaited law

The opening of the regulated market was welcomed by many, in particular the German Sports Betting Association (DSWV), who believe it is long overdue. They have previously called on German authorities to “severely sanction those who continue to operate without a license” within the country .

President of DSWV, Mathias Dahms, stated “Today Germany is finally taking the step that the rest of the European Union took a long time ago. However, the State Treaty on Gambling must be further developed in order to eliminate the problems that still exist: the artificially limited product selection, cross-provider limits and the excessive taxation must be corrected.”

DSVW believe that while still providing transparent and reliable gambling, focus should be put on players protection. Dahms also stated “The licensed companies have a government mandate. They and the DSWV stand for transparent and reliable gambling, they advocate consumer protection, the prevention of gambling addiction and the protection of minors. The German Sports Betting Association is fully behind the goals of the new State Treaty.”

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