A new study by German economist Gunther Schnabl of the University of Leipzig reveals alarming developments regarding the German online gambling market: despite federal states' efforts to direct players towards authorized offers, around half of gambling German online gambling continues to take place on the illegal market. Youth and player protection measures from legal providers, such as limits, bans and offers of help, are therefore often ineffective.
The reason for this situation would be due to the enormous black market offer on the Internet, which can be accessed with just a few clicks and which is advertised around the clock. At the same time, the legal German gambling market is subject to restrictive limitations that often make it unattractive to players. This leads to tax losses amounting to several hundred million euros and jeopardizes player protection.
The association that commissioned the study, the German Online Casino Association (DOCV) and the German Sports Betting Association (DSWV), are therefore calling for urgent measures:
- 1) Accelerate the licensing processes of the GGL gaming authority to prevent black market activities.
- 2) Increase market competitiveness.
- 3) Consistent with the advertising ban even for illegal suppliers.
- 4) Maintain the possibility of advertising for legal offers
- 5) Improve cooperation between industry, regulatory body, politics and interest groups.
- 6) Review of the provisions of the Interstate Gaming Treaty to achieve the objectives.
- 7) Change in the taxation of online gambling offers.
The associations are engaged in constant evidence-based research into the illegal gambling market to ensure a safe gaming experience.
