In Germany, the gambling and iGaming regulator, GGL, recently published its 2023 activity report , marking its third anniversary.
Regulation of the German gambling market began in 2012 with the introduction of the Interstate Treaty on Gambling. In 2021, the treaty was amended to include more regulations concerning the iGaming industry. Today, German regulations are a complex structure consisting of state and federal laws. Online gambling is regulated at the federal level, with the exception of online casinos, which are regulated at the state level. Land-based gambling (casinos, gaming halls, bookmakers, and lottery agents) is regulated at both the state and municipal level.
One of the regulator’s main tasks is to combat illegal gambling by closing and prosecuting unlicensed operators, as well as strengthening measures to redirect players to legal platforms. GGL reports that in 2023 it inspected 1,864 sites and investigated 438 cases of suspicions of illegal gambling or advertising of such games. Thanks to this intensive monitoring, GGL was able to close 63 illegal operators.
GGL’s main tool for enforcing its decisions is payment blocking, which prevents transactions by illegal operators through major payment service providers. GGL claims that this tool has proven very effective. However, the regulator also hopes to implement IP blocking soon, although the legal basis for this measure has not yet been fully established.
In preparation for Euro 2024, the regulator announced that it would begin preparations and strengthen monitoring of sports activities and related advertising in 2023
GGL proudly announced that it will issue 39 new licenses in 2023, acknowledging that the application process is long and complex. Each licensed operator will continue to be closely monitored even after receiving their licenses, along with the 142 operators already registered and whitelisted by GGL .
In the future, to streamline administrative processes, GGL may be involved in the creation process. “One way to speed up the application process is to involve game manufacturers and developers directly in the approval process,” says Ronald Benter, a GGL board member. “This would speed up the process considerably.”
Growing Market According to GGL reports, the German gambling market grew by 2%. It represents €13.7 billion, of which 22% comes from online gambling alone. At the same time, the report estimates the gross revenue from the black market gambling to be between €400 million and €600 million.
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