German States Introduce New Rules Related to Online Casinos

According to the media reports, officials from 16 German states have decided to approve the legalization of online casino and poker. The latest changes will be introduced following the amendments of the Fourth Interstate Treaty on Gambling. It will lead to full concessions on online gambling and poker for local players.

More About the German Market

The German gambling market has undergone a lot of changes recently. Starting from 2012, German state Schleswig-Holstein hasn't conformed to the provisions of the First Interstate Treaty. Instead of it, the state used to have its legislative framework for online gambling. At the same time, the European Union has been against German regulation regarding online casinos while insisting that Schleswig-Holstein breaches competition rules.

Meanwhile, the online casino framework used to be the scope of conflict between German states which have agreed to introduce new rules which will be ready within 12-16 months. According to the same idea, revised provisions of the Fourth Interstate Treaty should come into force as of 30 June 2021.

Scope of Changes

Together with modifications of present rules, German states will keep their lottery rights while approving casino, slot and poker chances. Bundesrat is yet to reveal online casino requirements for all 16 states. However, it remains clear that each of them will be focused on minor protection as well as on the suppression of gambling addiction.

According to the head of the Schleswig-Holstein state chancellery:

“The intention is to create a suitable alternative to illegal gambling and to counteract the development and spread of illegal gambling into black markets."

German Online Casino Association (DOCV) issued the statement:

"With the legalization of online casinos, this highly desirable market becomes not only visible but also controllable and secure."

Besides all these positive changes, German states will probably keep applying €1,000 deposit limit across online casino and poker chances. The latter instrument has been one of the most disputable in the sports betting world together with vague terms regarding in-play betting.

Expectations

As soon as changes come into force, we will have a new body responsible for collecting records of customers’ wagering. This ‘new supervisory authority’ will keep ’lock files’ from licensed providers with all info about online gambling engagements.

The North Rhine-Westphalia (NRW) body has just confirmed the draft of documents and an additional plan regarding the super-surveillance of the German casino market. One of NRW executives has even proposed the installation of a hi-tech monitoring unit which will be provided by 300 staff.

German Online Casino Association president, Dirk Quermann added:

“There were many dubious offers radiating from abroad, taking advantage of this current unregulated situation in Germany, and consumers thus have the problem that they cannot orient themselves."

The prime ministers of German states should approve the new gambling rules at the beginning of March. The treat will come into force in July 2021, upon expiration of the current one.

Source:

“German states agree to country-wide gambling regulation reform”, Jake Evans, egr.global, January 22, 2020.