German Online Gambling Regulation Nearly as Bad as That of America

Posted: February 27, 2012

Updated: October 4, 2017

German online poker and blackjack players heading to underground casinos

All those online casinos and sportsbooks were waiting in hope of a workable business climate under German gambling laws. Unfortunately, it didn’t happen.

As reported by Germany gambling news, 15 German states signed a treaty banning online casinos. This will need to be approved by the European Union with questions as to what will happen to German poker and blackjack once online versions of these games are banned?

The questions arise regarding the protection of these players from unreputable outlets as well as to the missing tax revenues that now will leave Germany. Meanwhile, the sportsbooks will be allowed to operate so a bet on sports in Germany will be possible.

One state, Schleswig-Holstein, didn’t join the other German states into signing the gambling law. Instead, the state is seeking its own regulations. Schleswig-Holstein, indeed, is seeking to allow multiple gambling operators to run their business in the state. However, at this point, it is not clear as to whether it will be allowed to do so.

The critics of this legislation state that this will lead to black market online poker while protecting the existing gambling monopolies, all at the expense of the German taxpayer and jobs.

One of the places to be hit the hardest by the new regulation is the arcade industry, and not only online operators, but actual land-based ones. The arcade owners state that the new law may lead to the elimination of nearly 50% of machines within 5 years. This would be a truly massive contraction, with many lay-offs in the pipeline.

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