Sports Gambling Restrictions in Germany: Many Turn to Illegal Sites

In some countries, like the United States, sports gambling is living its best time. More and more options are coming up, more and more states legalize online sports betting. But there are other countries, like Germany, where the current state of sports gambling is making both players and legislators worry. As sports gambling restrictions in Germany are starting to materialize, many players turn to illegal sites to gratify their passion. 

In the past months, Germany proposed a new tax structure for online gambling. It would affect gamblers and online gambling sites in Germany as well. The Düsseldorf Institute for Competition Economics expressed that these alterations will shift even more citizens into the direction of illegal or offshore sites. Although they know that this is already happening: many players seek alternative options. Here is why and how they want to give effect to sports gambling restrictions in Germany.

Sports gambling market in Germany

According to the Federal Ministry of Finance, in 2019 Germany’s legal sports gambling market had a revenue of 9.3 billion euros. 2020 was a much harder year for every sector, so for the gambling one as well. The worst period was between March and May when they completely shut all sports activities down around the world. In September the situation was starting to get better, with gambling revenues starting to move forward. But still, it could only hit 7.8 billion euros which are 16% less compared to the previous year. So, the new sports gambling restrictions in Germany could hit the field even more, since it is already floundering.

Effects on the government

Mathias Dahms, who is the president of DSWV – the German acronym for the German Sports Betting association – spoke up on the topic. “During the first lockdown in spring 2020, when all European leagues had ceased their gaming operations, the German sports betting market collapsed completely: in April by 90 percent compared to the previous year, in May by 75 percent. Without sport, there can be no sports bet, of course.” Because of the decline, sports gambling operators could not contribute as much to the government’s stock, as they did the year before. The sum was 464 million euros in 2019 which dropped to 389 million dollars in 2020. These struggles hit the online casino sites in Germany, like Whamoo Casino. And now they are topping the situation with the sports gambling restrictions in Germany. 

It is coming: sports Gambling restrictions in Germany

They introduced the new regulations, and they are already harming the segment. The traffic on gambling sites that are not authorized to operate in the country, is increasing. Gamblers mainly go for operators in the Caribbean or Asia. Because of this, the domestic activity had a downfall of 54%. Dahm added: “It becomes clear that the strict regulations for virtual slot machine games have channeled the market away almost overnight – unfortunately in the wrong direction. It is unrealistic to believe that German customers will get used to the excessive restrictions of the State Treaty and come back to licensed providers as long as they can play with competitors who offer them much better conditions. We urgently need improvements to the regulations and functioning enforcement against illegal offers. Otherwise, established providers willing to regulate will withdraw from the German gaming market.”

What can gamblers do about sports gambling restrictions in Germany?

It goes without saying that gamblers will play wherever they find the best conditions. And  honestly, no one can blame them for that. They can wait for the situation to play itself out, or stand by until the regulations might alter. It could be happening, since it is the government’s interest to drive the players back to online gambling sites in Germany, like Whamoo Casino. Until then, hang in there, and gamble legally!

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