New German Gambling Regulator Officially in Office

One year after joining the league of regulated gambling jurisdictions around the world, Germany has an official regulator. As determined by the country’s Fourth State Treaty on Gambling, Saxony-Anhalt was a temporary solution, and as of 1 July, Glücksspielbehörde (GGL) took control of gambling regulatory duties.

Although the German legislative framework is of the strictest in Europe, the sports betting trade association Der Deutsche Sportwettenverband (DSWV) urged the new regulator to focus on flushing out illegal operators as soon as possible.

The change came shortly after good news from Saxony Anhalt. As a parting gift, the regulator announced that an additional 9 slot and poker providers joined the list of approved licensees.

 GGL Up for the Challenge

Originally, the federal gambling regulator would have taken the reins at the end of 2022. Six months ahead of schedule, GGL is primed and focused on improving online gambling in Germany. The new regulator intends to build on the work completed by its predecessor and vows to create a safe online gambling industry through the available tools.

As the first order of business, the GGL plans to weed out black-market operators under the goals of the Fourth Interstate Gambling Regime. Experienced Saxony Anhalt staff joins the new regulator, along with new employees, to apply their breadth of knowledge and utilise resources to this end. The German regulator sets out to have 110 employees by the beginning of the new year.

Benjamin Schwanke and Ronald Benter share the responsibility of Chief Executives of the GGL. Benter expressed gratitude toward their predecessors and affirmed the new body’s ability to stamp out illegal gambling.

 Gloves Off

The DSWV expressed its expectation for the GGL to step into action immediately as the association’s president urged the new regulator to tackle unlicensed providers.

Mathias Dahms, DSWV president, blames poor gambling regulation for the unprecedented numbers of black-market operators in the country. Dahms welcomed the new regulator and said:

“The Authority is now facing major challenges, and we hope that they will also overcome them. The unregulated black market has been able to take on gigantic proportions practically unhindered in recent years. It must, therefore, intervene now and create a fair market as quickly as possible.”

The DSWV identified 507 illegal websites that target German gamblers and reported that it is very simple to register on these sites. GGL’s plans to take on the black market include tools like payment and provider blocking software. They will announce further details on the next steps in due time.

 New Horizons

Apart from the challenge of taking down numerous illegal operators in the country, Germany’s GlüNeuRStv regime is far from a favourite for trusted operators and many voluntarily left the jurisdiction because of it. To truly stamp out illegal gambling, the regulator needs to ensure German gamblers have sufficient legal options.

Thanks to the parting gift from Saxony Anhalt, it seems like the country may soon have better options for its citizens. With 9 more online casino options, the new regulator’s channelisation goals become more attainable.

Only time will tell how many of the 60-odd pending applicants will join the regulated German market.