German Sports Betting Association claims more black-market growth in 2023
The DSWV notes 5.4% decrease in total regulated market stakes a result of growth of illegal market as body implores regulator and government to get to grips with the issue
The post German Sports Betting Association claims more black-market growth in 2023 first appeared on EGR Intel.
The German Sports Betting Association (DSWV) has claimed a 5.4% decrease in total stakes placed in the legal market are because of the growing illegal sector in Europe’s largest economy.
The trade body has reported that licensed sports betting operators secured total stakes of €7.7bn in 2023, representing a 5.4% decrease compared to 2022.
The group said the migration of players to the black market had played a key role in this development.
The DSWV argued that regulatory headwinds, such as deposit limits and a stringent tax regime, has meant licensed operators have “not been able to keep up with the extensive betting offers of the black market”.
A previous DSWV study purported that black-market activity accounts for around 50% of all online German gambling.
The DSWV said: “This alarming development requires urgent action on the part of the GGL [the German regulator].
“The DSWV is therefore calling for a reorientation of the current regulatory policy in order to strengthen the legal market and curb the black market.”
The body also pointed to this summer’s UEFA EURO 2024, which is due to be hosted in Germany in June and July.
The group said new customers will be opening accounts to coincide with the tournament and that licensed operator will need to be able to direct them to the regulated arena.
The DSWV noted that advertising would be a key weapon in the fight against the unlicensed sector in the build-up to the tournament.
Mathias Dahms, DSWV president, said: “Money flows into the coffers of the black-market providers.
“No company can survive if it is not allowed to advertise, and this must remain the case for sports betting providers.
“Otherwise, players are left with the black market, where there are no protective measures and controls,” he added.
Finally, the DSWV said that the body and its members were committed to funding the national telephone helpline for gambling-related harm.
The group also urged the GGL and German government to carry out a “nationwide study on the problem of gambling addiction in the form of a regular survey”.
A report from the University of Bremen last year claimed that around 1.3 million people in Germany suffer from a gambling disorder.
Image credit: DSWV
The post German Sports Betting Association claims more black-market growth in 2023 first appeared on EGR Intel.
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