US Online Gambling – Legal Update 2019 - Baltimore Post-ExaminerBaltimore Post-Examiner

US Online Gambling – Legal Update 2019

The USA may soon follow other European countries and use a similar model to Germany. The German gambling market has the potential of becoming the biggest in Europe, with millions of players who can afford to bet larger amounts. Not surprisingly, online gaming companies pay close attention to the legal updates that could shape the future of the online gambling market in Germany. This market has extraordinary potential to grow, as the interest for sports betting, casino games and poker is on the rise in Europe’s richest country.

The government strictly defines gambling and has enforced a set of rules aimed at creating a secure gaming environment. A clear distinction is made between land-based and online gambling, with the former being regulated at both federal and state levels. Gambling operators and all new casino sites 2019 have to meet certain requirements to get a license and do their due diligence to protect young and vulnerable people. The rules, as well as the taxes paid can differ based on the type of gaming service offered and the state.

EU gambling licenses are accepted in Germany

Online gambling companies who intend to cater to German players can do so if they are licensed in one of the states of the European Union. Most of them prefer to apply for a license in Gibraltar and Malta, as these are two of the most respected regulatory bodies in Europe. New casinos and sports books are being launched every year and many of them accept players from Germany, but they don’t apply for a license within national borders. That’s because it is still illegal to host a remote gambling site in this country.

Sports betting and lottery games are the exception, so unlike online casinos, gambling operators can seek authorization in one of the German states. Those who succeed are legally allowed to provide their services to German players, but also gamblers living outside national borders. The vast majority of gambling operators, who choose to walk down this path, do so with a clear intention of tapping into the immense potential of the German online gambling market.

More licenses needed for advertising

Regardless of the state where they apply for a license, gambling operators offering sports betting and lottery games to German players, need an additional license for advertising. Those who want to promote their services on TV or on the Internet require such a license which is given by the regulators in Berlin. In this European country, it is strictly forbidden to advertise gambling services over the phone, SMS or apps such as WhatsApp. On the bright side, other channels of communication, such as newspapers, posters and flyers are not subject to any restrictions and can be used for advertising purposes.

Progress has been made nationwide and more than a dozen states contemplate the possibility of offering online casino licenses. However, in order for this to happen, the German gambling regulations need to be amended and this decision is made at the federal level. Under these circumstances, the odds of having online casinos headquartered in Germany and serving local players in the foreseeable future are slim.


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