The parliament of the German state of Nordrhein-Westfalen has approved Germany’s Gambling State Treaty, Der Glucksspielneuregulierungstaatsverag (GluNeuRStV) today, making it the final state to do so.
The GluNeuRStV will be implemented in all 16 states on July 1, 2021.
The new regulator will be located in Halle, the capital of Sachsen-Anhalt. The new regulatory body can monitor user activity and ensure that all games are legal. This will be done by blocking IP addresses, offering test purchases, or allowing users to make small transactions.
The GluNeuRStV has been approved by the German state heads since March 2020. This treaty expands Germany’s igaming offering beyond online gambling to include online casino games.
Certain parts of the Treaty are controversial.
The maximum bet per spin will be EUR1 with an average spin speed of 5 seconds.
A 5.3% tax will be levied on online poker and slots. Entain Flutter Greentube commissioned a report that warned this tax could result in a channelization rate as low as 51%.
The only live sports bets allowed will be on the score or who is going to score next. The German operator association Deutscher Sportwettenverband is against this provision.
The treaty mandates that all players set their own monthly financial limits to ensure the provisions of responsible gambling.
There is a transitional period where operators are allowed to offer online casinos before the Treaty takes effect. However, they must adhere to the terms of the agreement.
Prime Minister Armin Laschet said, “This state contract was Herculean in its scope and is, therefore, a sign that federalism exists and works in Germany, and the way it achieves good results after sometimes difficult negotiations.”
The problem had been unsolvable over the years. A joint effort to resolve it was undertaken. All 16 states’ interests, concerns and needs were taken into consideration.
