Experts have criticized a confidential agreement between German governments and gaming operators, arguing that it compromises player protections. This arrangement undermines the Interstate Gambling Treaty, which was created to avoid addiction and financial harm, according to an investigation conducted by Investigate Europe, Monitor, and Zeit Online.
Online betting in Germany is subject to a regular monthly deposit cap of €1,000 ($1,085) according to gaming rules. This cap attempts to safeguard vulnerable players and prevent excessive gambling. Nonetheless, an increase can be requested by people who demonstrate their financial stability. Players were initially required to provide official documentation, such as bank statements or tax records.
A 2022 court settlement between German authorities and sports betting companies quietly relaxed these requirements. Now, gambling firms can approve higher deposit limits using the Schufa G check. However, this method does not accurately reflect a player’s actual financial standing. Investigators found that even low-income individuals could increase their deposit limit to €10,000 ($10,845).
Critics Warn of Increased Gambling Risks
Experts fear this loophole may lead to financial ruin for problem gamblers. Tobias Hayer, a gambling addiction researcher at the University of Bremen, warned that individuals struggling with gambling issues would take advantage of the relaxed rules, worsening their financial situations. He shared his concerns with German media outlet Tagesschau.
Burkhard Blienert, Germany’s Commissioner for Addiction and Drug Issues, strongly criticized the deal. He argued that it undermines established regulations in favor of boosting corporate profits. Calling the situation “maddening,” he stressed that player safety should take priority over industry interests.
Legal experts now question whether this agreement aligns with German law. Constitutional law specialist Christoph Degenhart believes the deal might violate legal protections and has called for a constitutional review. However, state governments have largely avoided the issue, referring it to the Joint Gambling Authority of the Federal States (GGL), which is reviewing whether Schufa G meets gambling safety standards.
Ulrich Mäurer, Bremen’s interior minister, has publicly criticized the settlement, claiming that it goes against the Interstate Gambling Treaty’s objectives.
The casino industry, meanwhile, disputes that the arrangement should remain confidential. The German Sports Betting Association (DSWV) maintains that the transaction has been mentioned in official publications since the middle of 2024 and was a part of a public court proceeding.
The DSWV admits there is space for improvement even if it defends the accord. To improve player protection, the association suggested more frequent credit checks and more stringent financial monitoring in August 2024.
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