Germany, Mar 19: Licensed operators account for over three-fourths of Germany’s online gambling market, according to a regulator-backed study, even as authorities acknowledged the continued presence of a sizeable illegal segment.
The study, commissioned by the Gemeinsame Glücksspielbehörde der Länder (GGL), estimated the channelisation rate — the share of gambling activity conducted through legal platforms — at 77.03 per cent.The unregulated market was pegged at 22.97 per cent.
Conducted by Blockchain Research Lab, the analysis also estimated the illegal online gambling market in Germany to be worth around €547 million in 2024.
GGL Chair Ronald Benter said the findings broadly align with the regulator’s earlier assessments regarding the size of the black market.
The report is based on a survey of 2,000 users who engaged in online betting, poker or casino activities over the past year.The findings come amid an ongoing debate in Germany over the impact of regulatory restrictions on the gambling sector.
Industry groups have argued that limits on deposits, stakes and advertising are pushing users toward unlicensed offshore platforms.However, the study presents a more nuanced picture.
While unlicensed operators accounted for a large majority of distinct brands identified by users, their share of overall gambling activity remained significantly lower compared to licensed operators.Earlier industry estimates had suggested a much larger illegal market, with some analyses putting the legal share closer to half of total activity.
The new report attributes such differences to varying methodologies, noting that metrics based on website traffic or visits may not accurately reflect actual spending.
German authorities are expected to factor in these findings as part of a broader review of the country’s gambling regulations, particularly in addressing the balance between consumer protection and market competitiveness.
The regulator said understanding the scale and nature of the illegal market remains critical to shaping effective policy and ensuring that users are directed towards safer, licensed platforms.
