German gambling regulation, payments and risks. Why Germany is expensive to operate in.
German gambling regulator Gemeinsamen Glücksspielbehörde der Länder’s (GGL) has banned streamers from advertising online casinos.
The motivation behind this move is concern about potential influence of this advertising on minors, who are essentially the primary audience for streams, at least in the majority of cases. Regulator announced on July 17 that advertising through streamers is prohibited for all operators, even those licensed in the country. Offshore operators are not even considered. The issue is that streamers present the game very emotionally and vividly, which can naturally attract an audience, creating the impression that gambling can be used to obtain joyful emotions. This step, in addition to many others previously taken, shows Germany's serious stance against offshore gambling and its strong desire to keep the regulated sector under tight control.
Meanwhile, operators with licenses from Curacao and its analogs (Anjouan, Tobique, etc.) continue to operate in this region with varying success. Germans are a very gambling nation and attract more and more new operators to the country, although working there is now even more challenging than ever before. From the perspective of payment systems, there are very few good options, and the stability of deposit acceptance is highly questionable. Additionally, it is important to consider the high level of fraud, which means for particularly inexperienced operators a lot of chargebacks and other risks. Germans are well aware of the situation with illegal operators in the country and often choose to play with them specifically to have this opportunity. To return their funds in full in case of a loss, and in case of a win, to do the same and gain even more benefits.
Payment solutions that are willing to process deposit acceptance are not cheap; the same can be said about traffic sources. This forms the cost of operating in this market, which is increasingly high. Based on this data, many operators choose to move to Africa and Asia as easier countries for launching and operating. Even considering the acquisition of a local license in those markets, this can be much more beneficial. Regardless of where your project operates, we definitely have something to offer. Monoup helps startups and large holdings acquire payment solutions worldwide and solve a multitude of related problems. Write to us to learn more or fill out the form below, and we will contact you.
