The German Sports Betting Association (DSWV) has hit back after a documentary implied Germans were able to bet on amateur football matches with licensed operators in other EU countries.
German television broadcaster Bayerischer Rundfunk recently released a documentary entitled “Attack on amateur soccer – the greed of betting providers”.
The DSWV said the programme misled viewers into believing Germans could circumvent a ban on betting on domestic amateur sports, and place wagers with licensed betting providers in other European Union (EU) countries.
The documentary concealed “important facts” from the audience, the DSWV continued. It pointed out international providers use geolocation to prevent cross-border betting. The film includes a German customer deliberately working around those measures, although the DSWV claimed that wasn’t made clear, thus implying it was easy to circumvent such restrictions.
Additionally, the film didn’t make clear the customer would not be able to claim their winnings without verifying their identity. Therefore, it gave the impression wagering on amateur games was possible from Germany.
Inconsistencies in the legality of betting on amateur sports
Betting on amateur sports in Germany is illegal by the regulator Gemeinsame Glücksspielbehörde der Länder (GGL). Meanwhile, residents looking to bet on such events abroad are prevented by measures such as geo-blocking and identity checks.
However, there are no uniform regulations across the EU, while many betting markets globally allow residents to bet on amateur sports.
The DSWV notes the GGL’s regulations are among the strictest in Europe, which it previously blamed for a 5.4% year-on-year decrease in amounts wagered in 2023. In particular, it attributed the drop to restrictions on marketing activities, as well as bans on live betting which the DSWV feels is driving Germans towards the black market.
Circumvention of geo-blocking and ID checks not made clear
EU providers prevent cross-border betting through geoblocking. German customers are identified through their IP addresses then blocked from accessing legal sites in other markets, the DSWV explained.
Additionally, EU providers are required to fully identify bettors, which can be done by scanning a government-issued ID document. They’re also required to authenticate customers every time they log in.
In Germany that process occurs at the point an account is created. However, in many other EU countries ID checks are only conducted when winnings are paid out.
The Bayerischer Rundfunk documentary features a customer using a virtual private network (VPN), as well as a fake identity, in order to place a bet on an amateur German game.
While a bet was placed in the documentary, it did not show the player receiving their winnings. For the market in question, ID verification occurs at the point of payout, the association said.
DSWV: Target illegal operators, not licensed providers
The DSWV believes instead of highlighting wrongdoing from legal providers, the documentary instead showed how the fragmentation of betting regulations in the EU is causing issues.
The German trade group also argued the real issue is black market providers and not licensed providers in other EU states. Germany licensees are struggling with offshore competition, with a 2023 study suggesting almost half of players bet with illegal sites.
“The real problem in connection with the German sports betting market is not the websites of legal betting providers in neighbouring European countries, but the numerous low-threshold and highly advertised betting offers from illegal sites,” the DSWV explained.
“These evade all regulation and taxation and are very present in Germany.”
