Online gambling

Tipico wins, Lottoland loses as Germany continues to shape online gambling

Posted on: October 12, 2022, 06:41h.

Last update on: October 12, 2022, 12:29 p.m.

The German online gaming market continues to grow, although it only covers virtual slots. Tipico received a license to expand its presence in the state, but Lottoland became persona non grata.

german parliament
The German flag flies in front of the Parliament in Berlin. More online slots options are coming after Tipico received a license to operate two sites. (Picture: Pinterest)

Gambling reforms led to the introduction of the fourth interstate gambling treaty in the country, although its rollout has been extremely slow. Finally, after more than a year, there are now over 10 options available.

As the online segment continues to take shape, there are still plenty of moves to come, some of which will likely result in legal challenges.

Tipico on the ground and in the clouds

Tipico already had a land footprint in Germany, offering retail sports betting across the country. He started adding online sports betting platforms as German laws progressed.

Since October 7, Tipico has been able to offer online slots in accordance with the updated whitelist of the State Administration Office (SAO) of Saxony-Anhalt. The SAO will be responsible until the end of the year, after which responsibility will pass to the new Joint Gaming Authority of the Länder (GGL).

The gaming operator will offer two platforms in the country – games.tipico.de and goldrummel.de. They join a list of 15 other platforms operating under 11 licenses. Of these, subsidiaries of the German company Gauselmann control six. The operator’s expansion comes at a good time, as a German court recently ruled that Tipico should reimburse a former user €51,000 ($49,546). The Frankfurt Regional Court issued its decision in September.

Online gambling only came to Germany in June last year. Even then, he had limited abilities. Since the user played on Tipico before legalization, the judge ruled that the platform was operating illegally and therefore could not retain the player’s losses.

The same thing happened to a Bet365 customer in Potsdam. As a result, there could be more lawsuits from former online players seeking to recover their funds.

Lottoland loses its luck in the lottery

Lottoland finds no friends in Germany. The lottery platform, which allows users to bet on the outcome of state-sanctioned and international lotteries, is not welcome in the country.

The GGL, while not officially taking over, announced last summer that any unlicensed game operator in the country would have to leave. He specifically called out Lottoland, stating that the Fourth State Gaming Treaty prohibits betting on lotteries.

Lottoland didn’t like the response and continued to operate. The GGL is now ordering ISPs to block access to the company’s website. If they don’t, they could face fines, just like Lottoland.

For its part, Lottoland would be up for the challenge. She maintains that the GGL, having not yet taken power, does not have the power to claim. Furthermore, he claims that the actions of the incoming regulator violate European laws.

The lottery platform is no stranger to controversy. It battled the UK and Australia over its product offerings. Ireland is also currently considering how to ban second-tier lottery games as it works to reform its gambling laws.