NRW: Licenses for online casino

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Peter Brandt February 25, 2023

After tough discussions, gambling concessions for online casinos in NRW will be awarded in the future. The North Rhine-Westphalian state government has passed a corresponding law that enables private online gambling providers in the state to acquire a license. The most populous federal state is finally implementing the requirements of the Gaming State Treaty (GlüstV), which has been final since July 1, 2021.

In the NRW state capital of Düsseldorf, the draft law was passed by the parties by voting. ((©652234/Pixabay)

Dispute over statutory handling

Since the statutory transition phase regarding online gambling in disputes and discussions, the NRW state government has been in a contemporary regulation in disputes and discussions. Even after the GlüstV came into force, the one nationwide legalization of online gambling initiated, the friction in state politics stated the correct implementation of the new legal framework.

However, the state government has now announced that he has found a common denominator. In the future, the requirements of the GlüStV will be implemented in the state law by new law, so that online casinos have the opportunity to acquire an official and recognized license. The award itself takes place through the joint supervisory authority in Halle (Saale), which the nationwide gaming market regulates and controlled.

Authority under construction. The joint supervisory authority should act as a higher-level authority within the online gambling market and monitor compliance with the gambling contract. The tasks are wide and include from the awarding of the licenses to the persecution of unauthorized gambling to observation of new developments and trends all relevant areas in the industry. The authority has already officially started its work, but it is still under construction in many areas. So it should only be ready for use in 2023.

Disagreement among the parties

According to the dpa news agency, the state government is planning for the start to award five licenses. More should follow in the near future, but the respective online gambling providers must first prove whether they can meet the strict quality and security requirements that the new legal framework entails.

Despite the successful farewell, the new law has not completely convinced all parties in the state government. There was no absolute majority. The CDU and the FDP would have voted for the new regulation and accordingly for the draft law. However, the SPD and the Greens had defended themselves against it, but ultimately agreed. The AfD was the only party. Herbert Reul (CDU), Minister of State of the Interior, confirmed that the EU Commission agreed to the American Gambling Act and there were no objections.

The new law contains a number of measures and goals that should not be a particularly big surprise for observers and experts. The new legal framework should primarily The illegal gambling and the growing black market push back decisively. Politicians are convinced that a broad and legal range of gaming from private providers is convinced Risk of fraud, manipulation and illegal activities reduces. In addition, the regulated offers would significantly reduce the risk of gambling addiction.

Opportunity for gaming industry. The new law offers the gambling industry in the region a unique opportunity. With 17.9 million inhabitants, NRW is the most populous federal state in USA. The online gambling market, which providers can open up through the official licenses in the future, is also correspondingly large.

Opponents of gambling speak up

Meanwhile, the opposition was not so pleased with the draft law. According to the dpa, she criticized the missing controls and security mechanisms that crucial for the Insulation of the gambling addiction be. For example, providers should not be legitimized by the law to attract customers through aggressive advertising. In addition, the opposition called for a ban on financial incentives such as bonuses. The FDP, on the other hand, had held its trust in responsibility.

Online casinos without bonuses? The new customer bonus on the online gambling market is the ASS in the sleeve of the numerous providers. It is the greatest good when it comes to customer acquisition, since most players expect financial added value when registering. Without such a welcome bonus, the online casinos would lose a large part of their attraction.

With the new gambling law, NRW pursues a liberal interpretation of the Gaming State Treaty, which generally provides for liberalization of the online market that generally provides However, the federal states are handed over the final handling. These can decide autonomously whether you want to install a ban, opening the market or even a monopoly.

Thuringia has chosen the latter variant. The central state offers digital Gambling offers exclusively through state companies on. The state government there is of the opinion that only in this way the black market can be contained and the players can be protected comprehensively.