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Germany ratified the Third State Treaty on Gambling

Published

7 years ago

March 22, 2019

Germany ratified the Third State Treaty on Gambling Reading Time: 4 minutes

The Minister-Presidents of Germany’s 16 federal states have ratified the third amended State Treaty on Gambling, paving the way for operators to apply for sports betting licences in the market, while Schleswig-Holstein will be allowed to run its own, liberal regulatory regime.

At the Minister-Presidents’ Conference yesterday (March 21), the lawmakers agreed to sign the Treaty, with licences to come into force from January 1, 2020 and run until June 30, 2021. This will effectively act as a placeholder, with a view to a complete overhaul of Germany’s gambling regulations by 2021.

The Treaty will also be submitted to the European Commission to be ratified, which is expected to take place in April this year, with a view to beginning the licensing process later in 2019.

The third amended State Treaty has undergone few changes from the 2012 edition, though the controversial 20-licence limit has been removed. While there is no limit on the number of operators that can be licensed, licensees will be taxed on 5% of turnover, in-play betting is prohibited, and players will not be allowed to spend more than €1,000 (£868/$1,137) each month. As before, sports betting is the only vertical permitted.

Schleswig-Holstein will be permitted to continue with its own liberal regulatory model until 2021. First introduced in 2011, the state has does not impose any restrictions on product verticals, and sets a 20% gross revenue tax. Steps towards renewing licences issued in 2012 began last week, with a view to having these run until June 30, 2021. The state will effectively act as a testing ground for a more liberal model, which from 2021 could be rolled out across the rest of the country.

Dr Wulf Hambach of leading German law firm Hambach & Hambach suggested that due to the short-term nature of the amended Treaty, it would be difficult to enforce the prohibitoin on live betting.

“There is also also big question over whether the online casino ban will be obeyed from January 1, 2020 onwards,” Hambach added. “If, for instance, other federal states are in favour of online casino regulation, they are unlikely to enforce the ban.”

Hambach said that with varied stances on gambling regulation across a number of states, the 2021 overhaul could give states the choice to opt in or out of a more liberal framework.

“I think it’s is likely that after 2021 you will see a fully regulated market, so this one step in the right direction, and there are already a lot of discussions between states, but I think these talks are very fruitful. If you look back two or three years, there haves never really been serious discussions about major reforms [to gambling regulation],” he continued. “This is the first time that it feels like a major step forward has been taken.”

Hans-Jörn Arp, parliamentary leader of the Christian Democratic Union in Schleswig-Holstein and one of the State Treaty’s most vocal opponents, described today’s agreement as a “breakthrough”.

“Today’s decision of the Minister President Conference to present the foundations for follow-up regulations to the State Treaty on Gambling, means we have finally achieved a breakthrough after ten years, and gained recognition from the other federal states,” Arp said.

“For Schleswig-Holstein, this is a great success, after the state had long met with resistance to its forward-looking solution in the field of gambling,” he said. “Now the other federal states are pulling in the same direction, after they were finally convinced that the Schleswig-Holstein model is expedient.”

Arp said this had been aided by a cross-party consensus in the Schleswig-Holstein state parliament.

He said the decision was not only good news for those who play online, who would be better protected when gambling, but also for professional sports clubs, which could be supported by additional investment generated through gambling taxes.

However German operator association the Deutscher Sportwettenverband took a less positive approach, with president Mathias Dahms describing the Treaty’s ratification as an insufficient first step towards regulating the country’s sports betting market.

“The third amendment to the State Treaty on Gaming is only a temporary measure for the short transitional period until 2021,” Dahms said. “It does not solve the structural deficits of the State Treaty, but gives the countries time to continue negotiating the urgently needed modernisation of German gambling law.”

Dahms said that even as a short-term measure the restrictions imposed under the State Treaty would prompt bettors to flock to illegal sites.

“In Germany there is a strong sports betting market,” he explained. “Customers have clear expectations of their sports betting product.

“If states completely ignore social realities and customer demand, they run the risk of failing again with their regulation. Unattractive conditions threaten to marginalise the licensed offerings in Germany compared to the black market.”

Dahms said that a thorough and transparent process to develop new regulations was vital, one that involved industry stakeholders, sports clubs, as well as medical professionals, noting that the last public hearing had taken place in May 2010.

“Since then, the Treaty has only been developed behind closed doors,” he said. “We and many other associations are therefore offering states the opportunity to contribute our decades of expertise in a cooperative and constructive manner in order to develop successful German gambling regulations.”

The German association of slot machine manufacturers Deutsche Automatenwirtschaft also urged states to use the time before the expiry of the Treaty in 2021 to develop new regulations.

“The consensus that has been reached is a first step. However, the main goal, namely the much-needed, coherent regulation of all forms of gambling, is still pending,” Deutsche Automatenwirtschaft chief executive Georg Stecker said.

Stecker said that only an attractive legal offering would succeed in drawing players away from a “rampant” black market.

“Only when all forms of gambling, including commercial slot machines, are regulated according to quality standards, can the black market be contained, consumers sustainably protected and legal businesses strengthened.”

Jens Bader, co-founder of iGaming payments company, MuchBetter added:

“We will look back on today as an opportunity missed. This was a big chance to decide the future of online gambling across the German-speaking market, but we’re left with more uncertainty and only a placeholder agreement. It’s good that there are no more artificial restrictions on the number of licences awarded to operators, but today’s vote was far from decisive on other issues including the legality of online gambling, casino and poker. It is very naïve to think that these issues will go away, or that a country can pick and choose which parts of gambling it likes. This is not how the rest of the world works and by only allowing betting, Germany could make it very difficult for operators to comply.

“Casinos won’t go away. They will continue to operate under the licences they have, with prohibition enforcement in the transitional period unlikely.”

Source: Latest News on European Gaming Media Network
This is a Syndicated News piece. Photo credits or photo sources can be found on the source article: Germany ratified the Third State Treaty on Gambling

Related Topics:gambling industry in Europe

George Miller

George Miller (Gyorgy Molnar) started his career in content marketing and has started working as an Editor/Content Manager for our company in 2016. George has acquired many experiences when it comes to interviews and newsworthy content becoming Head of Content in 2017. He is responsible for the news being shared on multiple websites that are part of the European Gaming Media Network.

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From ‘Mummyverse’ to Crash Games: Belatra Reviews a Landmark 2025

Published

6 days ago

December 23, 2025

George Miller

Editor’s Take

Why this matters: Belatra has been a steady hand in the slots world for a long time, but 2025 marked a distinct shift in strategy. By entering the Crash vertical with Goose Boom Bang and winning big at SiGMA Africa, the studio is clearly pivoting to capture the high-growth, high-frequency players in emerging markets. They are no longer just a “classic slots” developer; they are diversifying the portfolio to ensure relevance in regions like LatAm and Africa.

The Full Story

Belatra Games, the specialist online slots developer, has issued a strategic review of its 2025 operations, celebrating a 12-month period defined by entry into new game verticals, significant franchise expansion, and high-profile industry recognition.

The year was characterized by a dual strategy: deepening engagement in established markets while aggressively expanding its content portfolio to suit local preferences in emerging territories.

Portfolio Evolution: Crash and Battles 2025 saw Belatra move beyond its traditional slot roots. The company made its debut in the high-demand Crash game vertical with the launch of Goose Boom Bang, a title designed to tap into the fast-paced gameplay preference of younger demographics.

Additionally, the studio introduced a fresh game concept with the launch of Battles, a new format unveiled for the first time in 2025, with further development planned for 2026.

The ‘Mummyverse’ Expands For fans of classic slots, the highlight of the year was the aggressive expansion of the Mummyverse. Belatra nearly doubled the size of this franchise over the year, making it the most extensive game universe in their entire catalog.

The developer also focused on B2B localization, releasing a number of exclusive bespoke games created specifically for selected operator partners to meet specific local market tastes.

Awards and Recognition The company’s strategic shifts were validated by industry accolades. Belatra secured over 30 nominations throughout the year, with standout wins including:

Best Slot Provider (awarded by BitStarz).
Most Played Game of 2025 for Make It Gold at the SiGMA Africa Awards.
Player’s Pick Award.

Management Commentary Misha Voinich, Head of Business Development at Belatra, commented on the studio’s momentum:

“This year has truly defined who we are as a studio – ambitious, creative and focused on building long-term partnerships. We’ve expanded our universes, launched new ones and entered exciting new markets that will all help us carry this momentum into the New Year.”

The post From ‘Mummyverse’ to Crash Games: Belatra Reviews a Landmark 2025 appeared first on Gaming and Gambling Industry Newsroom.

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‘Chaos and Soul’: Ebaka Games Plots Global Expansion After Viral Launch

Published

6 days ago

December 23, 2025

George Miller

Editor’s Take

Why this matters: The “Instant Game” vertical (Crash, Plinko, Mines) is becoming crowded, but Ebaka Games is cutting through the noise with a distinct brand personality. By securing BMM Testlabs certification so quickly after launch, they are signaling to Tier 1 operators that despite their “chaotic” marketing vibe, the math underneath is solid and compliant. The backing of industry veteran Dmitry Belianin also adds immediate commercial credibility to the startup.

The Full Story

Ebaka Games, the fledgling studio that promises to bring “chaos and soul” to the iGaming sector, has outlined an aggressive growth strategy for 2026 following a landmark launch period in late 2025.

The studio, which officially debuted in November, reports that its initial rollout reached more than five million people worldwide. The launch saw its portfolio go live with the operator Menace, serving as the initial testbed for its mechanics and “Ebaka modes.”

The Product: Instant Games with Personality Ebaka is bypassing traditional slots to focus on the high-growth vertical of fast-paced, instant-win games. Their initial lineup includes:

Plinko
Mines
Tower
Limbo
Crash

Differentiation is achieved through unique mascots and signature gameplay tweaks designed to offer high win potential and distinct visual identities, moving away from the generic interfaces often found in this genre.

Regulatory Milestone Crucially for its 2026 roadmap, Ebaka Games has confirmed it has secured certification from BMM Testlabs. This accreditation validates the fairness and integrity of its RNG (Random Number Generator) and game engines, removing a major barrier to entry for regulated markets. With this certification in hand, the studio plans to launch with a number of “major brands” in the coming year.

Management Commentary Vitalii Zalievskyi, CEO of Ebaka Games, commented on the studio’s unorthodox approach:

“It’s only been a few weeks since we first introduced Ebaka Games to the world. The feedback has been breathtaking, and it vindicates the decision for us to take a different path to the rest of the industry. You don’t need huge marketing budgets to grab people’s attention if you are building something truly innovative.”

Industry Backing The studio describes itself as being “created by players for players” but boasts significant industry firepower in its corner. The team includes Dmitry Belianin, a well-known figure in the sector who is the co-founder of Blask and Menace, as well as Managing Partner at Already Media.

The post ‘Chaos and Soul’: Ebaka Games Plots Global Expansion After Viral Launch appeared first on Gaming and Gambling Industry Newsroom.

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Racing Meets Nightlife: SBK Backs ARC’s New ‘Friday Night Live’ Series

Published

6 days ago

December 23, 2025

George Miller

Editor’s Take

Why this matters: British racing has a well-documented demographic problem; its core audience is aging. “Friday Night Live” is a direct attempt to fix this by blending high-stakes racing with the “experience economy” (DJs, nightlife vibes) that appeals to Gen Z and Millennials. Bringing SBK on board—a mobile-first, app-only sportsbook—is a perfect demographic fit, while the Racing Post adds the necessary credibility to ensure the actual racing product remains the focus.

The Full Story

Arena Racing Company (ARC) has unveiled the strategic commercial lineup for its upcoming Friday Night Live series, confirming SBK as the Exclusive Betting Partner and The Racing Post as the Official Media Partner.

Set to launch in January 2026, Friday Night Live is a new initiative created in collaboration with youth-focused events company INVADES. The series is designed to overhaul the traditional race day experience, featuring fast-paced fixtures under floodlights, DJ sets, and significant entertainment elements sandwiched between races.

The Commercial Deal

SBK: As the exclusive betting partner, the Smarkets-owned sportsbook will take naming rights and on-course branding for all 35 races. Crucially, these races will be broadcast live on mainstream television via ITV Racing as well as Sky Sports Research.
The Racing Post: As the Official Media Partner, the publication will provide content, coverage, and promotion across its digital platforms, aiming to bridge the gap between established racing purists and the new audience ARC hopes to attract.

A High-Stakes Experiment The series is not just a marketing exercise; it carries serious sporting weight. Each of the five scheduled nights will feature over £200,000 in prize money. The fixtures will rotate across three of ARC’s all-weather tracks: Wolverhampton, Newcastle, and Southwell.

Management Commentary David Leyden Dunbar, Group Director of Commercial Strategy at ARC, was clear about the target audience:

“We have been very clear that one of the aims of Friday Night Live is to engage the next generation of racing fans… Both [partners] have shown real enthusiasm to work with us… as well as using the platform that these fixtures will offer them to also engage with more established racing and sports fans.”

Adam Baylis, Marketing Director at SBK, added:

“Friday Night Live [is] a fresh and engaging concept that brings a new energy to British racing. SBK has always been built around sport… our focus is on enhancing the live race day experience in a fun, social and responsible way.”

The 2026 Schedule The series kicks off immediately in the new year: