A comprehensive survey report commissioned by the German Federal Gambling Regulatory Authority shows that the estimated GGR of Germany's illegal online gambling market in 2024 is 547 million euros, an increase of 17% year-on-year. The study also determined that the market channelization rate is 77.03%, meaning that legal or regulated products account for more than three-quarters of the online gambling market. Simply put, for every 4 euros bet, 1 euro flows into the black market.
Research data: Unlicensed platforms account for 22.4% of betting amounts, with higher losses for players
The study was conducted by the Blockchain Research Laboratory and covered a panel survey of 2,000 individuals who participated in online gambling (excluding lotteries) over the past 12 months. Respondents mentioned 4,027 gambling operators, of which 79.7% were licensed operators and 20.3% involved unlicensed platforms. Survey data shows that unlicensed platforms account for about 22.4% of the total betting amount and 22.97% of player losses. Players using only unlicensed platforms had an average monthly betting amount (1,425 euros) and losses (475 euros) higher than those using only licensed platforms (betting 1,243 euros, losses 358 euros). Unlicensed platform users averaged 88.96 euros per game, while licensed users averaged 77 euros.
Monitoring methods: Suggest introducing machine learning and blockchain analysis
The report encourages the conduct of repetitive standardized surveys combined with technical monitoring tools, including machine learning-based illegal platform detection, transaction monitoring, and blockchain analysis for crypto gambling. The authors suggest using machine learning classifiers, web crawling, payment flow analysis, and blockchain monitoring as effective supplementary means to identify unlicensed operators and opaque payment channels. The CEO of GGL stated that the scientific computation of the channelization rate confirms previous assumptions about the size of the black market and provides data support for regulatory methods within the framework of the 2021 Interstate Gambling Treaty. Interested in the latest developments in European gambling regulation? PASA official website keeps track.
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This article is from "PASA-Global iGaming Leaders," a gambling industry news channel:https://t.me/pasa_news
Original in-depth gambling channel:https://t.me/gamblingdeep
Free data reports: @pasa_research
PASA Matrix: @pasa002_bot
PASA official website: https://www.pasa.news
