Requirements for the fulfilment of the channelling mandate of the State Treaty: the example of lotteries and commercial gaming machines
The development of the regulatory framework and the offer of the gambling segments DLTB lotteries and commercial gaming machines has been very different over the last 30 years, although both sectors have the mandate to channel gambling into legal channels by offering attractive games. In this study, commissioned by VDAI, DIW Econ examines the relationship between the design and adaptation of products over time, particularly in the area of stakes and winnings, and successful channelling in both sectors.
In order to successfully compete with illegal offers, a game must be sufficiently accessible to players on the one hand and suitable on the other. In recent decades, the DLTB’s lottery offer has seen the emergence of a large number of new forms of gambling and an increase in the frequency with which they are organised. In contrast, in terrestrial gambling, the rules per game and the scope of the offer have remained largely the same for decades, and in some cases have even been significantly tightened in the course of a reverse paradigm shift in the 2010s.
This lack of adaptation of the product characteristics of gaming machines and, in some cases, a significant deterioration in the legal framework prevent or make it more difficult to fulfil the channelling mandate for terrestrial gaming. While the availability and competitiveness of commercial gaming machines has been reduced, illegal gambling has flourished.
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