The ZDF has reported in its investigative magazine frontal_ about online casinos and their cooperation with Twitch streamers. The latter are said to be profiting primarily from the losses of their fans.
What exactly does the ZDF say? In a documentary lasting about 12 minutes, it is shown how much online casinos are currently booming. The documentary reveals how influencers on Twitch and YouTube profit from this boom and from the gambling addiction of others.
The ZDF spoke with a streamer who explains the business model behind online casinos. He is supposed to win when others suffer a loss. Affected individual, Sascha, reports how he developed a gambling addiction and lost 180,000 euros due to gambling and online casinos.
A change in legislation is intended to make online gambling legal in Germany starting in 2021. So far, this is not the case. Nevertheless, there are gray areas that make online gambling possible.
We have embedded the report here:
The streamer Jens “Knossi” Knosalla is particularly brought to the forefront in the documentary.
Who is Knossi? Knossi is a well-known German streamer and was even number 1 in the world in August 2020. He became known on Twitch through appearances with other big streamers such as Montanablack, who has recently been allowed to stream again, or Unsympathisch.TV.
On his channel, he primarily shows gambling content. He himself plays at the slot machine and gets emotional about it. He screams, pleads, and struggles with the results.
But primarily, he introduces his viewers to online casinos. And they are actually illegal in Germany, with the exception of Schleswig-Holstein. This is exactly what the ZDF magazine accuses him, and other streamers, of.
Here you can find help for gambling addiction & prevention:
– BZgA – Federal Center for Health Education
– Play Responsibly (BZgA)
– Check Your Game (BZgA)
What is the accusation against the streamers? The ZDF states that Twitch streamers can earn well from online casinos, even though they are actually illegal:
- In 15 out of 16 federal states in Germany, online casinos are banned. There is only one exception in Schleswig-Holstein.
- However, only people from the federal state may use offers, which must also be officially licensed.
- However, most offers do not have a German license, but one from Malta or Gibraltar. Furthermore, well-known casino companies are indeed situated in these states and not with us.
- There are no limits at online casinos. Theoretically, addicts can quickly lose all of their money.
As an example, the editorial team cited the casino Wunderino, which claims to be the “best online casino in Germany.” This company is also based in Malta and uses the corresponding license. Offers from Wunderino have, however, been used by Knossi in at least one livestream.
That puts many streamers who use such offers at least in a gray area, if not in illegality, according to the ZDF.
“Online streamers are dangerous for society”
How do streamers make money from it? In the report, the streamer Karl talks about how he earns money with gambling. He is said to have used online casinos himself and lost money in doing so. After that, he “switched sides” and wanted to make money from it.
This is said to happen through referral links: If a viewer clicks on the link and plays, the streamer gets a percentage of what the viewer loses. According to Karl, 45% to 50%. According to research, online casinos generate 1 billion euros annually in Germany alone.
Knossi, who is mentioned as an example in the video, always warns that people should not invest money in casinos. Moreover, he covers the logos of the casinos.
On the other hand, however, he plays at the machines and refers to his streams as “continuous advertising shows.” Moreover, based on the content shown, one can quickly draw conclusions about the casinos if one were to search for them.
What do experts say? The contribution also features neurologist Dr. Monica Vogelgesang. She sees a real danger in streamers like Knossi:
Online streamers are certainly dangerous for society. They simply present a seductive situation for those who are susceptible to starting gambling to play more or to relapse.
One such person is Sascha, mentioned in the video, who lost 180,000 euros.
According to a survey by the Federal Centre for Health Education, in 2017 about 1% of all 16 to 70-year-olds show “problematic or pathological (addictive) gambling behavior” (via BzgA).
Online casinos are supposed to become legal in 2021
Why is the topic being discussed now? Besides the everyday danger posed by online gambling, there is also a novelty that is supposed to come in 2021.
A change in legislation is meant to make online gambling legal nationwide:
- This would have the advantage that casinos in Germany could obtain a license and could be controlled here.
- On the other hand, it also increases the danger that even more people could fall victim to addiction.
Comment from the editorial team
Online casinos heavily target gamers, and the penetration of this target group is increasing. It is also noticeable to us at MeinMMO how many offers we have received from online casinos in recent months. Through the offers, we could spread referral links on the site that lead to the casinos and benefit from it. We reject this.
Slot machines used to be found in most pubs, bars, or snack bars. Today, they can only be found in gaming halls and casinos – because of Corona and the temporary closures of these, visitors have now discovered online casinos. Slot machines have long been digitized and are easily accessible to thousands of players from smartphones.
Loot boxes in many MMOs and online games can also be equated with gambling that is unregulated. The operators of online casinos know exactly that this is a financially strong target group waiting for them. So it is no wonder that online casinos have now established themselves in gaming streams and are profitable – for streamers and operators.
Leya Jankowski
Brand Manager from the editorial team
What do you think about the report, the Twitch streamers, and the change in the law? Have you come into contact with it yourself?
MeinMMO editor-in-chief Schuhmann has already complained in a column about the shift from online games to gambling:
