German Betting Industry Expects World Cup Boom but Warns of Illegal Market Growth

Germany's regulated sports betting sector is preparing for a major surge in activity during the 2026 FIFA World Cup, with industry representatives predicting that the tournament in the United States, Canada and Mexico will become the year's most significant commercial event for the market.

According to projections from the German Sports Betting Association (DSWV), the total volume of wagers placed in Germany during the competition could approach the €1 billion threshold. The association expects licensed operators to account for between €600 million and €700 million of that figure.

Despite those optimistic expectations, the organization has expressed concern that a substantial share of betting activity may continue to flow to unlicensed providers. Estimates suggest that as much as €400 million could be directed to illegal gambling platforms operating outside the regulated market.

“Games involving German teams, in particular, traditionally generate a high volume of betting activity,” said DSWV President Mathias Dahms.

“As a fan and representative of the sports betting industry, I therefore hope that the German team will remain in the tournament for as long as possible.”

The expansion of the underground betting market remains one of the central challenges facing the industry in Germany. Licensed operators have repeatedly argued that the country's regulatory framework is overly restrictive, making it difficult for legal companies to compete with offshore websites that offer a broader selection of products and betting opportunities.

The association previously reported that nearly 400 illegal betting platforms were active in the market, compared with only 34 licensed operators authorized to provide services under German regulations.

That assessment, however, has been disputed by the Joint Gaming Authority of the German States (GGL), which maintains that the legal sector captures the majority of betting activity. A recent study published by the regulator concluded that the channeling rate for the licensed market stands at 77%.

“The scientifically calculated channeling rate confirms our previous assumptions about the extent of the black market,” GGL President Ronald Benter said at the time.

German regulators continue to support stricter oversight measures and greater cooperation with authorities in other countries as part of efforts to combat illegal gambling operators throughout Europe.

At the same time, the DSWV believes that a global sporting event such as the World Cup presents an opportunity to encourage bettors to return to licensed platforms that operate under official supervision.

“Tournaments like the World Cup also provide an opportunity to bring players back into the legal market,” argued Dahms.

The association has consistently emphasized that regulated operators offer stronger safeguards for consumers, including reliable prize payments and enhanced player protection measures.

“The sports betting market is more securely regulated today than ever before, but this protection only applies within the legal framework,” said Dahms.

“That’s why we strongly recommend that players place their World Cup bets exclusively with legal, state-licensed providers.”

By fLEXI tEAM