PokerStars Forced into Dealing Its German Players a Bad Hand
Author:
Zara Harris
Online poker behemoth PokerStars has dealt its German customers a major blow with the news that high stakes cash games and ‘jackpot sit & go’s will not be available from today.
The closure of these tables is a result of PokerStars’ hand being forced by new countrywide German laws which come into effect on July 1.
The new German gambling regulation will see a large rise in taxes on operators’ revenues ?Comfreak/Pixabay
Dropping the bombshell on its official blog the leading online poker site explained: “We have had to make a number of adjustments to our games in order to meet new regulatory and tax obligations in Germany.
“The new tax is a tax on turnover, which for online poker is a tax on buy-ins, and the level proposed in Germany is 5.3% inclusive. This means when a player buys in for €100 and plays at least one hand, we pay €5 on that session.”
Increased Rake and Payment Restrictions
Resultantly, there are more changes than just the culling of high stakes cash games and jackpot ‘sit and go’s. Additional negative changes for German based PokerStars players include an increased rake on lower stakes cash games and restrictions on payment methods.
Payment verification is now required pre-deposit and must be obtained for every new deposit method used thereafter. Payment verification must also take place at withdrawal.
German customers will be prompted to send the site their documents in the cashier area after the new rules come into place.
While that may be considered an inconvenience, cash game players will take a financial hit. Their rake will rise by approximately 25% in most no-limit and pot-limit games and a jaw-dropping 35% in fixed-limit games.
The New Normal
Announcing the full extent of the changes PokerStars said: “Due to the nature of the new tax, it is no longer viable for us to offer higher stakes cash games.”
This means that from July 1 the highest stakes available to their German customers will be:
- No Limit Hold’em, Pot Limit Omaha: $1/$2
- 6+ Hold’em: $2/$2
- Tempest: $1/$2.50/$5
- Fixed Limit Games: $3/$6
“It goes without saying that we are disappointed to have to make this change and we understand that players will feel that the rake is unfair. Although it will be of little consolation to those of you affected by this change, we want to let you know that we are doing everything we can to reduce the cost to our players,” the PokerStars blog post stated.
Heads-Up and Hyper Turbos to Be Called
Changes to ‘sit & go’ games offered to German players is even more complex. ‘Heads-up sit & go’s plus the majority of ‘sit & go’ satellites will no longer be available in Germany. Several ‘hyper-turbo sit & go’s will also be removed from the offering. ‘Spin & go’s will remain but the highest stake game available will be $50.
Another negative change for German PokerStars players comes in the ‘Stars Rewards’ loyalty program. From mid-July players in Germany will earn fewer reward points for every $1 paid in rake in zoom or cash games or other tournament fees.
Multi-Player Tournaments Are Unaffected
As the old expression goes, ‘every cloud has a silver lining’. The good news… German players will be relieved to learn they will not be ringfenced. This means they will remain in a shared liquidity pool with players from around the world.
“We intend to continue to offer our full suite of scheduled tournaments and popular series to players in Germany, including flagship events such as our Sunday Million,” said PokerStars statement. It concluded: “Our teams have worked tirelessly to find ways to continue to provide the majority of our games to players in Germany. We hope you can still find the games you know and love, and continue to spend your time with us.”
