Unlawful Crypto Gambling Platform Lucky Block Sponsors VfB Stuttgart: Sponsorship Sparks Criticism from Fans and Porsche Due to Advertisement
In a surprising turn of events, German football club VfB Stuttgart has secured a new sponsor for the upcoming season – Igloo Ventures SRL, operators of the crypto casino Lucky Block. However, this partnership could potentially involve a legal risk due to the illegality of crypto casinos and advertising for such providers in Germany.
According to the existing legal framework in Germany, gambling using cryptocurrencies is generally considered illegal, as it falls under strict regulations governing online gambling. The Interstate Treaty on Gambling (Glücksspielstaatsvertrag) regulates gambling operations and includes stringent rules against unauthorized gambling providers, including those accepting cryptocurrencies.
Moreover, advertising for illegal gambling providers is prohibited under German law and the Interstate Treaty. This means that sponsorship or promotional partnerships with crypto-based gambling companies like Lucky Block could face legal challenges, especially if those companies are not fully licensed under German gambling laws.
Given this legal background, a partnership between VfB Stuttgart and a crypto casino such as Lucky Block raises serious legal concerns in Germany. Clubs entering such partnerships should ensure full compliance with the Glücksspielstaatsvertrag and any other relevant legal standards to avoid violations.
Despite these concerns, the sponsorship deal with Lucky Block is intended to take place only in the Asian region, with social media activities planned in the Asian region as well. This is evident in the partnership being concluded exclusively on VfB Stuttgart's Japanese account on the short messaging service X.
The deal with Lucky Block could bring VfB Stuttgart a six-figure sum. However, it's important to note that only one Asian player, Woo-yeong Jeong from South Korea, is currently in the VfB Stuttgart squad.
The partnership has sparked protests from a portion of VfB Stuttgart fans who do not agree with sponsors from the gambling industry, as evident in the protests against the main sponsor Winamax last year. Porsche, a majority stakeholder in VfB Stuttgart since January 2024, has also distanced itself from the club's new partner, Lucky Block, expressing concerns about the partnership.
The Lucky Block announcement on the German version of their website has since been removed. However, it's clear that the club must ensure that the sponsorship engagement of Lucky Block is not interpreted as advertising for a German target audience.
In addition to Winamax and the online gaming arcade Jokerstar, VfB Stuttgart has now added Lucky Block to its list of sponsors. As the club embarks on a trip to Japan, it remains to be seen if further sponsors from Asia will follow.
In summary, while the search does not reveal explicit details about VfB Stuttgart and Lucky Block, the existing legal framework in Germany implies such a partnership would likely be problematic due to the illegality of crypto-based gambling and advertising thereof under German law. Clubs entering such partnerships should ensure full compliance with the Glücksspielstaatsvertrag and any other relevant legal standards to avoid violations.
- The partnership between VfB Stuttgart and Lucky Block, a crypto casino, is potentially problematic due to the Illegality of cryptocurrency gambling and advertising in Germany, as the Interstate Treaty on Gambling strictly regulates such activities.
- Clubs in Germany, including VfB Stuttgart, must ensure full compliance with the Glücksspielstaatsvertrag and relevant legal standards when entering partnerships with crypto-based gambling companies like Lucky Block to avoid violations.
- Given the illegality of crypto casinos and advertising for such providers in Germany, VfB Stuttgart's sponsorship with Lucky Block raises concerns, especially if it targets a German audience, as their partnership announcement on the German version of the Lucky Block website has been removed.
