GGPoker Surrenders Its Poker Licence for Czech Republic

We’ve been following GGPoker’s journey to enter the Czech market since the start of 2023. The latest news is that GGPoker has withdrawn its Czech Republic licence. However, what’s the reason behind its withdrawal?

If you follow our news, you’ll know we reported on the poker room obtaining a Czech licence in January 2023. At the time, GGPoker hadn’t yet officially entered the market, though the idea was to do so using a dot-CZ domain. 

Still, before it could open its poker room, rumours of new regulations appeared. The brand decided to wait and see what’s happening in the Czech Republic before opening to players there.

Most experts weren’t surprised when the news dropped that GGPoker.CZ wasn’t listed on the Minister of Finance’s whitelist of domains in the June update. The brand hasn’t made use of its poker licence for more than a year now, so some predicted its withdrawal. 

Several changes have occurred in the Czech Republic since January 2023. We’ve reported on them before, but let’s take a closer look at how they could have influenced GGPoker’s decision to withdraw from the market.

On January 1st, the Gambling Act and Gambling Tax Act were updated with new regulations. These are some of the most significant changes since their inauguration in 2017. 

The licencing process has become stricter with the new updates. A panic button is now required, which acts as a temporary self-exclusion feature for players.

Risk bonuses are now prohibited, and new tax rates have been implemented. These tax rates increase the tax on poker revenue from 23% to 30%. It further implements taxes on player winnings. Operators were given until July 1st to implement these changes if they wanted to continue operating in the market.

GGPoker was still on the list of legal domains in the May update. As such, it’s safe to assume they were running checks to see if they could accommodate the new regulations. Whether or not the brand withdrew its licence due to the latest regulations or other reasons, it’s clear this wasn’t the right time to enter the market yet.

Another reason GGPoker could have withdrawn is due to the major changes its partner, King’s Resort, experienced. The poker room partnered with King’s Entertainment’s poker division to enter this market.

However, you might remember one of our previous articles about Leon Tsoukernik, the owner of King’s Resort, selling his shares. This sale could have affected the relationship between the poker room and the resort, though nothing was released about it.

While GGPoker withdrew for now, one of their spokespersons stated they’re “re-evaluating our partnership and company structure for that jurisdiction.” Further, the company has every intention of reapplying “for a licence when ready.” 

For now, dot-com players can still enjoy the GGPoker website, with an exclusive rake race of up to $8,000 if you link your GGPoker and RakeRace.com accounts. Climb the leaderboard as you gain one point for every $1 of rake.