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Of course, the CUII is not a government entity, it's just a group of copyright holders and ISPs, the member list is here:

https://cuii.info/mitglieder/





What incentivizes an ISP to become a member if it's not legally required and it pisses off (some) customers?

not becoming a member might piss off the copyright holders and incentivize them to send you unwelcome legal communications



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