In a startling revelation, it has emerged that ‘ready-to-gamble’ crypto casino accounts are being brazenly traded on Facebook and other leading social media platforms. These online casinos, which operate with cryptocurrency, fall outside the regulatory framework of the UK and are deemed illegal.
The surge in popularity of these crypto casinos can be attributed to the endorsement by gambling influencers and celebrities, including the rapper Drake. An investigation has disclosed how British individuals can effortlessly circumvent restrictions designed to prevent access to these high-risk platforms. The accounts on offer are fully set up, enabling purchasers to bypass the usual registration process and dive straight into gambling.
Carolyn Harris MP, who chairs a parliamentary group focusing on gambling-related harms, expressed her astonishment at these findings, criticising the lack of ethical oversight in both mainstream and crypto gambling sectors.
Campaigners have raised alarms over the allure of crypto casinos, especially to those susceptible to gambling disorders and underage individuals. They argue that the addictive nature of these sites is significantly enhanced compared to traditional gambling avenues.
Investigative Findings
Over recent months, an extensive analysis of numerous adverts across various social media channels, coupled with interactions with sellers and buyers, has painted a concerning picture. Stake.com, a prominent crypto casino, emerged as a frequent subject of these adverts, with no indication that the platform itself sanctioned or was aware of such practices.
Following enquiries, Stake.com acknowledged the fraudulent attempts to access its services, asserting a commitment to evolving strategies to counteract such activities.
How It Operates
In the UK, crypto casinos are inaccessible directly, with attempts to visit such sites resulting in redirection. However, the investigation highlighted how British gamblers are being encouraged to use software to sidestep these blocks. Notably, some platforms demand photo ID for account verification, yet the accounts found for sale have already cleared this hurdle, offering a straightforward path for users to engage in gambling activities.
Why It’s a Concern
The demographic most likely to utilise these platforms comprises individuals with gambling addictions and minors. The founder of Gamban, Matt Zarb Cousin, a former gambling addict himself, emphasised the heightened risk due to the volatile nature of cryptocurrency combined with the inherently addictive casino games.
The Response
Carolyn Harris MP and her colleagues have been advocating for a modernisation of gambling legislation to reflect the realities of the digital age. The onus, they argue, is not solely on social media platforms to prevent such adverts but also on the crypto casinos themselves to adopt a more responsible stance.
Legal experts have indicated that the trading of these accounts occupies a legal grey area, with potential implications of fraud. This issue is becoming increasingly prevalent, with more British residents gambling through offshore operators, particularly those offering crypto casino services.
Following the exposure of these activities, social media entities including TikTok, Reddit, Discord, and Meta (Facebook’s parent company) have taken steps to remove the implicated accounts, reaffirming their commitment to user safety and the prohibition of activities that promote illegal gambling. Telegram and X (formerly Twitter) have yet to respond to requests for comment.
Stake.com’s stance is clear: while it operates legally in various jurisdictions outside the UK, it is dedicated to preventing problem gambling and is continually refining its strategies to thwart fraudulent access attempts, in collaboration with regulatory bodies and law enforcement.
David Garato is a luminary in gaming journalism, renowned for peeling back the curtain on the gaming world with his witty and insightful commentary. A decade into weaving stories from the pixelated edges of indie games to the expansive universes of AAA titles, David’s work is a thrilling blend of analysis and adventure. When not writing, he’s live-streaming, sharing his gaming exploits with an engaged and growing audience. David doesn’t just write about games; he lives them, making him a trusted guide in the gaming community.