Tag: gambling

New York Sues Valve Over Loot Boxes, Calls Them Illegal Gambling

Valve, the maker of Steam and many of PC gaming’s most popular titles, is being sued by New York for its use of loot boxes. New York Attorney General Letitia James filed the lawsuit, claiming that loot box systems enable gambling habits and are particularly harmful for younger people.

The lawsuit specifically cites three games: Counter-Strike 2, Dota 2, and Team Fortress 2. It wants the video game developer to stop using loot boxes in its titles and to pay fines for previously promoting them.

A press release from Attorney General James notes that Counter-Strike 2’s loot box system resembles a slot machine, featuring a spinning wheel that reveals a virtual item. Loot boxes are common in online titles, acting as a randomized treasure chest that may provide valuable in-game items.

It explains that valuable items found in loot boxes can be sold on Valve’s Steam Community Market and other third-party stores, indicating they have real-world value. It points to reports of a virtual gun skin within Counter-Strike 2 that sold for over $1 million in 2024.

However, the likelihood of gamers finding a valuable item is low, and the lawsuit alleges that Valve intentionally makes some items harder to win than others to increase value.

“Illegal gambling can be harmful and lead to serious addiction problems, especially for our young people,” said Attorney General James. “Valve has made billions of dollars by letting children and adults alike illegally gamble for the chance to win valuable virtual prizes.”

“These features are addictive, harmful, and illegal, and my office is suing to stop Valve’s illegal conduct and protect New Yorkers.”

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Politicians Want To Ban Gambling Ads To Stop Youth Addiction. What Do the Data Say About Teens and Betting?

Are young boys everywhere on the verge of being pulled down into the abyss of online gambling? 

If you’ve been reading the news lately, you might be tempted to think so. Young men are all addicted to sports betting, and now the industry’s incessant advertising is luring in kids, so say some media outlets. If something isn’t done to limit ads for gambling apps, some argue, kids will continue to be taken advantage of. 

These dire predictions have reached Colorado lawmakers, who are now considering Senate Bill 26-131, which would place major restrictions on sports betting in the state. In addition to barring adults from making more than five separate deposits with an individual betting operator within a 24-hour period, the bill would also make it illegal to broadcast an ad “for a sports betting operation from 8 a.m. to 10 p.m. or during a live broadcast of an athletic competition.” . 

The bill’s supporters defend this prohibition by saying it’s necessary to protect kids. In reality, gambling ads pose very little threat to children. Even for those who find ways around age restrictions, the data show that they make bets only occasionally (similar to most adults). While gambling can and does ruin lives for the small fraction of adults who become addicted to it, it’s a relatively harmless form of entertainment for the vast majority of users. And for those who do have a genuine gambling problem, advertisements for legitimate betting apps can help direct them toward well-regulated companies and steer them away from dangerous, illegal gambling operations. 

The moral panic over online sports betting has made some people wildly overestimate the power of TV commercials. State Sen. Matt Ball (D–Denver), one of the bill’s sponsors, compared sports betting ads to those for cigarettes. “The whole point is we try to restrict that advertising from getting to kids,” he told Denver 7, a local ABC News affiliate. “At the end of the day, gambling is an addiction. It’s like alcoholism. It’s like substance abuse.” The theory seems to be that, if kids see ads for gambling apps, they’ll start gambling themselves and immediately develop an addiction that will destroy their lives. 

A recent survey by Common Sense Media on gambling amongst minors is helping to fuel those concerns. The survey found that 36 percent of boys aged 11 to 17 said they gambled online within the past year.    

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Federal prosecutors unseal sweeping NCAA basketball illegal game-fixing scheme tied to China

Federal prosecutors in Philadelphia have unsealed criminal charges in what they say was a years-long, international scheme to rig NCAA Division I men’s basketball games, and even some pro games in China, all to make money through illegal sports betting.

Speaking at a news conference, David Metcalf, the U.S. Attorney for the Eastern District of Pennsylvania, said the case involves “the criminal corruption of collegiate athletics” and charged that 26 defendants were behind game-fixing operations in the U.S. and overseas. Stressing the broader significance of the allegations, Metcalf said: “When criminals pollute the purity of sports by manipulating competition, it doesn’t just imperil the integrity of sports betting markets. It imperils the integrity of sport itself and everything that sports represent to us.”

According to the indictment filed in federal court and reviewed by ReadWrite, the defendants are charged with violations including bribery in sporting contests, wire fraud, conspiracy, and aiding and abetting. Prosecutors stress that the charges are only allegations, and that all defendants are presumed innocent unless and until they’re proven guilty. The case, officially titled United States v. Smith et al., was filed on January 14, 2026.

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There’s Compelling Evidence That Someone Connected to the Trump Administration Profited Off the Invasion of Venezuela by Placing Large Bets on Polymarket

Prediction markets like Polymarket and Kalshi have long garnered a reputation for facilitating cheating and insider trading — allowing an athlete, for instance, to place a bet on a game they could then lose on purpose.

Now there’s compelling evidence that someone with inside information about the Trump administration’s regime change plans in Venezuela used that foreknowledge to profit massively from the conflict.

As spotted by researcher Tyson Brody, an unidentified user bet tens of thousands of dollars on various predictions that Venezuelan president Nicolás Maduro would be imminently “out” or that the US forces would show up “in Venezuela by” a specified date during the runup to the incursion.

The account “existed for only one week and quickly became the biggest ‘yes’ holder in the Maduro out market,” Brody tweeted.

The evidence of insider trading is compelling, to say the least, given the highly suspicious timing. The account invested over $30,000 less than two days before the United States launched its invasion to kidnap Maduro and his wife and “profited $400,000 in less than 24 hours,” as sports entrepreneur Joe Pompliano calculated in a post on Bluesky.

“Seems pretty suspicious!” he added. “[Secretary of defense] Pete Hegseth making some beer money on the side?” Brody joked.

“Insider trading is not only allowed on prediction markets; it’s encouraged,” Pompliano argued.

Who was behind the Polymarket account remains a mystery. Accounts on markets like Polymarket are anonymous, and payouts are in cryptocurrency, making them hard to track.

As Semafor reported over the weekend, news organizations also had early intel of the US raid on Venezuela, but held off publishing the information so as not to put US troops in danger.

In other words, could it have been an insider at a New York or Washington newsroom who was trying to make a buck — or was it an operative inside the Trump administration?

Prediction markets have long raised concerns over exactly these types of situations. Case in point, one Polymarket user made $1 million in 24 hours in early December after betting on Google’s 2025 Year in Search rankings. Per Forbes, the account had a “near-perfect record of 22 correct predictions out of 23 attempts.”

As The American Prospect points out, critics of the Trump administration have long accused officials of dabbling in similar behavior. The administration has also allowed the prediction market to flourish by dropping enforcement cases in the crypto world and failing to introduce meaningful regulations.

Even Trump Media and Technology Group (TMTG), which owns the president’s social network, Truth Social, entered the prediction markets business last year, showing a pointed appetite for the space.

“Of course insiders shouldn’t be able to get rich off of policy decisions — but even more concerning is the possibility that people are skewing policy outcomes in order to make their bets pay off,” Demand Progress executive director Sean Vitka told The American Prospect.

One thing’s for sure: while insiders profit, those without that privileged information lose out — and when the bets are on a deadly conflict, innocent people stand to suffer as well.

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FBI Issues Warning as Sports Gambling Surges Around the US

The FBI sounded the alarm on Dec. 17 regarding the risks associated with sports gambling as its popularity continues to gain steam across the United States.

The law enforcement bureau noted that 39 states and the District of Columbia have legalized some variant of sports betting, but it said that “illegal sportsbooks and illegal online gaming sites” are still widespread.

Some $673.6 billion is wagered each year by Americans via illegal or unregulated gambling markets, the FBI said, citing data from the American Gambling Association.

“Individuals engaged in illegal gambling risk funding organized crime activity and becoming vulnerable to violence, extortion, and fraud,” the FBI said in its bulletin released on Wednesday, adding that it is working to target “organized crime and illegal gambling operations.”

Some gambling sites operated in other countries have advertisements that target Americans and seek to obscure their respective countries of origin, the agency said. These offshore sites do not follow the same legal regulations as licensed sports books in the United States, it added.

Furthermore, the bureau said that the gambling profits gained by these organized crime groups can fund human trafficking, drug smuggling, and weapon smuggling activities.

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Insane Mafia-Linked NBA Gambling Scandal Erupts; Terry Rozier, Chauncey Billups Arrested Among Dozens Of Alleged Riggers

Over 30 people have been indicted after an FBI investigation uncovered an explosive gambling scandal rocking the NBA. 

Legendary Portland Trail Blazers coach Chauncey Billups, Miami Heat guard Terry Rozier and former NBA player Damon Jones were all arrested as part of the investigation into illegal gambling operations that included x-ray tables that read cards, special contact lenses, rigged shuffling machines and more – swindling people out of ‘tens of millions of dollars.’

Billups was charged in connection with an illegal poker operation tied to ‘la costa nostra,’ according to the FBI, while Rozier allegedly manipulated his performance during an NBA game to sway betting results. 

According to the NY Post:

Rozier is one of the six defendants in the NBA-related investigation, each of whom was charged with conspiracy to commit wire fraud and conspiracy to commit money laundering, per Nocella.

His specific allegations tie back to a March 23, 2023 contest against the Pelicans when Rozier exited after playing the first 9:36 and did not return due to a foot issue in what would be his final tilt of the season.

He tallied five points, four rebounds, two assists and one steal in that time, and one X user posted at the time how they allegedly had been tipped off that Rozier would exit early.

That knowledge would affect prop betting, where gamblers bet on a player’s statistics for a game.

An “unexpected” amount of bets came in on Rozier’s Under for that game, per ESPN, which resulted in some sportsbooks preventing further wagers on his prop lines.

The NBA investigated the issue and did not punish Rozier.

In a Thursday statement, the NBA announced that Rozier and Billups were being place on immediate leave.

“We are in the process of reviewing the federal indictments announced today.  Terry Rozier and Chauncey Billups are being placed on immediate leave from their teams, and we will continue to cooperate with the relevant authorities.  We take these allegations with the utmost seriousness, and the integrity of our game remains our top priority.”

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Las Vegas casino dumps human dealers for computers as soaring prices and Trump boycotts decimate tourism industry

The oldest casino in Las Vegas is replacing all human dealers with electronic table games as soaring prices and tourist boycotts continue to drive visitors away.

The Golden Gate Hotel & Casino is ‘reimagining’ its casino floor and will no longer have live table dealer games, owner and Circa CEO Derek Stevens has revealed.

Although electronic table games have been in casinos around the globe for decades, the Golden Gate will be the first hotel in downtown Las Vegas to completely eliminate human dealers from all of its tables. 

‘We’ve always embraced the future, and now we’re reimagining our casino floor with a high-energy electronic table games pit unlike anything downtown has seen,’ Stevens said in a statement to KLAS.

Although the CEO did not specify what inspired the change, he teased that visitors can expect ‘more excitement, faster gameplay, and all the newest machines’.

Industry experts expect the electronic table games market in the US to grow from $2.7 billion in 2024 to $4.9 billion by 2033, according to a recent study by Market Statsville Group.

Proponents of the tables argue the devices increase accuracy and efficiency, optimize casino floor space, increase revenue and reduce operating costs because they require fewer dealers and pit supervisors than live tables.

All Golden Gate table games members will have the opportunity to pursue roles in other departments or at other hotels in the Circa family.

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Trump’s Big Beautiful Bill Could Kill Professional Gambling

The One Big Beautiful Bill Act that narrowly passed the Senate on Tuesday contains an amendment altering gambling tax rules, making it harder for winners to reap profits.

A section of the Senate‘s 940-page version of the bill limits the amount gamblers are able to deduct from their winnings to 90 percent of losses.

This means that if a gambler wins $100,000 in a tax year while also losing $100,000, they would be required to pay $10,000 in tax despite breaking even, rather than zero tax paid under current regulations.

If the amendment makes its way into the House version of the bill and is signed into law, it would reduce the ability of gamblers to turn a profit. It could also push professional gamblers to unregulated operators outside the U.S., according to American professional poker player Phil Galfond.

This could have a downstream impact on the entire industry, which brought in nearly $115 billion in revenue last year, according to the American Gaming Association.

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Southern Baptists target porn, sports betting, same-sex marriage and ‘willful childlessness’

Southern Baptists meeting this week in Dallas will be asked to approve resolutions calling for a legal ban on pornography and a reversal of the U.S. Supreme Court’s approval of same-sex marriage.

The proposed resolutions call for laws on gender, marriage and family based on what they say is the biblically stated order of divine creation. They also call for legislators to curtail sports betting and to support policies that promote childbearing.

The Southern Baptist Convention, the nation’s largest Protestant denomination, is also expected to debate controversies within its own house during its annual meeting Tuesday and Wednesday — such as a proposed ban on churches with women pastors. There are also calls to defund the organization’s public policy arm, whose anti-abortion stance hasn’t extended to supporting criminal charges for women having abortions.

In a denomination where support for President Donald Trump is strong, there is little on the advance agenda referencing specific actions by Trump since taking office in January in areas such as tariffs, immigration or the pending budget bill containing cuts in taxes, food aid and Medicaid.

Remnants of the epic showdown in Dallas 40 years ago

Southern Baptists will be meeting on the 40th anniversary of another Dallas annual meeting. An epic showdown took place when a record-shattering 45,000 church representatives clashed in what became a decisive blow in the takeover of the convention — and its seminaries and other agencies — by a more conservative faction that was also aligned with the growing Christian conservative movement in presidential politics.

The 1985 showdown was “the hinge convention in terms of the old and the new in the SBC,” said Albert Mohler, who became a key agent in the denomination’s rightward shift as longtime president of the Southern Baptist Theological Seminary in Louisville, Kentucky.

Attendance this week will likely be a fraction of 1985’s, but that meeting’s influence will be evident. Any debates will be among solidly conservative members.

Many of the proposed resolutions — on gambling, pornography, sex, gender and marriage — reflect long-standing positions of the convention, though they are especially pointed in their demands on the wider political world. They are proposed by the official Committee on Resolutions, whose recommendations typically get strong support.

A proposed resolution says legislators have a duty to “pass laws that reflect the truth of creation and natural law — about marriage, sex, human life, and family” and to oppose laws contradicting “what God has made plain through nature and Scripture.”

To some outside observers, such language is theocratic.

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