It has come to light that a significant number of Swedish influencers on the video platform Twitch have been endorsing unlicensed online casinos, sparking concerns about the promotion of illegal gambling activities.

Following a thorough investigation conducted by Kulturnyheterna, the investigative arm of Sveriges Television AB (SVT), it was uncovered that eight out of ten prominent Swedish influencers on Twitch have been actively promoting unlicensed casinos to their vast audiences.

Over a period of six weeks, Kulturnyheterna meticulously reviewed the broadcasts of these influencers, revealing how they have been disseminating advertisements for unlicensed online casinos through extended live streams, urging hundreds of thousands of followers to engage in gambling activities.

The investigation further highlighted that these influencers collectively reach an audience of approximately half a million subscribers, predominantly comprising young males born in the 1990s and 2000s.

During their live streams, 60% of these influencers employed direct marketing tactics, including sharing links to unlicensed casinos in their profiles and broadcasts, as well as enticing followers with bonus incentives to create casino accounts.

According to Kulturnyheterna’s report, these influencers were observed actively encouraging their viewers to gamble, participating in gambling activities alongside their audience, and even involving viewers in decisions regarding wagers, thereby intensifying engagement in gambling-related content.

Swedish Gambling Regulator Takes Aim at Twitch

Twitch, owned by Amazon, has faced scrutiny over its role in facilitating these advertising infringements. Despite implementing community guidelines in 2022 to prohibit the promotion of gambling content, Twitch has seemingly struggled to curb such activities effectively.

Kulturnyheterna has submitted its findings on these advertising violations to Spelinspektionen, Sweden’s gambling regulator, emphasizing Twitch’s status as the primary platform for promoting unlicensed casinos.

Spelinspektionen, armed with enhanced enforcement powers granted by amendments to the Gambling Act of 2018, has recently taken decisive action against illegal online gambling operators. Last week, Spelinspektionen announced the prohibition of a network of skin online gambling websites, which were primarily promoted on platforms like Twitch and YouTube.

While Spelinspektionen has yet to comment on Kulturnyheterna’s investigation, it has reiterated that advertising unlicensed gambling is illegal under Swedish law. Violators risk facing severe repercussions, including business bans and potential police intervention.

Similar action was also taken in Norway. Norway’s Gambling Authority declared a zero-tolerance stance towards social media platforms promoting online gambling content, enforcing a blackout on gambling advertising except for state-owned monopolies. The actions by the authority included warnings issued to Schpell.com and other entities.

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Counter-Strike skin gambling continues on Twitch despite the platform’s efforts to ban it, the video gaming news outlet Dexerto reported. As it turns out, CS skin gambling still happens without prompting action from the Amazon-owned streaming platform.

For reference, Twitch banned CS skin gambling sites, also known as CS case opening sites, from being featured on its site back in August. The platform announced that any promotion of such sites, even of free social versions of such sites, is prohibited under the new policy.

The ban was prompted by the intense scrutiny of such gambling sites’ prevalence across the content sharing platform. Many believe that CS skin gambling can serve as a gateway product that leads to youth gambling.

Twitch heard the calls and introduced the aforementioned ban, just as many fans wanted. When the ban was officially introduced, Twitch officials told Dexerto that this new measure would make it clear what type of promotion is allowed on the streaming service.

However, the Amazon-owned platform does not seem to be very diligent in upholding its own rules.

Dexerto said that Twitch’s ban on CS skin gambling sites has changed virtually nothing on the platform. According to the news outlet, streamers continue to feature and promote such websites regularly without anyone getting banned for it.

Dexerto noted that not a single major channel promoting CS gambling content has been suspended yet. On the contrary, both CS2 streamers and tournament organizers continue to promote case opening sites and stream themselves interacting with such websites. Some even use Twitch extensions like Magic Wheel to win prizes, Dexerto pointed out.

This shows that Twitch’s crackdown on CS case opening sites is not proceeding as planned. The measure was originally expected to impact a multitude of content creators sporting partnerships with CS gambling websites. Such streamers would often provide affiliate codes and feature sponsored segments across their streams.

As of the time of this writing, Twitch has yet to address the situation.

Twitch’s relationship with gambling has always been troubled. The company has been trying to minimize the impact of such content with mixed results. Months ago, it introduced a ban on unlicensed websites that prompted a mass exodus from the platform and sparked the creation of Kick, one of its biggest rivals yet.

However, while many enjoy gambling content, a lot of other viewers have been getting tired of it and are demanding tougher measures.

Speaking of Twitch and its troubled relationship with gambling, the site was just fined by the AGCOM over gambling-related issues.

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French-Canadian online streamer who started his career as a professional Overwatch player, Félix Lengyel, whom you might know as xQc (ex xQcOW), has made an announcement that sparked plenty of heated conversations in the streaming community. 

The Twitch and Kick streamer said he was planning on giving up gambling after he shared a link with his online community, showcasing a massive $5 million win on Stake.com. The latter is a popular online crypto-gambling platform that boasts about offering the best casino and sports betting platforms for Bitcoin and other cryptocurrencies. 

xQc Took It to His Offline Chat to Make the Announcement 

Last September, Twitch announced an important update to its policy aimed at forbidding content creators from streaming from gambling sites featuring roulette, slots, and dice games that are not licensed in the US and other gambling markets with consumer protections in place. 

Before the controversial ban was imposed, xQc had become one of the top “gamba” (gambling) streamers there. After the streaming platform made the crucial announcement, xQc decided to move his gambling content to Kick, Twitch’s direct competitor launched on October 18, 2022. 

The Juicer who had been streaming on Twitch almost on a daily basis therefore resumed his gambling. His debut gambling stream on Kick ended with an impressive win of over $553,000.

Now, xQc has announced he would put an end to his gambling habits online after hitting an impressive $5 million win in an online game. The news follows the streamer’s $1.1 million gambling loss in Las Vegas.

xQc used his offline chat to share a screenshot showcasing the whopping win on Stake.com while also letting his viewers and subscribers know that he had already cashed out the money and that he would not be gambling anymore. 

$1.5 Billion in Wagers

In September 2023, the streamer also openly shared his statistics on the Stake.com platform with his viewers, proving that he had placed no less than 788,877 bets there. Out of these bets, xQc won 76,398. The rest of the bets were losing ones. 

The French-Canadian streamer and online personality also emphasized the fact that his wagers had gone over the $1.5 billion mark.

It remains to be seen if xQc will truly give up gambling, as the streamer has a track record of not always disclosing the full truth with his community.

In the spring of 2022, xQc openly spoke about his gambling addiction on Twitch, explaining that he felt compelled to take unnecessary risks in every game he plays while also claiming that he “can afford to be ill”. 

Last month, Stake.com announced that a cyberattack affected its ETH/BSC hot wallets, leading to $41 million in losses. 

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Gambling streamers have become very popular in recent years – but why is that, and what have popular platforms Twitch and Kick done to increase their popularity?

Twitch’s popularity

Tom Waterhouse from Waterhouse VC decided to research this topic and compare two of the most popular streamers. Twitch was launched in 2011, but its biggest growth was recorded after Amazon bought the platform for $970 million in 2014. At the time, there were very few streamers in the whole US market.

There awaited various thrilling features, including many tutorials and chat rooms hosted by famous gamers from all over the world. The money comes from both ads and premium subscriptions, as well as a few merchandise sales, and the platform and the streamer used to split the subscription revenue 50/50 until June when it changed to 70/30 for the streamer.

Among other things, Twitch offers Bits – it’s an internal currency that users can give to steamers as a sign of support, and that revenue is also split. However, according to the source, the streamers believe they’re underpaid. In 2021, some information about the network was leaked, and according to that, only 0.01% of streamers were paid more than the minimum wage. This is the main reason for the different split percentages, along with increased competition from the new platforms.

Kick – a serious threat

Another major platform is Kick, which is relatively new, with the launch in January 2023. However, it rapidly became popular among streamers and viewers. Streamers love it because of the 95/5 split, along with keeping all the tips to themselves.

Kick also allows gambling. After the 2022 scandal, when Twitch borrowed money from creators to pretend to fund gambling expenses, Twitch decided to ban most of the popular gambling streaming, starting in October last year.

Back then, the company claimed: “We’ll be making a policy update on 18 October to prohibit streaming of gambling sites that include slots, roulette, or dice games that aren’t licensed either in the US or other jurisdictions that provide sufficient consumer protection.”

On Kick, however, gambling content is beyond popular, which has drawn streamers to the platform. Since fans keep finding new ways to gamble, the ban didn’t help – many of them simply transferred to Kick, which likely won’t ban gambling content from the platform since its popularity keeps growing.

In January, the platform had 9.000 active channels, and in April, that number increased to 67,000. Also, there were 12.8 million viewing hours in January, and that number increased to 51.8 million until April. It is still only 2.8% of Twitch’s hours, but the company keeps growing, and gambling streaming helps a lot.

Will Twitch be replaced by Kick? It’s early to say for sure, but the games have just begun.

Source: “Waterhouse VC: Twitching into gear”. iGaming Business. August 22, 2023

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On Wednesday, Twitch confirmed that its ban on live streams featuring gambling content had been expanded. The company prohibited streams featuring online casinos Blaze and Gamdom, adding to the websites that were banned in October when the company’s new gambling policy was first introduced.

Twitch Toughens Gambling Policies

Twitch had to act when a scandal broke out last year that a streamer had allegedly scammed viewers out of thousands of dollars because of gambling addiction. This triggered a wave of discontent amongst viewers and the platform’s top streamers who decried the proliferation of gambling content that went unchecked.

Twitch responded by shutting down any streams that promoted websites that were not licensed in the United States, or other jurisdictions, and are therefore not fit to provide sufficient consumer protection. Both Blaze and Gamdom do not hold a license in the United States.

Twitch said that the company was looking to address what it described as “predatory behavior,” and added that it’s determined to continue working against websites that are not meeting its guidance and policies in full. At the same time, the company said that it has been able to reduce 75% of all gambling viewership since the implementation of the new policy.

However, the company noted that there have been some new trends emerging as streamers trying to stick around and still push gambling content have been coming up with new strategies. To respond to this, Twitch has introduced new rules to further protect consumers.

Twitch Adds to List of Prohibited Websites

Twitch presently prohibits links to websites that are considered “questionable” to be shared with others. Apart from Gamdom and Blaze, Twitch prohibits streaming and sharing links to Roobet, Duelbits, Rollbit, and Stake.com.

Twitch’s decision to turn its back on gambling streams has led to the creation of Kick, a platform that some streamers have described as “on-point.” Kick has been splitting up its revenue 95-5 with content creators, putting it well ahead of its Amazon-owned counterpart.

Kick recently became an official sponsor of Everton FC, establishing its brand awareness with millions of soccer fans. The platform has been able to secure partnerships with some of Twitch’s biggest stars, including xQc, who signed a $100 million deal in June.

The post Twitch Carries on With Further Gambling Restrictions appeared first on Keno Wizard.

As a result, he is moving to greener pastures with Kick offering a better split and overall presence in the streaming space. xQc is joining to promote the type of content which he likes best, which includes online gambling, and admittedly get a better rate. 

His decision to join Kick is also incentivized by a $100 million price tag on the deal, which will last for two years. He has become the latest topflight streamer to disembark from Twitch, accusing the platform of ham-fisted policies and double standards.

Kick Beckons to Twitch’s Top-Performing Streamers 

As such, xQc is joining fellow content creators Amouranth and Trainwrecks who too made the switch to Kick recently. Kick is a brand new entry into the streaming space and one that is making very fast gains. The platform is a collaboration between Easygo Gaming and Stake.com, two online gambling companies, along with other partners.

Presently, Kick offers a massive 95% share split with content creators, which puts it well ahead of Twitch’s models. Some critics have said that Kick is focused on short-term customer acquisition but fails to properly communicate how it’s going to be profitable in the future or if it’s profitable even now.

Kick is openly burning through money to acquire some of the biggest streaming talents, but also maintaining a very strong focus on online gambling. xQc is not the best example of a gambling streamer, as he originally played League of Legends and Overwatch, before making the switch to online gambling.

A Firebrand Personality from the Very Get-Go

xQc briefly played at Dallas Fuel, an Overwatch League franchise, but was released over a series of offensive comments. He then embarked on exploring other forms of content, which is how gambling came into his sights. In a single year, he managed to lose $1.8 million, something he admitted himself.

However, the streamer remained fond of gambling and was unapologetic about confronted how he ended up promoting gambling content to all sorts of viewers who come to Twitch to escape gambling ads. 

Ultimately, xQc said that it was his stream and down to him to enjoy his favorite type of content. He called out Twitch on its ill-defined ban on gambling content while still letting some stars get away with promoting gambling. On June 16, xQc wrote that “the time has come” and revealed that he was joining Kick. 

The post xQc Signs $100M Deal with Twitch Rival Kick appeared first on Keno Wizard.

Much has changed on the streaming platform Twitch in the last year. Changes to its policies resulted in the ban of content from different gambling platforms, while some streamers criticized its limits related to the freedom of speech, resulting in an outflow of content creators to different platforms.

Kick, the Stake-owned streaming platform, welcomed those changes and was excited to see new content creators aboard. What’s more, the platform challenged Twitch’s dominance by providing lucrative financial contracts, relaxed rules and a place where blacklisted content creators can emerge once again.

While those changes and the consequences that followed sounded like standard business, further changes to Twitch have now shocked not only gambling streamers but other content creators as well. The new rules effectively restrict content creators from simulcasting on multiple platforms, whenever they engage in Twitch streaming.

“When you are streaming live on the Twitch Services you may not simultaneously live stream or broadcast (“Simulcast”) on any other “Twitch-like Service,” meaning any web-based network, platform, or service that supports live streaming of user generated content, without advance written permission from Twitch,“

read the updated terms of service from Twitch

Per the latest restrictions, streamers are banned from simultaneously live streaming or broadcasting their content to other platforms similar to Twitch. Such actions are restricted unless “written permission” from Twitch is secured in advance. An exception is made for mobile-first streaming services, as well as non-profit, non-commercial organizations such as government institutions.

“For clarity, you may Simulcast on mobile-first services that support live streaming. This Section does not apply to non-profit or government entities that are live streaming for non-commercial purposes,“

explain Twitch’s terms of service

It is yet to be seen how the broader Twitch streaming community will react to the latest changes. While some may transition to the platform’s competitor Kick, others may decide to stay and continue growing their position on Twitch. In light of the updated terms of service, content creators that simulcast on multiple platforms may be subject to bans or other forms of penalty from Twitch.

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The rowdy streamers’ professed love for streaming slots has extended beyond Twitch, as the platform and its chief executive officer, Dan Clancy, have taken a much harder look at what gambling content must be allowed onto the Amazon-owned giant.

Twitch CEO Debates on The Validity of Gambling Content on the Platform

Twitch has been muddling through reform for gambling content, introducing a dedicated policy that has people stream in the Slots category, one of the highest-grossing and most watched on the platform, but the company also pressed on with another measure – its decision to suspend streams that promote specific gambling websites.

Essentially, brands such as Stake.com and Rollbit.com are no longer allowed to be streamed, which has prompted the former to take matters into its own hands and introduce a dedicated streaming platform, Kick, which has been gaining followers and viewers exponentially.

This comes at a time when Clancy is doubling down on his decision, and the company’s guidance and direction, that in order to have a casino website streamed on Twitch, it must have been regulated by a government agency.

He specifically seems to suggest an agency based in the United States and has criticized offshore gambling sites, that is sites that do not have a license to operate in the country. Clancy spoke during an interview with Filian, a VTube streamer, and said:

The thing that was growing was these unregulated offshore gambling sites. These are sites that there’s nobody overlooking to see, for example, what are the odds on the craps tables, are they tweaking them, do they change them, cause they’re not regulated.

Twitch CEO Dan Clancy

No Objection Against Gambling in General

He further explained that there were significant amounts of money being forwarded towards those gambling sites, originating from Twitch, which the executive said was not something the platform thought was good for its communities. Clancy, though, argues that streaming gambling as a concept is perfectly reasonable and that Twitch has no strong aversion to the institution of gambling as long as it’s done correctly.

However, Clancy is also somewhat vague in what websites that are now deemed to be not a good fit to be shown on Twitch streams would have to do in order to qualify. He argues that should those sites become regulated, and “are willing to adhere to the regulations of most major countries,” they would be acceptable on the platform.

Then again, this doesn’t really introduce clarity in the debate as the United States, for example, does not care if a website is regulated in the United Kingdom. In fact, every individual state may press a claim against sites that target their own citizens without a license.  

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Neymar da Silva Santos Júnior, a famous soccer professional playing as a striker for Paris Saint-Germain, streamed himself losing a million playing online poker. The athlete’s unfortunate loss was broadcast live on Twitch.

Neymar has been streaming on the Amazon-owned platform in addition to playing on the field. He is working under an agreement with the iGaming operator Blaze, serving as its ambassador.

The latest stream saw the PSG striker wager a huge amount playing online poker. According to him, all of the money he lost came from his own pocket. While there is no way to confirm that, Neymar’s reaction to losing the money was full of emotion.

Upon losing his bet, the soccer professional acted as if he was about to cry. His friends – like any good friends would – mocked him for his loss. While Neymar was struggling to come to terms with losing a million dollars, his friends played a distorted version of My Heart Will Go On, Titanic’s theme song.

Neymar eventually calmed down and began laughing at his own misfortune, even mocking himself for losing the money by playing an air flute.

Many doubt that Neymar actually pulled the money out of his pocket. A more plausible explanation would be that it was actually given to him by his gambling sponsor.

Usually, streamers in Twitch’s Slots category would have a sponsor who, viewers believe, fuel their accounts with money. This allows content creators to continue streaming and promoting their sponsors’ brands.

Regardless of whether this is really the case, high-rollers are always entertaining to watch because their viewers like seeing high numbers. Few people can truly afford to wager big amounts on poker or another gambling vertical, which is why they are often excited to see celebrities placing their dream bets.

Neymar was known for his love of gambling even before his deal with Blaze. The soccer pro has played poker for years now and has even participated in a variety of major poker events.

Neymar continues to be sidelined in PSG because of an injury he sustained in February. Despite undergoing successful surgery in early March, the player is still recovering. This downtime provides the athlete with plenty of time to continue his adventures in Twitch’s Slots category.

In other news, Twitch recently banned Sliker, whose main account allegedly got hacked. The content creator made headlines after taking thousands of dollars from his colleagues and viewers to gamble.

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