Twitch Bans Gambling Streams: The End for Unlicensed Casinos

Gambling streams have long been a source of frustration for both gamers and Twitch viewers. In fact, Twitch is the latest organization to join the chorus of bodies condemning the practice, particularly when minors are involved. While it may appear to be a positive move, the truth is that the issue is far more convoluted – and a tad bit more dramatic – than what meets the eye.

Enter the recent ban Twitch has issued on certain types of gambling streams. Following a string of messy events involving a particular gambling streamer, the company has finally taken its most significant action to date. Although it’s not a blanket prohibition on all gambling, it’s certainly going to hit some creators considerably hard.

Why Twitch Bans Gambling Streams

The root cause of Twitch’s decision can be traced back to a single streamer called ItsSliker. Prominent online publications like The Verge and Eurogamer reported that the former member of Team Liquid had allegedly scammed family and friends out of almost $200,000.

According to the reports, ItsSliker claimed that his bank account was frozen and that he struggled to get by. Consequently, he accepted loans in good faith from a variety of people, including notable streamers such as Lacari and lukeafkfan. He then recklessly used that money to gamble on his streams.

ItsSliker later admitted that he had a gambling addiction and exploited the ploy to fuel it. Naturally, the news of his behavior didn’t sit well with the rest of the Twitch community. Big-time broadcasters like xQc took matters into their own hands, helping the victims by returning the money the gambling streamer had taken.

Others, including prominent MMORPG streamer Asmongold, demanded Sliker’s immediate ban from Twitch. However, it wasn’t until more top-tier streaming personalities began taking action that Twitch finally took notice.

Celebrity streamers like Pokimane, Mizkif, and Devin Nash instigated a “strike from streaming” during the holidays, aka peak ad revenue season. They believed that “hitting the company where it hurts the most” would finally force Twitch to act.

Twitch’s Bold Move and its Implications

This all eventually led to Twitch’s announcement on Twitter on September 20th, 2022. The tweet began with an acknowledgment that “gambling content on Twitch has been a big topic of discussion.” It then laid out what Twitch is calling a policy update involving gambling streams, set to come into effect on October 18th, 2022.

Considering the circumstances, the Twitch bans gambling move should come as no surprise. In light of ItsSliker’s actions and calls for accountability, Twitch’s decision highlights the platform’s commitment to creating a safer and more responsible streaming environment. However, the question lingers: is this the end of casino streaming on Twitch, or merely a temporary setback for the lucrative slot category?

Which Types of Casinos are Affected?

Gambling is a gigantic category on Twitch, so the company has been very specific with its policy wording. According to the official tweet, the update to their policy will “prohibit streaming of gambling sites that include slots, roulette, or dice games”. The Amazon-owned platform has clarified that sports betting, fantasy sports, and poker sites will still be allowed.

The company has also specified that the policy covers sites that aren’t licensed in the US and other regions that have “sufficient consumer protection”. They’ve named four major websites, all of which are cryptocurrency-based: Stake.com, Rollbit.com, Duelbits.com, and Roobet.com. It’s essential to note that Twitch has stated they may “identify others as [they] move forward.”

The Impact on Creators

There are a lot of creators on Twitch who’ve made a name for themselves while streaming themselves gambling. Undoubtedly, the news of Twitch’s ban on unlicensed dice, roulette, and slot websites will affect them quite severely, at least in the short term.

Perhaps the most well-known gambling streamer, Roshtein, reacted to the news by stating “rest in peace” during one of his broadcasts. He also went on to ponder what this meant for his channel and those of his peers. What’s essential to note is that Roshtein wasn’t entirely surprised by the news. Back in 2021, when Twitch prohibited sharing links and referral codes, he stated in a tweet that everything was “going in the right direction.”

Other streamers who may be affected to some degree include xQc, who has been taking the news positively despite running gambling streams himself. Adin Ross and Trainwreckstv also pull in big viewer numbers for their streams. It’s quite likely that they’ll be taking a significant hit to their revenue.

To put these numbers into context, Adin Ross has streamed fewer than 400 hours of gambling on his channel. He’s the small fry here by comparison but still managed to peak at over 50,000 views for those broadcasts. This number alone is enough to pull in a significant income from ads.

Possible Measures Twitch May Take in the Next Months

Twitch is well aware of the criticism lodged against its lax approach towards gambling streams. Though this ban targets unlicensed crypto-based sites, it still has left a significant number of gambling categories untouched for now. While it’s highly unlikely that poker streams and sports betting will be banned, we can expect that more gambling measures may be put into place.

The key term here is “unlicensed sites”. The US and other regions have strict laws and regulations for gambling and betting. One can’t just open up shop and start taking bets. However, Stake and other sites of its kind seemingly did just that, at least in the eyes of these countries’ laws. So, Twitch had to take action once the spotlight was on them.

Now, this could mean that governments knocked on the company’s doors to get them to start adding measures, and Twitch is just playing ball. It could also mean, though, that the platform is allocating more staff resources to monitor streams and look for similar patterns. In that case, we can expect Twitch to add more site names to its hit list.

However, some speculate that Twitch won’t be doing anything more until the next piece of drama comes to light. The pattern has been that the platform maintains a hands-off approach and then reacts when the community says, “enough is enough”.

Should this trend continue, Twitch may take further action only when pushed by community outrage or regulatory obligations. Examples of measures the platform could take include stricter streaming guidelines, intensifying monitoring efforts, and adding even more categories of gambling content to its ban list.

In the meantime, content creators will need to stay vigilant and keep up with Twitch’s ever-changing policies. They must adapt their content strategies, focusing on regulated and licensed gambling niches that are still permitted on the platform.

On the other hand, Twitch should ideally work proactively to foster a more responsible and safe streaming ecosystem for all users. By engaging with the community and staying ahead of potential controversies, Twitch could set a positive example in the industry, promoting responsible gambling practices while mitigating risks associated with unauthorized and unregulated gambling schemes.

Intensified Ban on Gambling Live Streams

On 3 August 203, Twitch expanded its ban on gambling content livestreams by adding online casinos Blaze and Gamdom to the list of prohibited sites. This decision comes after a scandal last year where a streamer was accused of scamming users to feed a gambling addiction, leading to protests about the platform’s lax gambling policies.

To address this, Twitch’s revised policy now prohibits livestreams involving unlicensed slots, roulettes, or dice games. Although gambling viewership decreased by around 75% following the initial policy change, Twitch continues to update its rules to prevent predatory behavior and scams, as well as to provide better protection for its community.

Ryan Davis Founder

Ryan is a savvy casino player from Toronto. In 2021, he founded Clever Casino to teach others smarter gambling.