Sky News has uncovered a startling trend: illegal crypto casino accounts are being openly sold on Facebook and Discord for prices starting as low as £8. These “ready-to-gamble” accounts allow users to bypass strict UK gambling laws, giving them access to unregulated and potentially dangerous gambling platforms.
How Does It Work?
Crypto casinos are currently blocked in the UK, meaning any attempt to access these websites results in an error message. However, a previous investigation by Sky News revealed that British gamblers are circumventing these blocks using widely available software. While some of these sites require photo identification to create an account, the accounts being sold come pre-verified, allowing gamblers to bypass ID requirements effortlessly. For as little as $10 (£7.90), individuals can obtain these accounts, complete with all necessary verifications.
Premium and Free Accounts
In addition to these low-cost accounts, premium accounts are also available, sometimes for thousands of dollars. These premium accounts often feature active cashback or other financial bonuses. Verified Stake.com accounts are also being given away for free on messaging apps like Telegram, utilizing fake addresses to dodge location-based restrictions. For instance, Sky News used a Japanese address (where Stake.com operates legally) to create an account that remained active until voluntarily closed by the news organization.
Who Are the Sellers?
Interestingly, those selling these accounts are not affiliated with any of the casinos. Many appear to be gamblers themselves, some of whom have lost substantial amounts of money and are looking to recoup some of their losses. One seller confessed to Sky News, “I lost $225,000 this month. I don’t have any money anymore. I’m poor now. I need money for food next week.”
Concerns from Campaigners
The accessibility of these accounts raises significant concerns, particularly for children and gambling addicts. According to Matt Zarb Cousin, co-founder of Gamban, a software that blocks gambling sites, the features of these unregulated crypto casinos are highly addictive. He highlighted that the lack of time or wager limits on these sites makes them particularly dangerous.
Investigation Findings
Over a three-month period, Sky News analyzed hundreds of adverts across various social media platforms and engaged with both sellers and buyers. Most adverts were found on Facebook and Discord but also appeared on TikTok, Telegram, Reddit, and X (formerly Twitter). Stake.com accounts were the most frequently advertised, with over 200 adverts posted on Facebook since October and 100 on one Discord server alone. There is no evidence that Stake.com or other crypto casinos are aware of these adverts or endorse them. Their branding is being used without permission.
Social Media and Crypto Casino Responsibility
Social media companies like Meta (which owns Facebook), TikTok, Reddit, and Discord removed the accounts after being contacted by Sky News. These platforms stated that user safety is a top priority and that their community guidelines prohibit the promotion of gambling services or activities facilitating illegal gambling. However, Telegram and X did not respond to requests for comment. Stake.com asserted that they are aware of attempts to bypass their industry-leading controls and are continuously evolving their strategies to combat fraudulent activities.
Legal and Ethical Implications
The trade of these accounts exists in a legal gray area but raises significant ethical concerns. Richard Williams, a gambling specialist at Keystone Law, noted that the increasing trend of British residents gambling with offshore operators, particularly crypto casinos, is worrisome. The legitimacy of these adverts remains questionable, with the potential for scams targeting those with gambling addictions.
As the gambling landscape evolves, the need for modernized regulations and stricter enforcement becomes evident. Carolyn Harris MP and her colleagues in the Gambling Related Harms All Party Parliamentary Group are campaigning for updated laws to address these digital-era challenges. Harris’s reaction to the investigation’s findings underscores the urgency of this issue: “The fact that this is happening is astounding.”
In conclusion, the sale of illegal crypto casino accounts on social media platforms poses a significant threat to public safety, particularly for vulnerable populations. It is imperative that both social media companies and gambling operators take more robust measures to prevent such activities and protect users from the associated risks.
