Virtual Feds scope out 'Second Life' casinos
by Tony Carnevale 
{ Apr 4th 2007 at 1:16PM }
"Adam Reuters," the adorable virtual persona of real-life reporter Adam Pasick, breaks a story on FBI agents checking up on the virtual gambling in nerd hangout Second Life. Since gambling isn't legal in most of the US, it presumably isn't legal on the internet either, even when it's using "Cuddle Bucks" or whatever the pretend currency in Second Life is. So far, the Feds haven't shut anything down, but stay tuned ... any time now, a whole lot of furries may have to find another place to play the slots.[Via Second Life Insider]
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Reader Comments (Page 1 of 1)
geves @ Apr 4th 2007 1:43PM
So now we have very real pretend information control?
thanks big brother! You assholes.
ShortFuse @ Apr 4th 2007 1:22PM
and then you must pay pretend fines and be dragged away by the pretend police to pretend jail or pretend house arrest in your pretend home.
this just in, fbi bans the Monopoly board game.
Virtua Fanboy @ Apr 4th 2007 1:26PM
ROFLMAO @ the 1st poat.
Ecksem Diem @ Apr 4th 2007 2:42PM
Three cheers for constant government interference into even the most mundane aspects of everyday life!
Bluebreaker @ Apr 4th 2007 1:28PM
Do not pass GO. Do not collect $200.
waLLy @ Apr 4th 2007 1:31PM
cuddle bucks?
y'all never heard of Linden Dollars?
Paul @ Apr 4th 2007 1:46PM
uh oh! Wally is getting upset! (just kiddin man)
Can you imagine this investigation? There are literally FBI agents PLAYING secondlife right now to investigate this! Dont cross the SecondMob! You will be sleeping with the flying schlongs!
Dansk @ Apr 4th 2007 1:50PM
I've lost about 10 bucks on those cassinos!!
LaughingTarget @ Apr 4th 2007 1:57PM
It has nothing to do with being legal in any individual state. At the federal level, gambling is legal (thus why Vegas and US controlled but not state controlled areas, ie rivers and off shore areas). The problem is the inability to regulate. Online gambling fails to provide evidence they aren't being rigged, something Vegas casinos and riverboat gambling has to go through. Current regulations state that 18% of all slots must be winners and any electronic card games (ie video blackjack) must have the same odds of winning as their physical counterparts.
Because Second Life is run by individuals and provides real cash transactions, the proper regulation is absent. Simply put, the FBI is making sure the Second Life casinos aren't committing fraud by failing to offer the proper odds and just fleecing anyone that shows up to gamble. Casinos do get in trouble for making too much money.
hegemonyhog @ Apr 4th 2007 2:31PM
Who exactly is on Second Life?
I understand there must be people on it, as dildo terrorism doesn't just spring up out of nowhere, but who are they?
I've never even seen actual Second Life users interviewed in these articles - just a whole bevy of ancillary entities attempting to use all the other ancillary entities to reach the elusive "Net".
billychaos @ Apr 4th 2007 2:34PM
I love gambling, hehehe. After going to Las Vegas and really gambling it makes ALL (yes the ps3 and 360 too) Video-gaming look like kids stuff, hehhehe
Especially after leaving casinos $100 richer :P Not much but hey it's more money than i had before.
Judd @ Apr 4th 2007 2:15PM
Well, it's good to know the FBI is tracking the important things and not getting information on, hmmm, how about terrorist attacks?
sheppy @ Apr 4th 2007 2:24PM
"Well, it's good to know the FBI is tracking the important things and not getting information on, hmmm, how about terrorist attacks?"
They are currently combing the Nevada desert for WMD, alright? Give em a break.
Matt B @ Apr 4th 2007 2:27PM
Americas tax dollars hard at work again.
sheppy @ Apr 4th 2007 2:35PM
I tried it once. Went around slapping people, spitting on them, talking smack about how I would kick their ass, making unflattering gestures towards their mothers, and generally searching for a fight. Imagine my suprise when I discovered there was no combat...
Vidikron @ Apr 4th 2007 2:41PM
Oh noes! Is Texas Hold'em on XBLA next??
Tom Hayden @ Apr 4th 2007 3:18PM
@ Laughing Target
The Unlawful Internet Gambling Enforcement Act of 2006 makes it illegal to accept bets using the internet if the bet violates state law either where the bet was originated or where the bet was received. Online games are exempted, but only those where there is no "pay to play" element, or where free plays are the only prize. Gambling within second life doesn't fall under either of those exemptions.
The upshot of this is that any second life player who is taking bets from Americans is violating American federal law. Also, Linden Labs probably falls under the statutory definition of a "financial Institution" because it maintains player accounts and changes USD for LD. Therefore, under the law it would be prohibited from processing any gambling payments. That means that it is not allowed to send linden dollars from one player account to another if the purpose of that is gambling.