Twitch’s Ban on Gambling Content: What You Need to Know

Twitch

Back in September, Amazon-owned streaming platform Twitch announced it would be placing a ban on unlicensed gambling live streams. The ban went live on October 18, 2022, and has received mixed reviews from Twitch users and the general US public.

Where Has the Ban Come From?

The streaming service has long been aware of its users promoting gambling sites that are licensed outside of the US. In fact, it had already put a ban in place prohibiting streamers from sharing affiliate links and referral codes to these sites. However, a recent scandal involving high-profile streamers prompted Twitch to take decisive action against potentially harmful gambling promotion.

On September 18, 2022, prominent streamer ItsSliker admitted he had defrauded several high-profile streamers out of thousands of dollars (over $200,000, to be precise.) The creator attributed his desperate scam to a gambling addiction that he claims began from streaming Counter-Strike: Global Offensive. Just three days later, Twitch announced its new gambling ban.

This move towards a safer platform also comes after pressure from other high-profile gaming streamers. Pokimane (Imane Anys), Mizkif (Matthew Rinaudo), and Devin Nash threatened a week-long boycott of the streaming service over Christmas, its most high-traffic time of the year. The three creators held a live stream where they discussed Sliker’s actions and the overall impact that gambling streamers have on impressionable young viewers.

Though their discussion clearly had a ripple effect, Nash Tweeted about his disappointment after the announcement was made. He noted that while it was a “step in the right direction”, the trio sought “a ban on luck-based gambling because it is objectively harmful to the website and its users”. However, Pokimane Tweeted in celebration of their victory, saying, “we did it y’all. Public pressure, tweets, raising awareness, it all matters”.

What Does the Ban Include?

As of last month, Twitch users have not been able to stream themselves slots, roulette, and dice games on unlicensed gambling sites. That is not to say that all gambling on chance-based games is banned – only gambling on sites licensed outside of the US. The ban does not include poker or sports betting.

Who Will It Impact?

Casinos

This ban is particularly damaging for crypto casinos that rely heavily on advertising from streamers and influencers to bring new members to the site. Twitch even mentioned a few of these sites by name that will no longer be welcome on the platform when it released its update via Twitter.

Since these casinos are not regulated in the US, they often struggle to secure the trust of US bettors. These internationally-regulated sites frequently partner with celebrities in an attempt to win over the general public. Now, however, Twitch has thrown a massive spanner in the works. While Twitch users can continue to film themselves gambling on the site’s sportsbook or poker platforms, they can no longer promote the casino.

Stake crypto betting site is a prime example of this. In the years since it first launched, Stake has been partnering with UFC athletes and sponsoring Premier League teams left, right, and center. However, its partnership with famous rapper Drake catapulted the site into the limelight. The Canadian star filmed himself placing dozens of million-dollar-plus bets on roulette games using the Stake.com platform. By August 2022, he had wagered over $1 billion at the site.

Many of his followers speculated from the beginning that a partnership was brewing, but Drake himself made no mention of it. The partnership was finally (and unsurprisingly) announced in March 2022, and thousands flocked to the site. Though it is possible the site would have stumbled upon this level of popularity eventually, it is doubtful. Without streaming with Drake on Twitch, Stake would most likely be a relatively unknown online casino.

Streamers

Going hand-in-hand with the casino’s loss of Twitch partners, streamers will now lose out on potential sponsorship revenue. Way back before Twitch’s ban on affiliate links and casino promotions, prominent streamers could make thousands of dollars a month in sponsorships. This revenue fell away when the promotion of links and referral codes was prohibited. They now stand to lose even more as they cannot stream themselves playing at the casino.

Twitch Itself

Twitch takes a 50% cut of every subscription to the site (though the biggest streamers can negotiate a 70/30 split.) Moreover, there are many Twitch subscribers who use the platform to watch their favorite streamers gambling. It is unsurprising, then, that many Twitch subscribers abandoned the site once the new policy came into play. In just over a month, it lost 20% of its viewership.

Raja Rajan Avatar

Help Us Grow

If you like this post, please share it with your friends.

You are free to copy and redistribute this article in any medium or format, as long as you keep the links in the article or provide a link back to this page.

Subscribe to Newsletter




Privacy Settings

Privacy & Cookie Overview

Our website uses cookies to provide you with the best user experience possible. These cookies are stored in your browser and perform essential functions such as recognizing you when you return to our website, as well as helping us to understand which sections of the website you find most useful and engaging.

To learn more, you can read our Privacy & Cookie Policy or reach out through our Contact form.

Strictly Necessary Cookies

Strictly Necessary Cookies must always be enabled to ensure the proper functioning of this website and to allow us to provide you with excellent service. These cookies are also essential for saving your cookie preferences.

Google Adsense

We use Google AdSense to keep this site free by displaying relevant ads. AdSense requires essential cookies that cannot be disabled, but you can manage other cookies. We respect your privacy and provide options to control non-essential cookies.

For more details on how Google handles your data, visit Google's Data Usage Policy. Please review our Privacy Policy for more information on how we protect your data.

AddToAny

We use AddToAny for social sharing. It doesnโ€™t store cookies, ensuring a privacy-friendly experience. AddToAny complies with GDPR and CCPA by default.

For more, see their Privacy Policy.

OneSignal

We use OneSignal to send notifications to users who opt in. OneSignal complies with GDPR and is certified under the EU-US and Swiss-US Privacy Shield frameworks.

For more, see their Privacy Policy.

3rd Party Cookies

This website utilizes third-party cookies, which can enhance your experience and support our ongoing efforts to improve our services.

Google Analytics

We use Google Analytics to collect anonymous data, such as visitor numbers and popular pages, to improve user experience and site performance. Keeping this cookie enabled helps us refine the site based on visitor activity.

For more information, see Googleโ€™s Privacy Policy.

Discover more from Prime Inspiration

Subscribe now to keep reading and get access to the full archive.

Continue reading