Twitch casino ban: How did we get here?

This week, Amazon-owned streaming platform Twitch announced a substantial crackdown on users streaming slots, roulette, or dice games from unlicensed operators. The growing controversy around casino streams has been a focal point in the gambling industry for years. Here’s an in-depth look at the evolution of Twitch and its relationship with casino streaming.

2016: The Emergence of Casino Streaming

As Twitch surged in popularity, early casino streamers seized the opportunity. Prominent figures like CasinoDaddy and Roshtein began their streaming careers in 2016, attracting large audiences with their captivating gameplay. At the same time, CasinoGrounds emerged as a vibrant community for slots enthusiasts.

Roshtein noted, “The casino streaming scene on Twitch was a warm and welcoming space for video slots fans. Early streamers embraced newcomers and encouraged the pursuit of passion in this niche.”

In a parallel development, Twitch initially clamped down on a different gambling format: skin betting, which involved wagering in-game items from Counter-Strike: Global Offensive, following cease-and-desist notices from the game’s developer, Valve.

2018: Mainstream Acceptance

Interest in casino gaming reached a tipping point by late 2018, prompting Twitch to create a dedicated category for casino games. Initially featuring 18 channels and attracting approximately 4,500 daily viewers, the category’s growth was swift.

By December 2018, the slots section boasted over 10,000 daily viewers, generating nearly five million hours of viewership that month. However, this growth also brought controversy; articles in outlets like Eurogamer highlighted the lack of age verification and the presence of unlicensed operators.

2019: The Rise of the Giants

Annual metrics showed remarkable growth—monthly viewing hours for casino streams doubled as mainstream iGaming stakeholders like PokerStars integrated with Twitch, enabling players to link their accounts for a more immersive gaming experience.

Despite this growth, the sector faced significant scrutiny, as channels showcasing casino content frequently ascended the platform’s rankings, with some gaining over half a million followers in just one month, leading fans to speculate about artificially inflated metrics.

2020: A Paradigm Shift Amidst a Pandemic

The COVID-19 pandemic accelerated the growth of casino streaming. As global entertainment options dwindled, online casinos thrived, leading to unprecedented viewer engagement. A notable example was Kim Hultman, host of the LetsGiveItaSpin channel, who raised €47,000 for COVID relief during a 24-hour streaming challenge.

Interestingly, a survey conducted that July revealed that approximately 4.1% of UK adults had viewed a live stream of online gambling within the previous year, indicating a growing population of engaged viewers.

Early 2021: Opportunities Abound

By early 2021, the convergence of the streaming community and online casinos became clearer, as Superaffiliate Acroud announced plans to establish a new streaming community tailored for casino gaming enthusiasts. Concurrently, high-profile streamers like Felix ‘xQc’ Lengyel made waves with sponsorships from cryptocurrency casinos.

June 2021: Escalating Controversy

The controversy intensified when Lengyel disclosed on June 28 that he would cease gambling streams, citing “slight to moderate” addiction. In tandem, discussions emerged about the ethical implications of streamers leveraging funds from casinos, with accusations of utilizing “fake balances” to downplay the risks of gambling.

At this juncture, cryptocurrency casino Stake.com stood out as a leading sponsor on Twitch, further inflaming concerns from the broader community. Prominent streamers like Zack “Asmongold” Breen and Imane “Pokimane” Anys vocalized their opposition to the rising prevalence of casino-themed content.

July 2021: The Financial Landscape of Casino Streaming

Adin Ross’s accidental broadcast of private messages revealed staggering sums in the casino streaming world, including an offer from the cryptocurrency casino Duelbits of $1.6 million monthly. Niknam later proclaimed he earned $1 million monthly through casino promotions, demonstrating the lucrative nature of this market.

August 2021: The Crackdown Begins

Twitch officially enacted a significant ban on August 17, prohibiting links or referral codes for slots, roulette, or dice games, a move designed to mitigate risks associated with questionable practices. This announcement sparked innovative responses from other gaming-focused businesses.

For instance, Time2play launched a streaming platform prioritizing age restrictions and player protections, with Kafe Rocks CEO Simon Pilkington emphasizing the necessity for responsible content presentation within the gambling space.

Late 2021: Continued Evolution

The immediate effects of Twitch’s ban were palpable, yet slots streaming persisted, experiencing a decline to 18.3 million hours viewed in October 2021—a figure still surpassing the previous year’s totals. Subsequently, viewers exhibited renewed interest, signaling resilience in the slots streaming community.

Spring 2022: Record-Breaking Engagement

By March 2022, slots viewing hours on Twitch surged to an impressive 36.3 million, surpassing pre-ban levels. However, the revival sparked heightened scrutiny, particularly as Lengyel returned to the platform, leading to public outcries and a Change.org petition advocating for advertising bans related to gambling.

June-August 2022: Dominance Amidst Controversy

Casino streams solidified their place as a top category on Twitch, outpacing titles like Call of Duty: Warzone, trailing only behind Dota. The entry of hip-hop icon Drake into the casino streaming arena drew considerable attention, peaking at 112,000 concurrent viewers during his debut.

Despite the genre’s popularity, scrutiny continued to mount, with Twitch conducting an extensive examination of gambling behavior on the platform, while prominent streamers like Breen initiated conversations with lawmakers advocating for regulatory action.

September 2022: New Scandals and Backlash

A new scandal surfaced when Abraham “Sliker” Mohammed confessed to scamming fans out of over $200,000 due to a gambling addiction. This incident reignited backlash against the casino streaming category, prompting high-profile streamers, including Anys, to threaten boycotts and advocate for stringent restrictions.

In light of this turbulence, Twitch’s renewed crackdown targeted unlicensed streaming of slots, roulette, and dice games, emphasizing the need for operational integrity on its platform.

The Future: Navigating New Waters

The upcoming ban, set to be implemented next month, raises questions about regulatory clarity and the criteria for compliant operators. Yet, it also creates an opportunity for alternative platforms to emerge, potentially addressing the issues faced by Twitch while providing a safer space for gambling enthusiasts.