Is this legal or classified as gambling online? I don't think so but need to be sure.

Australia's #1 for Law
Join 150,000 Australians every month. Ask a question, respond to a question and better understand the law today!
FREE - Join Now

casegonewild

Member
18 December 2023
3
0
1
HI,
I am looking at launching a website which is a CSGO themed case opening / battle website. It runs on crypto and CSGO/CSGO2 game skins to determine items in the case value.
the Battle involves 2 - 4 players opening the cases and the user who opens up the highest value items in total for each game (battle) wins. The items unboxed can then be sold back to the site to keep joining or creating battles or the items can be withdrawn to play in game with them or sold back to the website and withdraw balance in Crypto.

User can deposit using crypto or CSGO2 game skins in exchange for onsite battle balance. I would like to know if it is classified as gambling as I would not pursue it.

Thank you
 

Quantlate

Member
7 March 2024
1
0
1
From my understanding, the classification of such activities can vary depending on the jurisdiction and specific regulations in place.
 

OebDowns

Member
22 March 2024
1
0
1
In your case, there's certainly an element of chance involved in opening those cases and getting items of varying value. However, what could potentially distinguish your site from traditional gambling is the skill aspect. With the battles and the strategy involved in opening the cases, it could be argued that there's more skill involved than pure chance. But again, it's a fine line. As for the crypto and CSGO skins aspect, that adds another layer of complexity.
 

casegonewild

Member
18 December 2023
3
0
1
Thanks for the reply.
I just want to be sure before proceeding and opening the site.
In the game players can purchase cases and keys from the STEAM market in the hopes of opening a Highly valuable item, what happens mostly is that users open an item worth 5 cents and due to COVID the price of keys has increased from $3 to over $5 and the cases themselves which were around $.30 cents are now over $5.

This has been something the Game CSGO (counter strike) and now CSGO 2 has been doing for over 10 years and they have made billions.

The only difference is the BATTLE element where users on our website can select cases then another user can join and the player who unboxes the most value in terms of items wins both users items.
Should i get legal advice? I contacted one law firm but they wanted $1000 just to answer a question which I may have to do.

Thanks for your help
 

casegonewild

Member
18 December 2023
3
0
1
The thing with the case opens we will us a provably fair technology which will detremine what ticket you got is truly random. The ticket you get will then determine which item you open which every battle you can verify this after the battle.

Anyone?
 

tim3272

Active Member
16 July 2017
11
0
31
From my experience, it seems like your site could be seen as gambling since users are betting with crypto or game skins and can win or lose real value. I’ve looked into similar setups before, and it’s often a gray area. I’d definitely recommend chatting with a legal expert to make sure everything’s above board before you get started.
 

Scruff

Well-Known Member
25 July 2018
923
135
2,389
NSW
You still haven't told us what state you're in, which doesn't help anyone.

Under NSW law, what you propose involves staking money on a game of skill and/or chance, which meets the definition of "unlawful game" in the Unlawful Gambling Act 1998.
Organising or participating in any such game is illegal under that Act.