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August 28, 2007
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August 03, 2007
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July 30, 2007
Roulette wheels will stop spinning and the last hand of blackjack may have been dealt in Second Life after the virtual universe placed a ban on gambling yesterday to come into line with real-world laws.
The new policy, introduced with immediate effect by San Francisco-based Linden Lab, the creator of Second Life, is likely to mean the erasing of virtual casinos painstakingly constructed by its residents.
The news was greeted with alarm and disillusionment in the Second Life community. Users commenting on the official blog complained it was becoming more like the real world they were trying to escape. Virtual escort services expressed fears that they too could be banned, given that prostitution, as well as internet gambling, is illegal in the US.
One resident said: "I think the feds are really starting to close in on SL. Next, we will be reporting our SL income and paying taxes on what we buy and sell here. I don't like it, I think you [Linden Lab] should begin plans to move your servers to an island somewhere."
Second Life has 8.4m registered residents, although only about 40,000 are online at any one time. About $2m a day is spent there through conversions of the in-world Linden dollar currency.
The virtual world's great appeal has been the tools and land it provides for users to create their own avatars, buildings and communities. This is different from more structured worlds or games such as World of Warcraft, which announced this week that it had reached a player base of more than 9m subscribers.
The new policy banned wagering that provided a payout in either Linden dollars or any real-world currency. This included casino games and betting on real-life sporting events. The company said it could remove all related objects from Second Life, without reimbursement, and suspend or terminate accounts of residents violating the policy. An in-world correspondent for the Reuters news agency reported in April that FBI agents had visited casinos in Second Life at the request of Linden Lab. It then banned advertisements and listings related to simulated casino activity. It had earlier banned material related to virtual child pornography after the Dutch public prosecutor threatened legal action.
Robin Harper, the company's head of community development, said yesterday that Linden Lab and Second Life residents had to comply with state and federal online gambling laws, even when both operators and players resided outside the US.
 July 19, 2007
British payment processor NETeller Plc said on Wednesday it would make a phased withdrawal of its online gambling payment services in Israel following the recent legal developments in the country.
The company said it would cease processing transfers to online gambling merchants for Israel-resident customers with effect from Thursday and transfers from such merchants to Israel-resident customers within two weeks.
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