Second Life Bans Gambling Following FBI Investigation

An ongoing investigation by the FBI into gambling in Second Life is believed to be directly related to Linden Lab’s sudden decision to ban all forms of gambling on Second Life.

The FBI investigation commenced in April and was considering the legality of online gambling within the virtual world. The US Government prohibits most forms of online gambling.

It was unclear at the time of writing whether the FBI would take the matter further, including the possible arrest of Linden Lab directors or the prosecution of individual users.

Casinos and gambling have been a prominent part of the Second Life metaverse over the last 2-3 years. Linden Lab will take a financial hit from the decision as casino owners cancel virtual land ownership agreements; top tier casinos contribute large sums in monthly fees to Linden Lab.