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VALVE'S ONGOING CLASS-ACTION LAWSUIT

Valve is still apart of an ongoing class-action lawsuit in the U.S. District Court for the Western District of Washington which has produced some of Valve's [very own] estimates in regards to amount of Counter-Strike: Global Offensive gambling with skins, including Valve disclosing that they have millions of bot accounts trading from a single 3rd Party gambling site.  Valve is headed against a group of parents who say Valve [allegedly] set up an "illegal online gambling system, which targets and harms teenagers and kids" noting that they profit from every sale of a skin on the Steam marketplace. 

The federal court has Valve proving that this should remain in a federal court under the Class Action Fairness Act, proving that the "amount of Controversy" regarding the case's allegations of the Steam Marketplace exceeded the limits and is over $5,000,000. 

Within the legal jibber-jabber, a declaration supporting Valve's claims warrant federal jurisdiction under the CAFA, Kristian Miller informed us that the numbers [exactly] are extremely difficult to provide as Valve needs to identify all of the bot accounts used by the 3rd party gambling sites.  in return, Valve is claiming that they have identified the accounts registered to automated bot accounts in association with CSGOLounge [the 3rd party gambling site]. Miller also announced that he scanned all CS:GO skin trading transaction databases, reviewing the interactions of Steam account holders and those of the bots within the United States.  The search included transactions from August 2013, securing data from the beginning of the CS:GO Steam economy. 

Millers conclusive research found that 381,010 United States Steam subscribers (accounts) traded at one skin to the CSGOLounge bots within the calendar parameters.  This ration shows that only 1:10 (10%) of Steam accounts was involved in the Person-to-Bot (P2B) interactions.  These calculations, worldwide, comes to about 4,000,000 accounts did some kind of trading with one of CSGOLounge's bot controlled accounts. 

The average price per skin is [from the plaintiffs complaint allegedly] $9.97 and that 'ATLEAST' half of the bets would have resulted in losses suffered by account holders, totaling in over $1,850,000.  Miller then multiplied this figure by three (3), getting more than a total of $5,570,000.  He then exclaimed, "these figures are most likely higher than these estimates."  The numbers resulting in the figures are in assumption that the gamblers winrate is at 50% or more as well as only counting the amounts gambled on the site.  In addition, Miller did other, more ["realistically analyzed P2B calculations"] than likely had more than $33,000,000 was gambled on CSGOLounge.  Miller argued that the U.S accounts made up 10% [again] of all trading with the bots, meaning there is no reason to think that U.S. accounts lost more frequently than other nations, giving him a $3,300,000 figure.  As before, he tripled it reaching a $9,900,000 figure. 

CSGOLounge (announced to its community of shutting down) is reportedly the only gambling site, of many, offering CS:GO skin gambling.  As of 2016, Valve removed the ability for API gambling, announcing shutdown noticed of 23 gambling web sites, including the sites listed in the plaintiff's complaint stated in the lawsuit.  Valve also publicly noted that using their services on CS:GO, and the other 22 sites violated the contractual agreement stated in the Terms of Service (ToS) as well as the creation of automated bots used to transfer skins regardless of the transaction on Steam.   Nearly all of the sites listed in the 'Valve Shut Down List' complied after getting the letter from the Vale headquarters.   


The lawsuit is still ongoing but Valve previously moved to compel arbitration with the plaintiffs when accepting the Steam subscriber agreement.  Since the level of court is not known at the time, both parties in the case have agreed to compel arbitration until it is known. 

G.G. et al v. Valve Corporation, Case 2:16-cv-01941-JCC 

 
Original (DCMA) content author: Josh Bury

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  • 3mo
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    I wanted this.
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    Valve did the right thing. Gambling was destroying the csgo economy, and valve always had kids sending steam support tickets to them about them wanting their skins back AFTER losing them on a gambling site. Ofcourse Valve tossed these aside and set focus on stopping csgo gambling for the safe sake of everyone.
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