Twitch streamers are making millions from crypto gambling sites while their audience goes bankrupt

Some in the audience of Twitch’s biggest stars are going bankrupt after watching their favorite streamers play crypto gambling in multi-million dollar advertising deals, according to a report from Bloomberg. (opens in new tab).

Twitch’s Slots section, where gambling content is located, is the seventh most viewed category (opens in new tab) at the moment of writing. That puts it ahead of multiple games that we generally consider streaming titans, like Fortnite and Dota 2, and it probably has something to do with the mind-bogglingly lucrative marketing deals that some of Twitch’s most prominent stars have, like xQc, Trainwreckstv , and others – sign with crypto gambling sites to advertise their product to an audience of millions (opens in new tab).

Bloomberg’s reporting details the oceans of money flowing between streamers and the gambling sites that sponsor them. In one clip, Trainwreckstv declares with a swagger that he makes way over $1 million a month from his deals, while Stake reportedly made $119 million in one month thanks to their deal with xQc.

Meanwhile, fans of these streamers, who are tempted to gamble by the fun and camaraderie of the streams, have endless horror stories of empty bank accounts, spent savings, and loan after loan after loan. It’s in stark contrast to the glitz and glamor of the streams that led them to crypto gambling in the first place, and it’s what happens when your losses aren’t covered by multimillion-dollar advertising deals.

It’s quite a sobering read, and worth watching in its entirety for the stark and gory details of what happens when some of the biggest stars of the modern era – including Drake, whom I had no idea about – give a thought to get voting amount of money to market highly questionable products to highly impressionable audiences. In some cases, kids as young as 16 are losing thousands of dollars a month on gambling sites they first saw through their favorite streamers.

The Bloomberg reporter contacted a Twitch spokesperson, who confirmed that Twitch was currently in the midst of a “deep dive” into betting on the platform, suggesting they may be preparing to take action against such streams. For some people, though, it’s already too late, and it’s hard not to think that Twitch might be tempted to act slowly to end a relationship that makes so much money for everyone but the public.

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