It was only when I was re-reading my most recent article, on board games, that I realised that something didn't sit right. When writing about AZT's Connect 4 game, I had mentioned that there were three editions of the machine on offer. One that was transfer/no copy, for personal use, one that was copy/no transfer, so that one person could set out many copies of the game for all to play, and a special version, whereby the people playing each had to pay to play, the winner gets more than they put in, and the owner of the game gets a cut, which I referred to as the "gambling version". When re-reading this I was suddenly whisked back to over a year ago, when I was writing for another site, and found myself at the Linden Village, surrounded by angry people waving placards, covering a protest against the then recently introduced ban on gambling in Second Life, in line with the United States' "Unlawful Internet Gambling Enforcement Act of 2006", a comprehensive and enlightening explanation of which can be found here. So, has gambling resurfaced in Second Life despite the rules? Is this new gambling legal? Or is Linden Labs actually not bothering to enforce their own policy?

Looking to further investigate this, I went into the search menu, and tried looking for further evidence. I found no results for "casino" or "gambling" under the classified tab, but when I looked under "gaming" I found a host of places offering cash prizes for playing various games, such as Golden Palace whose advert features a picture offering "The Real Casino Feeling", Fortuna Games who have an ad featuring a photo of a real life Casino, $$Redness Gaming$$ and many many more besides. Considering that casino style gambling is strictly not allowed under the US laws in force in SL. One thing that all of the gaming places that came up in the search had in common was that they offered residents the opportunity to play a game called Zyngo, with the promise of big cash prizes. So, I figured the best way to investigate this a bit more would be to contact the creator of arguably the most popular and widely used Zyngo machines inworld, Aargle Zymurgy, to find out about how his machines have become such a phenomenon, and how they are allowed to exist at all:


Voodoo Buwan: Am I right in thinking that Zyngo is your invention?
Aargle Zymurgy: Well the game itself actually existed outside SL, and I'm not the only implementer. I played a competing version when I first got in SL, but was appalled how badly it ran. So, I set out to make my own with all the features I thought games here should have. Pretty much everything I put in Zyngo was immediately grabbed by other game designers.
Voodoo Buwan: Roughly how many people are making Zyngo games inworld?
Aargle Zymurgy: Currently, I think just 3 of that style. 3 besides me, that is. And under different names
Voodoo Buwan: Have you been surprised by just how successful Zyngo is in SL these days?
Aargle Zymurgy: I'm always surprised here. :-)
Voodoo Buwan: One thing I'm curious about is how the gambling ban in SL affected you, and your sales?
Aargle Zymurgy: In January, 2007 when I started work on it, if you asked me if I'd be doing what I'm doing now, I wouldn't have believed it. I've only had 2 months with declining sales: one was just after the initial gambling ban, things were a bit uncertain for everyone then.... the skill-based games were still secondary to gambling equipment at the time. After that settled out, things were fine. The other was during this past month with the US economy apparently in some turmoil. I'm hoping that smooths out too. :-)
Voodoo Buwan: You'll have to forgive me for not being an expert on how the game works, but can you explain how Zyngo is less gambling, and more of a skill game, than say, Poker?
Aargle Zymurgy: well, ok, I'll admit up front most people find this answer confusing... especially if you mention poker. No-one is saying poker isn't a game of skill. However, it's specifically dis-allowed in SL. so, you can't really bring that into any comparison. No, substitute "craps" in your question, and it can be answered. I have a general rule in game design: if you only choice is to play or not play, then it's a gambling game. Otherwise, there are other factors. Back after the initial gambling ban, I did a classic test on the game.... it was done to whist 150 years ago... I set up a dozen zyngo games what all played identically. Same numbers, jokers, etc. came up every time and that way, I was able to get a group of players and established that some definitely played more skillfully than others. I did the same with Quince. From that point forward, I was just careful with the whole issue.
Voodoo Buwan: Have you had any discussions with Linden Labs regarding all this? Did you have to prove your point to them?
Aargle Zymurgy: I DID prove my point to them. But, at this point, the Lindens still don't do "approvals" of games. However, their governance team knows the developers and knows we know the rules.
Voodoo Buwan: So they have monitored the situation, and know it's all above board?
Aargle Zymurgy: I regularly attend the g-team meetings. I send courtesy copies of my games to members of the team. plus to a few of the developers. It seems a few of them like my games. LOL... I had one here on this little island to check a script I had left out for testing purposes for the dev team, and I had a new game in development nearby.... he was distracted playing the new game when I arrived. And I love that..... I like when people get addicted to my games.
Voodoo Buwan: So would that be your advice to anyone else looking to develop their own game inworld? To get to know the governance team, and to work with them?
Aargle Zymurgy: Well... hm... that's another tough question..... I've helped new game developers before... but it's a tough market to break into now. One did a very nice game, but couldn't attract any interest or get any sales.
Voodoo Buwan: So, it's a bit of a sealed market?
Aargle Zymurgy: I wouldn't go as far as saying that. But there are some definite top dogs in the market. I brought Lamorna (his Business Partner) with me back when I was just beginning. She got making board games which do very well. Prior to that point they were poorly done and in the last year, she's done well with arcade games, too
Voodoo Buwan: So, with good work, and perseverance... anything is possible?
Aargle Zymurgy: I like to think so. I think I did quite a few things right, but to some extent by accident and some things I just did that were right without expecting results.

I found myself somewhat enlightened from my conversation with Aargyle, but there were still some outstanding issues. His statement that his games were exempt from the rules due to the skill aspect relates to the part of the Act relating to what is a bet, where it's stated that a bet is "the purchase of a chance to win a lottery or other prize the award of which is predominantly subject to chance". The use of the word "predominantly" is the important one, although Aargyle was incorrect on one thing, namely when he states that: "No-one is saying poker isn't a game of skill." The article I previously referenced explains that the issue is not whether there is some element of skill, but rather that:

"Most U.S. jurisdictions apply the Dominant Factor test to determine if a contest is a game of skill or a game of chance. That test looks to which elements predominate (51%) in determining outcome of the game. If the elements of chance predominate, then it is a game of chance, notwithstanding that skill elements are important, but not predominant."

This Dominant Factor test is akin the the test that Aargyle describes, but apparently the mathematical analysis on games of Poker are not seen to stand up to prove that the skill factor is more than 51%.

I decided to see if the creators of any other gaming equipment could offer a little more clarification, especially since another part of my conversation with Aargyle that had left me curious was the fact his checks with Linden Labs seemed mostly due to him knowing them, or them knowing him. If he hadn't known them, what would have happened? I had heard of the re-emergence of Sploders, the raffle balls used in clubs, touting themselves as "Legal". With this in mind, I messaged Brandi Cazalet, the owner of the shop Sploder Craze:


Voodoo Buwan: Hi there. I'm wondering what makes the Sploders you sell at Sploder Craze legal, by the rules of the gambling ban?
Brandi Cazalet: They do not pay out randomly like the old sploders did. The payouts are based on a cycle and I freely give the cycle
Voodoo Buwan: But surely this is still a chance situation rather than a game of skill? How does the cycle stop it being a game of chance?
Brandi Cazalet: The reason it is a game of skill is because the way i have it set up. I freely give the cycles to those that buy the sploders. They should post the cycles in their clubs. It tells the participants exactly when they should pay in, of sorts, because the winners are based on what point they play in the game. So the cycles are posted and it is more strategic to pay in at the correct time it doesnt just pay automatically
Voodoo Buwan: So it's like a race to be, for example, the 8th person to pay in?
Brandi Cazalet: Well not quite like that, lol, but for example, in the first sploder game played the first person in would win a certain percentage...and each person after that would win a certain set percentage. They know exactly what they will win, based upon when they pay in. It pays 9 winners each game. Then on the second game those percentages would change so they are not the same every time.
Voodoo Buwan: Ah, I think I understand
Brandi Cazalet: I tried to get them certified thru linden labs, but they tell me they don't do certifications, but they are aware. I have been here for a long time:)
Voodoo Buwan: Did you have to go to them, or were they keeping an eye on you?
Brandi Cazalet: Nope. I've never been contacted by anyone. I freely imed several of the Linden employees on the action team, because I did not want to do anything wrong, back when I opened. I never heard back from any of them and they have never been to my shop. I have been open about 8 months... sold probably 3 or 400 but I im'd every one of them with nothing in response. I have never had any confiscated either so i guess they are ok with me being here

And there is the biggest question out of all of this. Are Linden Labs paying attention to all of this? They set out a ban, in accordance with the rules that apply to them, since the servers that host Second Life are in the US, and the law applies whether the player or the provider of the "site" are based in the US. However, are they actually actively doing anything to enforce it? And since most of the Lindens are programmers or customer service representatives, rather than lawyers or police officers, how can they enforce the law correctly? Could someone with enough knowledge make a decent enough arguement to talk rings around them, and their governance team, to convince them that there is no need to worry about certain gaming? Or, since they are not doing official "approval" of games, are those investing in the creation or usage of these new gaming machines running an enormous risk, since Linden Labs could turn around, and confiscate their equipment and funds at a moments notice? Or, ultimately, did Linden Labs create the ban to show that they are trying to comply with the law, and give them a level of deniability, but don't have the inclination or manpower to enforce it? And are we worrying over nothing? I wish I had the answers, but until then, it's not just the people playing Zyngo or chucking money into the sploders who are taking a risk, with the hope of financial reward.