Gaming and Gambling: What's the Difference? (2024)

FRIDAY, NOVEMBER 25, 2022

Gambling & Gaming: What's the Difference?

By YMCA of Greater Toronto

Video games often have elements of gambling, and there are blurred lines between games of skill and games of chance. It's important to understand the definition of gambling, how the lines are blurred and the signs of a potential problem.

The YMCA Youth Gambling Awareness Program (YGAP) defines gambling as "risking something of value when you don't know if you will win or lose."

"It's a myth that you can only gamble with money," says Dua Fatima, Youth Outreach Worker for YMCA in Toronto West. "Let's say you're playing a video game with skins, which are essentially decorative items for your character, and your friend says, 'If I win the next game I get your rare skin.' If you agree, you're risking something of value even if it's not money."

Blurring the lines between gambling and gaming

One example of how lines are blurred between gambling and gaming is with freemium games - any game that lets you download and play for free but has options to pay within the game for extra features like 'a chance to progress quicker.' These features are common and popular in games such as Candy Crush Saga, Subway Surfers, and Roblox (a game platform).

Where the lines blur even further is when skill-based games include gambling elements. Plants vs Zombies, for example, is a popular skill-based game easily downloadable on a smartphone, that includes a slot machine where players can bet in-game currency for a chance to win things like extra currency or features like seeds to grow weaponized plants.

"Gaming is skill-based and gambling is chance-based, so if a game is offering both, it's confusing for the brain," says Fatima.

These days, almost every game offers some kind of randomized virtual card packs, mystery boxes or loot crates. "Regardless of what they're called, the concept is the same: you use real-world or in-game money to purchase, but you don't know what you're going to get inside.," says Fatima. "Is that gambling? If you're risking real or in-game money and you don't know what you will get, then yes, it fits the definition of gambling."

But once again, the lines are often blurred. Buying skins - a graphic or audio download that changes the appearance of your in-game character - isn't considered gambling if you know exactly what you're purchasing. But it can turn into gambling if you're spending money on mystery boxes in hopes of getting a rare (and valuable) kin. Rare skins have different monetary values online and can be sold on other sites for in-game currency. They can also be sold for real money.

"If you're selling skins on Skins Cash and Skinwallet, and you're also using them to bet - a lot of skins go for a lot of money - then that's gambling," says Fatima.

Gaming and Gambling: What's the Difference? (1)

Understanding the warning signs

Just because youth are betting or gambling in a video game doesn't mean they're experiencing a problem or it will turn into one. Gaming also has positive attributes, such as providing socialization opportunities. Most youth won't develop a problem, but they are up to four times more at risk than adults.

For parents, it's important to look for warning signs.

"Their behaviours may look very different for someone else who also has a problem - it's not one size fits all," says Sally Herod, Youth Outreach Worker with YMCA Niagara Employment & Immigrant Services.

One potential warning sign is constantly trying to make bets online or offline. Another potential warning sign is a noticeable change in their dedication to school, relationships and/or extracurricular activities.

"If they're risking items that are important to them, like a rare Pokemon card, or items that aren't ok to lose, like their lunch money, that could indicate problematic behaviour. "How much money are they spending opening a loot crate to possibly get a chance to win that rare skin? What are the odds of actually getting it - and how is not winning impacting their mental health?" asks Herod.

Where to find help

There are several free resources available to parents to help navigate these warning signs, such as On-Line Gamers Anonymous, which offers resources and tools for families and loved ones. Game Quitters also provides a number of resources just for parents.

YMCA has also developed workshops for parents on the topic of gambling and gaming and the warning signs to watch out for, as well as strategies to help, such as budgeting and setting screen time limits. YMCA can also connect parents with a number of free resources, support groups and treatments, either virtual or in-person. Visit YGAP's website or contact YGAP's Youth Outreach Worker in your region for more information and/or book a gambling/gaming awareness workshop.

Gaming and Gambling: What's the Difference? (2024)

FAQs

Gaming and Gambling: What's the Difference? ›

What is the difference between gambling and gaming? Gambling and gaming are two different things. Gaming is when you participate in legal, state sanctioned wagering. Gambling is when you place bets or wager at locations or online platforms that are not permitted in the State, which remains a criminal activity.

What is the primary difference between gaming and gambling? ›

"Gaming is skill-based and gambling is chance-based, so if a game is offering both, it's confusing for the brain," says Fatima.

Why is it called gaming and not gambling? ›

While some people assume the word gaming was created as a way to “re-invent” the casino industry, history tells a different story. The word “gaming”–defined as the action or habit of playing at games of chance for stakes–actually dates back to 1510, predating use of the word “gambling” by 265 years.

Does gaming lead to gambling? ›

Video games may seem fun and harmless, but Australian and international studies have shown that there's a link between online gaming and gambling. There can be a progression from video games to online gaming for money and to gambling.

What makes a game a gambling game? ›

Gambling is all about betting or staking money where the outcome is uncertain. It's based either wholly on chance or on some combination of skill and chance. For example: rolling a dice or playing roulette has a completely random outcome.

How is gaming different from gambling? ›

What is the difference between gambling and gaming? Gambling and gaming are two different things. Gaming is when you participate in legal, state sanctioned wagering. Gambling is when you place bets or wager at locations or online platforms that are not permitted in the State, which remains a criminal activity.

What counts as gaming? ›

Gaming is playing an electronic video game, which is often done on a dedicated gaming console, PC or smartphone. People who often play video games are called gamers.

What games are not considered gambling? ›

For instance: If it is free to play the game of bingo, even if you can win a prize, it is not gambling because you did not have to pay to play. If you pay to enter a pool tournament for a chance to win, the game of pool is considered a skill, and not a game of chance, so it is not gambling.

What is technically gambling? ›

gambling, the betting or staking of something of value, with consciousness of risk and hope of gain, on the outcome of a game, a contest, or an uncertain event whose result may be determined by chance or accident or have an unexpected result by reason of the bettor's miscalculation.

What does the Bible say about gambling? ›

Although there are some who experience gambling as something rewarding and fun, it tends toward being highly addictive and potentially ruinous. The Bible doesn't call gambling a sin as such, although the Bible warns against the love of money and get-rich-quick schemes.

Why you should never start gambling? ›

The problem with gambling is the subtle way it can take over your behavior and sensibility. This change can happen slowly or quite rapidly depending on a number of variables. However, the outcomes tend to be the same: damage to your relationships, bank accounts, credit rating, and overall mental and physical health.

Do casinos rig their games? ›

While most casinos lack an inherent advantage in rigging games, it's important to acknowledge the existence of a minority that might engage in such practices. In 2009, John Kane and Andre Nestor discovered a software glitch in certain video poker machines manufactured by International Game Technology (IGT).

Can gaming harm you? ›

Excessive video game use can lead to the brain being revved up in a constant state of hyperarousal. Hyperarousal looks different for each person. It can include difficulties with paying attention, managing emotions, controlling impulses, following directions and tolerating frustration.

Are video games considered gambling? ›

Several consumer protection laws, such as the Federal Trade Commission Act and state consumer protection laws, may apply to gambling in video games. These laws prohibit unfair and deceptive practices, and they may be used to regulate gambling mechanics that are seen as misleading or manipulative.

Are slot machines considered games? ›

A slot machine, fruit machine (British English), poker machine or pokies (Australian English and New Zealand English) is a gambling machine that creates a game of chance for its customers.

Is bingo a gambling game? ›

Bingo is a traditional form of gambling that has changed and improved rapidly in recent years.

What is the difference between gaming and games? ›

The 'game' and 'gaming industry' refer to what are commonly thought of as gambling like online poker, slot machines, etc. In practice, though, people who write about video games often use "the gaming industry" and "the games industry" or "the game industry" pretty much interchangeably.

What is the main difference between game and play? ›

While play is mainly a behavior, games are structured activities with specific rules and objectives . In summary, play is a spontaneous and purposeless behavior, while games involve rules, planning, and specific goals .

What is the difference between and in gambling? ›

The “+” and “-” are put in front of odds or lines, indicating the favorites and underdogs. The favorites will be marked with a minus sign, whereas underdogs have a plus sign. This is the case for all types of bets, including moneylines and point spreads.

What is the difference between gambling and playing cards? ›

If no one playing cards is winning or losing money, then it is a card game. If money is involved or any asset is involved, then it is gambling.

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