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Bans won't kill gambling, money gaming will just shift to the Dark Web

23 Aug 2025
2 min

Gambling and Regulation

The text explores historical and contemporary attempts to regulate gambling, highlighting the persistence of gambling instincts in humans and the impacts of regulatory measures.

Historical Context

  • Soviet Union's Anti-Gambling Policy
    • In the 1930s, Ely Culbertson observed the Soviet Union's efforts to eradicate gambling by reducing card sales, with a goal to reach zero sales.
    • Comrade Stalin aimed to eliminate gambling, but the unavailability of local cards led Russians to use smuggled Swedish ones.
    • The Soviet strategy included "re-educating" gamblers and sometimes sending them to Gulags.
  • Iran's Card Ban
    • Similar to the USSR, the Islamic regime of Iran banned cards due to their association with gambling, though this was largely unenforceable.
    • Iranians continued to play discreetly with smuggled cards.

Gambling Instinct

  • Evolutionary Perspective: Gambling is seen as an ingrained instinct, essential for survival, resource acquisition, and reproduction.
  • Modern Applications: Risk-taking is fundamental in business, technology, stock markets, and scientific research.

Impact of New Online Gaming Rules

  • Regulation Challenges
    • New online gaming rules in India aim to regulate gambling but are less severe than historical measures in the USSR and Iran.
    • Immediate effects include significant financial losses and job cuts in the Indian gaming industry.
    • Long-term impacts may hinder digital innovation and legitimate economic opportunities for programmers and artists.
  • Encouraging Alternative Methods
    • New laws may push individuals towards the Dark Web and cryptocurrencies as alternatives.
    • Such shifts mimic historical reliance on smuggled or alternative solutions, as seen in the Soviet Union.

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