(adsbygoogle = window.adsbygoogle || []).push({}); YouTube has been hit by a scandal recently which has been around disclosure. For some time now YouTubers have started diversifying revenue streams. Key problem here is disclosure many YouTubers are one man operations. Recent scandal small group failing to disclose financial links to promoted content they owned. Any sponsorship on content created must be displayed clearly. YouTubers must disclose any relationships financial or otherwise on content created.

Example:

Game studio pays for your hotel, coverage, even sends you free gifts. Required to disclose that information if impacts any content created. Review copies are something else required to disclose. Any monetary benefit they have received anything at all which indicates any biases must be disclosed. Often companies send you review copies which you then make content based on that product. Sponsored content has become new revenue source for Youtubers.

Todays scandal nothing like that…..

Couple YouTubers have been found to be owners of products promoted on the main channels. Failed to disclose the relationship they had with that company.
Not simple case they had equity but turned out to be the main management. Simply put these people have broken the law. One or two behind the scandal have gone back added further 'disclosure' on the video descriptions. Which is not enough when comes to the law.

YouTubers promoted CSGO skin gambling site called CSGOLotto and created content based on gambling. Questions over if the content was rigged or not. Stream group has been edited to remove any talks about gambling.

Simply put these people have broken the law. Legal standpoint people have to disclose this information and have broken the law. Failing to make it clear they owned and operated the site. Advertising without making it clear that one big no no.

Another problem is product promoted comes under gambling. Many of these YouTubers claim they done nothing wrong. Demographics of audiences who watch these videos makes it even worse from moral standpoint. Questionable moral behaviour frankly illegal actions help damage Youtube. Amazing no argument here time come clean about anything you done in the past. Along with much greater transparency for your audience. Failure to do so not only breaks the law but also ruin your relationship with the audience. Moral of the story here is always question people intent when they make content. Likely more scandals like this are going to happen given the structure of Youtube. Youtube should take action on this problem issuing new guidelines. Legal system is taking time to catch up on this grey market area.

Trevor martin/Tom Cassell have public relations nightmare currently. Trevor made two videos saying sorry edited descriptions later removed the videos.

Ryan Morrison known as Video Game Attorney talking about the subject on espn podcast You must login or register to view this content.

Reddit You must login or register to view this content. with three attorneys who work within esports industry.

Likely both looking at jail time/fines and maybe case action lawsuits.

Laws broken?

Operating a gambling site not following the correct legal requirements
Failing to disclose business relationships and advertising
Possible fraud / rigging odds

Online personalities involved around CSGOLotto

TmarTn - Trevor martin

Prosyndicate - Tom Cassell

Edit* Both have failed to disclose sponsorship content in the past correctly.

News site coverage

Arstechnica
You must login or register to view this content.

BBC news
You must login or register to view this content.

PC Gamer
You must login or register to view this content.

Bloomberg
You must login or register to view this content.

Youtube videos

H3h3Productions video - Deception, Lies, and CSGO



John Bain aka Totalbiscuit view on the subject

Leave it to Toke to lay it all out on the table. #NoFucksGiven

Tmartn has made some pretty basic public relations mistakes which has made things worse. Syndicate has made two tweets on the subject planning on releasing a statement.

Whole situation is bad for both of them due broken FTC rules. That before we start getting to the gambling side of things. Obvious that they broken FTC rules. Can't escape that reality not the first time both of them have failed on disclosure.



Public relations disaster should made one statement saying he was the owner followed all the correct regulations. Would not comment further on the subject. Instead he made things worse....



Grey area site is not gambling therefore that enough. Law changes site would be breaching the law.



Never stated that any of his videos was sponsored and claimed the site was new. Failed to make it clear compared to so many other Youtubers.

All three have done something wrong and should face it..

I've always seen Syndicate as a money grabber and this just proves it. He's got way too big for his boots. Dude thinks he's a celeb.

Basic failure he made which is worrying but concerning from moral point on top.

They should give all the items that people bet on that site back to the ones who bet them and or give them there skins back.

imposibru