The Metaverse is once again under attack from US law enforcement. This time, the Russian Flamingo Casino Club has been targeted by authorities as the Metaverse casino failed to disclose ties with Russia, prompting five states to act against the casino and force it to shut down.
Flamingo Casino Club Not What It Claim to Be
An exclusive report by CNBC revealed that the website was connected to Russian interests, which has made the casino a no-go for most state regulators as Russia faces some of the most debilitating financial sanctions because of its illegal invasion of Ukraine.
The Flamingo Casino Club was found to claim relationships with “established businesses” that did not even exist, making the casino’s operations even more suspicious. The five states to act, Texas, Kentucky, Alabama, Wisconsin and New Jersey have managed to band together and issue a cease-and-desist order against the company.
In their 22-page submission, the states detail the false claims made by Metaverse Flamingo Casino Club along with accusations that the website is nothing but a “high-tech scam.” As a result, the website would have to suspend any and all operations in the states, including but not limited to the sale of non-fungible tokens (NFTs).
The Metaverse casino has falsely alleged ties with the Flamingo Las Vegas Casino and hotel which were later disproved. Essentially, the Metaverse property has been trying to seduce investors and fleece them out of money. Speculation has circulated, though, as to whether the casino is only associated with Russian entities or was used by Russian government agencies to trick US investors into paying a pretty penny.
Texas State Securities Board director of compliance Joe Rotunda has already reiterated that the claims made by the Metaverse Flamingo Casino Club were bogus and there was no real connection between the two businesses.
Little Signs of Legitimacy If Any at All
If anything, the Metaverse property has willfully used the name and branding to inspire confidence and trust. The casino even alleges ties to Yahoo! and MarketWatch, both of which have turned out to be bogus as well.
Not only that but the Metaverse Flamingo Casino Club is seemingly operated out of Moscow, close to the center of town, causing even wilder speculation that this could be a “KGB job.” While the casino claims legitimacy it does little to muster actual proof that can prove that this is indeed the case.
Instead, Metaverse Flamingo Casino Club prefers to hide and stay anonymous. Nothing about its offer suggests that it’s intended as an honest business. The Metaverse Flamingo Casino Club’s main pull is the promised 50% profits split with the consumers as passive income. There are also promises of big lottery winnings, including Tesla cars and iPhone smartphones.