China warns live-streamers to knock off the gambling

China has gone mad for live streaming but some streamers have earned the ire of the authorities for allegedly conducting illegal gambling.

A report by Chinese consulting company iiMedia Research put the number of China’s live-streaming platform users at over 312m by the end of 2016. There are over 200 live-streaming apps and platforms, even after China imposed new restrictions on their use last year, including requiring all performers to register with the authorities.

Some of China’s more extroverted performers have become online stars, and fans have a variety of ways in which to interact live with the performers, including sending them virtual gifts. And here’s where things get messy.

According to a report in the state-owned English-language China Daily, an online platform called Xingqiu has been hiring young women to host live-streamed guessing competitions and soliciting virtual gifts from viewers who wish to submit guesses.