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Online Competition

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dalii

Junior Member
From Connecticut-

I am interested in beginning a site where people pay to participate, and 'winners' will profit.

- Members would pay to use the service. Included in this service is a certain # of points given to the player
- Teams list themselves open for competition for certain # of points
- Opposing teams can 'challenge' the listed team for their points in match-play
- The winning team in a competition will receive the majority of the points

- Members may pay at any point to receive more points

This is not a poker site, or any other game you might find in a casino.

I know of many sites that offer pay-to-play NCAA-style tournaments with cash or sponsored prizes going to the winners. I consider this the same, but instead of being a tournament with many losers and one winner, there is always 1 winner and 1 loser after every competition.

Where is the line drawn between gambling and a pay-to-play service with rewards? Is what I have described legal?

Thank you in advance for any advice offered.
 



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