One commonly talked about issue in today’s news is TikTok’s ban in the United States.
Users of the platform leading up to the ban discussed how it will take away the ability for creators to publish work that they are proud of. On top of that, the loss of one of the platform’s hottest features, TikTok Shop, has many people worried that they will be losing their jobs altogether.
A TikTok shop shut down will be a major blow to a business model that I feel promotes habitual gambling on the platform. This is the predatory business of trading card breaking.
For those who might not be in the know, breaking is essentially a form of gambling found in the trading card world. The idea is you bet that an individual team, player or card might get pulled during a live stream. If it does, you get the card.
Take this example. Say I want trading cards of only football players that play for the New Orleans Saints. I can go to TikTok, find a break and pay for the chance to get cards that I might want.
When opening trading card packs, it is a mystery what will be inside. Tons of people that pay to enter in breaks are left empty-handed. It goes without saying, breaks are a bit controversial.
There are restrictions on gambling on the platform, but because breaking lies in a grey area, the purchasing of trading cards isn’t seen as gambling. Because the original product isn’t seen as gambling, breaks aren’t restricted under gambling rules.
Now gambling is an addictive habit that has ruined lives, but it is still a massive industry that seems that will always be around. Breaking will still exist outside of the TikTok shop, even if it loses its biggest marketplace.
But if TikTok goes dark again, that revenue stream will be taking a major financial hit until these sellers find a new home to conduct these types of transactions.
For example, eBay is another website that makes it possible for people to sell break spots then go live to open products to see what people will be getting.
There is some difference between how the platforms sell break spots. The way it works in TikTok shops is that there is a specific price tag on a spot that goes to the first person who pays for it. On other platforms like eBay brake spots are bid on, which means prices fluctuate.
Someone might pay ten times as much on a spot that is getting bid on today than was sold yesterday.
Not only is breaking a gamble but it also encourages resellers at an alarming level. It can already be difficult for people in certain areas to find cards at their local stores. Scalpers are constantly trying to buy up as many products as possible to resell.
Although a lot of the bigger sellers in breaking get their product directly for a distributor that sells the product to stores, smaller breakers will buy up complete card sections of their local store in order to get a nice payday selling pricey break spots.
This can be ruinous for many casual fans of the trading card hobby, as they do not have easy access to the product without having to go through a reseller.
One frustrating thing about this practice is how much sellers are making off of never having to provide a product in return to some of their customer base. After all, most people who pay for breaks will win nothing.
When someone does win, most not only have to pay for the break spot, but they also must pay for shipping costs that can be more than the break spots themselves.
If you do not end up hitting any cards that you bought spots for, the seller keeps your money, and you get nothing. A classic case of normal gambling practices.
Although I was saddened by the TikTok ban, I do think that it would be a positive opportunity for people to save their money and back away from a predatory market– a market in which the house will always win.
Gunnar Olson can be reached at 581-2812 or at deneic@gmail.com.