To the Commission, this is about reining in out-of-control, dangerous behavior. Skin bets represent a "large, unregulated black market" that burns unsuspecting players, Commissioner Chris Stearns says. The regulator is particularly worried about underage gamblers, who don't face the barriers to entry that they do in the real world. It notes that one site, CSGO Lounge, has made over $1 billion so far this year.

When we reached out to Valve, it reiterated its attempt to separate itself from gambling sites. The developer has sent 40 cease-and-desist notices, it says, and a federal judge recently tossed a lawsuit targeting Valve over the issue. You can read the statement below. However, the company might not have much choice but to step up its response. If the Commission is convinced that Valve is enabling shady gambling, it's going to crack down -- it might not accept Valve's stance at face value. There's no indication that the Commission will ban gun skins outright, but it could easily restrict their availability.