Is card ripping gambling?
Digital pack ripping sits in a legal grey area that is being tested in court right now. Whatever the law decides, the mathematics already works like a casino game.
Whether digital pack ripping is legally gambling is unresolved and may differ by state. What is not in question is the economics: on every pack we have measured, the average payout is less than the pack price, which is the same structure as a house edge.
How a digital rip works
You pay for a pack. A random card is revealed. You receive a real graded collectible, which you can keep, have shipped, or sell back to the platform at its buyback rate. Platforms argue that because you always receive something of value, this is a retail purchase rather than a wager.
The legal argument against that
The counter-argument is that the three classic elements of gambling are all present: you pay consideration, the outcome turns on chance, and the prize varies in value. Lawyers advising operators in this sector flag gambling and lottery law as the most serious risk they face, and some regulators and plaintiffs have argued that these products amount to unlicensed lotteries.
That question is live. A California False Claims Act suit filed in 2025 targets Whatnot and Fanatics Live over what it describes as unlicensed box-break lotteries, and PackDraw faces suits in Minnesota and New York alleging it recruited a minor into offshore crypto gambling. Those allegations have not been tested in court. The outcome matters beyond the named companies, because a ruling that these products are gambling would reshape the whole category.
Pokémon packs sharpen the issue, because the audience skews young and age verification across the sector is inconsistent. Several platforms are restricted to adults; not all of them check carefully.
What the maths says, regardless of the law
Every pack we have measured returns less than it costs on average. Courtyard publishes an expected value of 95% of the pack price on most of its packs. Packz's published odds imply around 100% at midpoint values, and less on its cheapest packs. Once you apply a buyback of 90% or less, the realistic cash return on a sell-back is in the low-to-mid 80s as a percentage of what you spent.
That is not a criticism of any particular operator. It is how the product has to work for the business to exist, exactly as a slot machine's return-to-player sits below 100%. The difference is that regulated casinos are generally required to publish their return-to-player figure, while in this sector publishing an expected value is currently a voluntary choice that most platforms do not make.
Rip with a budget
Decide what you are willing to lose before you start and treat it as the price of the entertainment. Do not chase losses by buying another pack to recover the last one; the odds on the next pack are identical regardless of what just happened. These products are for adults.
If ripping has stopped feeling like fun, free and confidential help is available: call or text 1-800-GAMBLER.
Frequently asked
Is card ripping legal in the United States?
Digital pack ripping is not currently banned outright, and the major platforms operate openly in the US. But the legal position is unsettled and varies by state. Lawyers advising operators identify gambling and lottery law as the biggest risk, on the basis that paying money for a random prize of uncertain value can meet the legal test for an unlawful lottery. Several cases are testing that question now, so the honest answer is that it is legally grey rather than clearly settled.
Are there lawsuits against pack ripping sites?
Yes. A California False Claims Act suit filed in 2025 targets Whatnot and Fanatics Live over what it characterises as unlicensed box-break lotteries. PackDraw faces suits in Minnesota and New York alleging it drew a minor into offshore crypto gambling. Those allegations are untested in court and none of the cases has produced a final ruling, so they indicate regulatory attention rather than a settled legal conclusion.
Is ripping a good way to make money?
No. Every pack we have measured returns less than it costs on average, which is by design: operators set the return below the price the same way a casino sets a house edge. Published odds across the platforms we have checked imply returns of roughly 92%% to 100%% of the pack price, and after a buyback of 90%% or less the realistic cash return is in the low-to-mid 80s. Treat money spent ripping as the cost of entertainment rather than an investment.
Nothing on this page is legal advice. We are not lawyers, and if you are operating in this sector or making a decision that turns on the legal position, get advice from someone who is.