[The Police File] Hold'em Pubs: Between Wholesome Game and Illegality

Recognized as a ‘Mind Sport’ in the US and Europe
Industry Must Transform Through Self-Regulation Efforts

Recently, a ‘Hold'em pub’ operated by an organized crime group in Busan was caught by the police. Although this Hold'em pub pretended to operate legally, police investigations revealed that the operator pocketed 1.5 billion KRW in illegal profits under the pretext of commissions. Illegal currency exchange was also secretly conducted, and the profits flowed into funding the criminal organization.

Hold'em, specifically ‘Texas Hold'em,’ is a type of card game widely enjoyed around the world, especially in the US and Europe. A Hold'em pub is a place where customers pay an entrance fee and enjoy Hold'em along with simple food and drinks. While still unfamiliar in Korea, it can be compared to board game cafes where customers pay to enjoy board games or to Go centers where people play baduk.

In Hold'em, players use casino chips to place bets, calls, and other key actions during the game. Using chips itself is not a problem. However, many Hold'em pubs generate illegal profits by exchanging these chips for real cash and taking commissions. From August last year, the police conducted a five-month crackdown on illegal Hold'em pubs, arresting 1,004 people. Ultimately, last month, Police Commissioner Yoon Hee-geun included Hold'em pubs as targets for crackdown under the ‘National Experience Promise’ to eradicate gambling.

Conversely, abroad, Hold'em is regarded as a type of ‘mind sport’ similar to baduk or janggi. Each player holds two cards and combines them with five community cards revealed sequentially to form the best hand. Although luck plays a role, the abundance of public information and the need for various strategies, psychological warfare, and calculations mean individual skills can determine the outcome. Therefore, if enjoyed properly, it can be a wholesome game involving psychological battles among multiple players.

There are also global Hold'em tournaments like the World Cup or Olympics. The ‘World Series of Poker (WSOP),’ held annually in the US, is a representative example. It features prize money in the hundreds of millions of won and attracts 10,000 players worldwide. At the awards ceremony, a ‘bracelet’?the equivalent of a trophy?is presented, and the winner’s national anthem is played, similar to the Olympics.

In fact, former professional gamer Hong Jin-ho, who participated in the 2022 WSOP, won an event, and the Korean national anthem was played at the ceremony. This helped increase the number of people enjoying Hold'em. The domestic Hold'em industry estimates about 300,000 Hold'em players, which is still in its infancy compared to the approximately 8.83 million baduk players.

In this context, illegal Hold'em pubs are the main obstacle to expanding the Hold'em base. It is reminiscent of the ‘Bada Story incident’ in the mid-2000s, which caused social turmoil. Bada Story initially pretended to be legal but was actually highly gambling-oriented and addictive, leading to financial ruin for many. Illegal Hold'em pubs are no different. If this continues, rather than expecting industry development, they will only become a ‘target for eradication’ as mentioned by the police commissioner.

It is worth referring to industries that had poor social perceptions but transformed through self-regulation efforts. Until the 1990s, billiard halls had a very negative social image, but through continuous efforts, they have been recognized as a wholesome hobby. Now, with the expansion of professional billiards and famous players like Surong Piabi, the market has grown significantly. Hold'em and Hold'em pubs stand at a crossroads: will they become like Bada Story, condemned by the public, or will they grow into a wholesome hobby through image renewal like billiards? The choice lies with the domestic Hold'em industry. The path forward seems very clear.