FBI investigators have visited Second Life's Internet casinos at the invitation of the virtual world's creator Linden Lab, but the U.S. government has not decided on the legality of virtual gambling.

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Most lawyers agree that placing bets with Linden dollars likely violates U.S. anti-gambling statutes, which cover circumstances in which "something of value" is wagered. But the degree of Linden Lab's responsibility, and the likelihood of a any crackdown, is uncertain.

I think I sort of predicted this one, see my note about the SAFE Act from 3/12/07. What really seals the deal on this one is the note I made in the Games topic back in December about ABN setting up a bank branch in SL. Fake game? Sure. Fake money? Yes. Real conversion? Oops.

FBI Still Undecided on 'Second Life' Gambling - Yahoo! News