They are setup in countries that either can’t or won’t stop them.
Then they smuggle them into the country usually using inaccurate customs information.
These industries often thrive until they make enough money that it is financially worth it for either the companies being defrauded (The Gaming companies), the companies doing the financial transactions (Visa/Mater Card), or the government, to step in and stop it.
Unfortunately this is harder than it looks, and every company that they take down, two more pop up.
Its the same thing as counterfeit clothes/bags, illegal commerce, and/or scam.
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