Summary
- New York has issued cease-and-desist letters to 26 sweepstakes casinos.
- The Attorney General contends that these websites have been functioning unlawfully.
- Lawmakers and the gambling regulator are committed to eliminating sweepstakes.
- Accidental
- "Chumba"
- ChimeChimeChime
- "Fliff"
- "Coins of Fortune"
- Wheel of Fortune
- FunRise
- Fun City
- Global Poker
- Golden Hearts Games
- High 5 Casino
- Jackpot
- Luckyland
- "McLuck"
- Grand Jackpot
- No Limit Coins
- "Play Fame"
- RealPrize
- "Side Pot"
- SpinBlitz
- Sportzino
- SweepSlots
- Sweeptastic
- Tao of Fortune
- Hooray for Casino
- Zula Casino
The metaphorical grip on sweepstake casinos in New York is tightening as the Office of the Attorney General, in partnership with the New York State Gaming Commission, has issued cease-and-desist letters to 26 platforms operating under the sweepstakes model.
New York AG goes after 26 sweepstakes casinos
In an official statement, the Office of the Attorney General (OAG) revealed that several platforms were offering players access to slots, table games, and sports betting using virtual coins. These coins could be exchanged for cash and prizes, a practice that violates state laws. The statement listed all involved platforms. The OAG further emphasized that sweepstakes casinos are not subject to third-party audits or regulatory oversight, putting New Yorkers at risk, such as the possibility of rigged games. This isn't the first time the state has targeted this sector. Previously, VGW, a prominent sweepstakes casino, announced its decision to phase out its Sweepstakes Coins, a currency that can be redeemed for cash and prizes. However, the company planned to maintain its Gold Coins offering, which allows users to play for free. Attorney General Letitia James commented on the latest crackdown, noting her office's collaboration with Senator Joseph Addabbo, a notable critic of the industry. She stated, These so-called ‘sweepstakes’ games are unscrupulous, insecure, and unlawful. I thank the New York State Gaming Commission and Senator Addabbo for partnering with my office to protect New Yorkers. This stance has been challenged by the Social and Promotional Games Association (SPGA), which argued against the characterization of sweepstakes casinos as illegal and dangerous. Our members operate within well-established legal frameworks, pay appropriate taxes, and adhere to a strict code of conduct, including consumer protections and responsible gaming practices, the organization stated. Sweepstakes promotions are not considered gambling under federal law and are legally permitted in most U.S. states, including New York, they reminded the OAG.
New Yorkers can be safer with sweepstakes on their way out, argues Sen. Addabbo
Senator Addabbo expressed his gratitude to the Office of the Attorney General (OAG) for their prompt action, emphasizing that sweepstakes casinos pose risks of fraud and financial exploitation to individuals. This is not about taking away anyone's livelihood; it's about safeguarding New Yorkers and working towards a safer, regulated online gaming environment for adults, Senator Addabbo stated, commending the OAG for their quick response. The OAG has clarified that betting virtual coins, which can be redeemed for cash, on games of chance is considered gambling under state law.