26 Online Casinos Offered Players Casino Games and Sports Betting Using Virtual Sweepstakes Coins Exchangeable for Cash and Prizes
New York Attorney General Letitia James announced that her office has stopped online sweepstakes casinos operating in New York. The Office of the Attorney General (OAG), working with the New York State Gaming Commission, identified 26 online platforms offering players slots, table games, and sports betting using virtual coins that could be exchanged for cash and prizes. New York law prohibits online platforms from offering gambling that involves risking something of value, including virtual coins that can be redeemed for cash or prizes. Online sweepstakes casinos are not subject to audits and other regulatory oversight by the state to ensure that games are not rigged, putting New Yorkers at risk. Attorney General James sent cease and desist letters to the operators of these platforms, demanding that they stop all prohibited gambling activity in the state, and as a result, all 26 platforms are ending the sale of sweepstakes coins in New York.
“Online sweepstakes casinos are illegal, dangerous, and can seriously ruin people’s finances,” said Attorney General James. “I thank the New York State Gaming Commission and Senator Addabbo for partnering with my office on this issue to protect New Yorkers.”
“These so-called ‘sweepstakes’ games are unscrupulous, unsecure, and unlawful,” said New York State Gaming Commission Chairman Brian O’Dwyer. “I have been very vocal about the need to crack down on these operations, and I am thrilled that Attorney General James has taken this significant step to eradicate the illegal gambling market. We encourage those of age who wish to gamble to do so with legal operators.”
Sweepstakes casinos allow users to play traditional casino games, including slot machines, blackjack, and sports betting, using virtual sweepstakes coins that can be redeemed for cash or prizes, such as Amazon gift cards. Players typically purchase these virtual sweepstakes coins as part of a package with other virtual currency. Under New York law, betting cash-redeemable virtual coins on games of chance constitutes gambling, regardless of how the casino operator characterizes how players can obtain the virtual coins.
Placing a bet at a sweepstakes casino is risky because sweepstakes casinos are not subject to audits and other regulatory oversight by the state. Without oversight, players have no way of knowing whether a sweepstakes casino’s games are rigged, whether it will be able to cover a winning bet, or whether it complies with the many other consumer protection measures required of legal, licensed casinos under New York law. Attorney General James warns New York consumers to steer clear of sweepstakes casinos.
As a result of the cease and desist letters sent by Attorney General James, the operators of the following sweepstakes casinos are ending the sale of sweepstakes coins in New York:
- Chanced
- Chumba
- DingDingDing
- Fliff
- Fortune Coins
- Fortune Wheelz
- Funrize
- FunzCity
- Global Poker
- Golden Hearts Games
- High 5 Casino
- Jackpota
- Luckyland
- McLuck
- Mega Bonanza
- NoLimitCoins
- Play Fame
- RealPrize
- Sidepot
- SpinBlitz
- Sportzino
- SweepSlots
- Sweeptastic
- TaoFortune
- Yay Casino
- Zula Casino
For those seeking help with problem gambling, resources and support are available through New York State’s Office of Addiction Services and Support. Individuals seeking help can also call New York state’s free and confidential HOPEline, available 24/7, at 1-877-8- HOPENY (1-877-846-7369) or text HOPENY (467369).
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