The AGA has warned that sweepstakes operators are evading state gambling laws and regulations

The Delaware Lottery has reportedly ordered sweepstakes operator Virtual Gaming Worlds to cease its gaming operations in the state.

VGW is a free-to-play games company known for brands like Chumba Casino, Luckyland Casino and Global Poker, its social poker site which has more than a million players. All of these brands operate as sweepstakes platforms, allowing players to engage in casino gaming without spending real money. In addition to the free Sweeps Coins, the platforms offer players the option to buy Gold Coins using real money. Players can redeem Sweeps Coins for cash, while Gold Coins can only be used to play more games.

Over the past year, VGW also has had issues in Georgia and Michigan. In October, in the interest of its stakeholders, VGW stopped accepting players in Michigan after Attorney General Dana Nessel ordered another social casino to leave the state. Nessel said social casino companies like Golden Heart Games "create the false impression that their games are legal and safe for consumers.”

In June, VGW was sued in Georgia for violating gambling regulations. Plaintiff Desitny Kennedy sought to recover around $1,150 that she lost while playing on the "free-to-play” platform.

As sweepstakes casinos, these operators continue doing business without seeking an official gambling license from regulators like the Delaware Lottery and the Michigan Gaming Control Board.

https://www.gamblingnews.com/news/virtual-gaming-worlds-set-to-exit-delaware-as-pressure-mounts/

https://www.nasplinsights.com/post/delaware-lottery-orders-virtual-gaming-worlds-to-cease-operations

https://cdcgaming.com/delaware-lottery-orders-virtual-gaming-worlds-to-cease-operations/