Gaming Trade Group Encourages Regulators to Crack Down on Internet Sweepstakes
"In a memo regarding sweepstakes issued this month, the AGA said online sweepstakes casinos undermine gaming regulations and threaten consumers. The gaming lobby is urging state regulators to send warning notices to sweeps operators informing them they’ll face legal action if they don’t immediately terminate their US-focused operations.
“There are an increasing number of entities that have intentionally designed business models to circumvent or exploit ambiguity in state gambling laws and the regulatory frameworks within which the legal gaming industry operates,” the AGA memo read."
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There are other articles on it as well.
I have a deranged theory on this that I think people will laugh at. I think a good old fashion bank run could occur at these sweepstakes casinos; and the result will be a black Friday type of event.
I also think if any sweeps casino owner was capable of reading the writing on the wall; they'd realize the clock is ticking on how long they can operate. The smart move is to begin botting your own tables. (I'm not saying they currently are; I'm sure some are...but I'm strictly speaking hypothetical). Once the clock hits midnight; the operation is shut down...the only goal that would matter would be maximizing revenue until D-Day. (But I'm evil and look at it from what's best for maximizing cash, not what's best for the people).
Sweepstakes sites are cooked. They are doing everything they can do to get them out of California. States like Louisiana, Michigan, Connecticut and Pennsylvania have all recently sent cease and desist letters to sweepstakes operators. I'd expect in the next 6 months we see at least another 5-10 states gone. I doubt that a site like WPT Gold is going to still launch in a few months when more and more states are not an option, especially California.
Which "they": The state government? The tribes? The card club owners?
Some concrete citations, such as news articles, would help here.
This is the October newsletter for California’s gaming regulator: http://www.cgcc.ca.gov/documents/newslet...
No mention of the sweepstakes casinos, but if you check out page 4 you’ll see they are working on rolling out an online portal for submitting applications. Should be ready mid 2025 lol.
It seems like some of the States with established I-gaming and corresponding beefed up regulators might drive out this model, but I’m not sure VGW wants to compete in those states anyway. The other states are years behind. Look at Texas; they can’t even figure out if the in person poker rooms are legal. The Houston rooms don’t even pretend to follow the social club model and take rake now.
but you can sports gamble to your heart and pockets desire!!
This is the October newsletter for California’s gaming regulator: http://www.cgcc.ca.gov/documents/newslet...
No mention of the sweepstakes casinos, but if you check out page 4 you’ll see they are working on rolling out an online portal for submitting applications. Should be ready mid 2025 lol. .
That’s for brick and mortar. Theyre putting the application online, it’s not an online gaming application.
That’s for brick and mortar. Theyre putting the application online, it’s not an online gaming application.
I know. I was implying the organization that needs 8 months to put together a website isnt capable of quickly organizing and executing a legal opinion on online sweepstakes casinos.
Global Poker to pull out of Nevada in phased exit
The multi-phase withdrawal from Nevada implies, but does not confirm, that Global Poker's exit may be part of a compromise reached with state-level authorities such as the Nevada Gaming Control Board or the state's Attorney General's office. Nevada has pursued other alleged illegal online-poker operators in the past, such as when it arrested Las Vegas resident and long-time poker pro Bryan Micon over the operations of the crypto-based Seals with Clubs (SWC) platform.
VGW is also under legal attack in several other states, both from state regulators (such as in Delaware) and via a wave of consumer-launched class actions alleging that the sites' various offerings constitute illegal online gambling. VGW has defended the legality of Global Poker and its other sweeps-based sites that employ a dual-currency model, but litigation against the company shows no signs of going away.
The sweeps niche continues to face an uncertain future, though as long as populous states such as California continue with no formal framework governing online gambling, VGW and other major sweeps site may find continuing opportunities to market their services.
That sucks for us in Nevada. WPT Gold will probably pull out as well at some point.
Whether you believe the sweeps model is technically following the law or you believe they are bending the laws I think we can all agree the sweeps model is absurd lol. I remember signing up years ago and reading the terms that I'm buying gold coins and getting "free" sweeps cash that I can then redeem straight to my bank after gambling. It's so blatant I'm actually surprised it lasted this long and it probably has a few years left before it is completely shut down by the remaining states or feds. Both governments move at a snails pace so we shall see. I have an idea for a drug dealing business.....sell bottled water for any price you like and throw in the drugs for free....you know cause technically you will be just selling water lol
I have an idea for a drug dealing business.....sell bottled water for any price you like and throw in the drugs for free....you know cause technically you will be just selling water lol
iirc this was tried where folks were selling marked up rolling papers which would entitle you to free weed with purchase in an attempt to skirt sales laws - it didn't hold up.
(They should have just claimed it was a sweepstakes!)
iirc this was tried where folks were selling marked up rolling papers which would entitle you to free weed with purchase in an attempt to skirt sales laws - it didn't hold up.
(They should have just claimed it was a sweepstakes!)
Lol, that is the problem with letting companies bend the laws...everyone joins the business model. One more thing I find really interesting about Globals parent company VGW. In the email sent to Nevada residents they said " the decision was made as part of our continual evaluation of our operations in the interests of all our stakeholders". If the stakeholders see the writing on the wall wouldn't they dump all stock and cause the company to basically collapse? Maybe they are private....I don't know. Seems to me anyone with half a brain would sell now, it's losing value by the minute
Damn, that is bad news bears for sure.
Guess I was wrong and more states are looking hard at Global.
I don't actually expect Nevada pulling out to have a negative impact on the games, in fact I think tournaments in particular might get softer with a few cancelled NV regs.
CA is huge, I heard it was 1/3 of the american poker market pre BF.
Lol, that is the problem with letting companies bend the laws...everyone joins the business model. One more thing I find really interesting about Globals parent company VGW. In the email sent to Nevada residents they said " the decision was made as part of our continual evaluation of our operations in the interests of all our stakeholders". If the stakeholders see the writing on the wall wouldn't they dump all stock and cause the company to basically collapse? Maybe they are private....I don't k
They are publicly traded on the Australian stock market.. Not sure how how the Merican' poker scene is affecting the Aussie HODL diamond hands yada yada yada
They are publicly traded on the Australian stock market.. Not sure how how the Merican' poker scene is affecting the Aussie HODL diamond hands yada yada yada
It really has nothing to do with poker, it's the casino business with chumba, luckylands, and global that will die a slow death unless they figure out how to allow more markets other than U.S. and Canada
I realize I'm necroing my own post on my own permabanned account but....
There was recently a BAN WAVE on Global Poker. Some are alleging they were accused of 'botting/collusion'. Others were banned for AMOE entries. (Alternative Method Of Entry - AKA; mail in sweeps redemptions).
Further; some users are getting their accounts banned with rather large balances.
My theory remains. They're culling the herd, and sucking up as much equity as they can. They can not actually cover their tournament guarantees with the 'rake' they collect. Other have fought me on this issue before; but I've played enough to know that there are PLENTY of tournaments running without being covered.
The counter argument is that they just need people to keep paying rake and they'll make money. That there is more risk in these alternative conspiracies than simply raising rake.
Counter - counter argument. If they raised rake; player base would shrink further. The signs and symptoms that they are a dying business is in every single move they make; but players are too eager to look the other way because they want the comforting lie over the uncomfortable truth.
They are banning people who send in the mail in sweeps.
They are banning players looking to withdraw.
They recently went on a ban wave with limited information provided to those affected. (I'm not impacted; I don't cheat nor send in mail ins - I have regrettably used racial slurs with no impact on my account).
The writing on the wall; being as objective as I can and ignoring my own opinions about bots/collusion/cheaters/rng. They are not taking the actions of a successful company; they are acting like a company in death throws.
(mods show mercy please; I asked to be banned; there's some glitch occurring with new 2+2 allowing me to post.)
Damn, that is bad news bears for sure.
Guess I was wrong and more states are looking hard at Global.
I don't actually expect Nevada pulling out to have a negative impact on the games, in fact I think tournaments in particular might get softer with a few cancelled NV regs.
CA is huge, I heard it was 1/3 of the american poker market pre BF.
To be completely fair; I knew when you wrote your comment you would find out the truth later. It just sucks those of us who can see past our nose have to wait months for the proof to be undeniable.
I'm not Jewish, so it's easier for me to see past my nose.
