Add Sweepstakes Casino Controversy - And Celebrities' All-important Role
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<br>The smiling faces of Paris Hilton and Ryan Seacrest made surprise looks before the Louisiana Senate for Friday's hearing on illegal gambling.<br>[bit.ly](https://bit.ly/Bet9jaPromotionCodeYOHAIG)
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<br>No, they weren't personally in participation, however the world-famous celebrities were notably included in a slide discussion on social and sweepstakes gambling establishments - the controversial sites offering both totally free casino-style video games and lucrative rewards, such as cash, gift cards or cryptocurrency. In one advertisement, the fist-pumping Seacrest is seen plugging Chumba Casino, where anyone can 'bet complimentary,' while a crop-topped Hilton holds a chip for sweepstakes operator, Wow Vegas, in the other.<br>[bet9ja.com](https://register.bet9ja.com/?btag=yohaig&promocode=yohaig)
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<br>The sites are just two cogs in the multibillion-dollar market that now discovers itself besieged by claims. In the eyes of numerous gaming corporations, not to mention lawsuit plaintiffs and state regulators, sweepstakes casinos serve as conventional gambling establishments, just without the oversight, consumer defenses and tax laws. So not only can they prevent the high 24-percent federal [sports betting](https://africasfaces.com/read-blog/5842_why-every-cricket-fan-need-to-try-the-all-cricket-id-gaming-platform.html) levy, however sweepstakes operators aren't subject to regulatory obstacles like anti-money laundering and responsible-gaming protections.<br>
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<br>One operator, Australia-based Virtual Gaming Worlds (VGW), reported $4 billion in profits last year alone. Now the business faces accusations of illegal gaming in a New York suit that claims VGW uses star endorsers to 'develop a veneer of legitimacy' around its item. (See VGW's statement listed below)<br>
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<br>'I'm uncertain" if you do not trust us, you can rely on Paris Hilton" is a winning message for business running multibillion-dollar unlawful operations out of locations like Malta, Isle of Man, or US mail drops,' Friday's presenter, Howard Glaser of video gaming corporation Light & Wonder, told DailyMail.com.<br>
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<br>Sweepstakes endorsers consist of a variety of celebrities from gambling lovers Drake and DJ Khaled to swimmer Michael Phelps, along with NBA stars Karl-Anthony Towns and Paul George - none of whom offer any distinctions between standard gambling and sweepstakes play.<br>
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<br>Paris Hilton is seen plugging Wow Vegas, among lots of sweepstakes gambling establishments discovered online<br>
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<br>Ryan Seacrest [prompts fans](https://socialsmerch.com/read-blog/10534_uk-betting-firms-gamble-on-us-after-sports-wager-ruling.html) to dip into Chumba Casino, where many - but not all - video games are totally free<br>
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<br>Drake has a handle social sweeps gambling establishment, Stake, that he routinely promotes on social networks<br>
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<br>Learn more<br>
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<br>[Donald Trump](https://nbc.co.uk/read-blog/41_uk-betting-firms-gamble-on-united-states-after-sports-wager-ruling.html) 'set to call NBA group owner as US ambassador to Italy'<br>
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<br>Instead, advertisements usually focus around the social aspect of the casinos, while omitting the potential for actual gambling losses.<br>
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<br>Others tempt customers with promises of prizes. One such operator, Stake, ran a [social networks](https://bbarlock.com/index.php/User:AliceBland5) ad showing off Drake's cars and trucks, aircrafts and estates before rotating to footage of the rap artist playing online casino-style video games.<br>
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<br>'Daddy, why do we have so much cash?' check out the very first caption on the screen.<br>
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<br>Another caption explained: ['Because](https://www.proathletediscuss.com/read-blog/419_how-to-withdraw-from-bet9ja-8-step-guide-to-money-in-your-wins.html) I never offered up.'<br>
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<br>The disparity between gambling sites and social or sweepstakes gambling establishments is a bit intricate, but operators of the latter insist they're not included with the previous.<br>
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<br>A representative for an industry trade group, the Social and Promotional Gaming Association (SPGA), discussed its members are not in direct competition with online casinos and sportsbooks. Furthermore, according to SPGA data, the majority of the gamers on social-sweepstakes casinos are [sports betting](https://social.myschoolfriend.ng/read-blog/40802_sports-minister-tracey-crouch-resigns-over-039-delay-039-to-betting-crackdown.html) free.<br>
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<br>'Most social sweeps customers never ever make a purchase,' the SPGA spokesperson told DailyMail.com. 'The minority of customers who make purchases do so in amounts far smaller than the typical deposit or bet size at real-money online gaming sites.'<br>
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<br>Social gambling establishments use customers a chance to play casino-style games with good friends. Players have the choice to [purchase worthless](https://tartar.app/read-blog/1730_uk-betting-firms-gamble-on-united-states-after-sports-wager-ruling.html) [currency frequently](https://www.miptrucking.net/read-blog/1284_the-ins-and-outs-of-betting-on-the-nfl-draft.html) referred to as 'gold coins,' which can not be exchanged for real money, but can be used to open numerous features within the games.<br>
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<br>But within the world of social casinos exists sweepstakes gaming, enabling consumers to acquire other currency referred to as 'sweeps coins' that can be for cash or other prizes.<br>
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<br>And therein lies the capacity for monetary losses, like the ones claimed by plaintiffs in Florida, Georgia, New Jersey and New York City. One player told the Washington Post he lost more than $100,000 on sweepstakes casinos in the past year after continuing to purchase more coins in pursuit of money and other things of worth.<br>
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<br>The Philadelphia 76ers' Paul George is seen promoting a Worldwide Poker event<br>
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<br>Social sweeps gambling establishment Stake ran an advertisement flaunting Drake's cars and trucks, airplanes and estates<br>
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<br>Karl-Anthony Towns of the New York City Knicks is another NBA star plugging VGW's Global Poker<br>
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<br>Traditional online gambling establishments are banned in all however 7 states, which has assisted to fuel the appeal of sweepstakes casinos.<br>
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<br>Anyone over the age of 18 can access the sweepstakes websites, which don't need typically need identification. However, sites like Chumba will ask for IDs from players attempting to withdraw any funds.<br>
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<br>Many websites, like the crypto-compatible Stake, allow clients to submit mail-in ask for totally [free sweeps](https://d9talks.site/read-blog/1219_sweepstakes-casino-controversy-and-celebrities-039-all-important-role.html) coins, offered the players follow painfully particular guidelines. What's more, players are typically rewarded with sweeps coins just for signing up, thereby giving them a factor to try their hands at any variety of gambling establishment video games for a chance to win - or lose - real money.<br>
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<br>So why are sweepstakes sites enabled to operate in 48 states, while online gambling establishments are prohibited in all but 7?<br>
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<br>According to the stakeholders, their item is the complimentary casino-style gaming, and the real-stakes competition is merely a way of promoting their support.<br>
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<br>'Social sweepstakes video games are simply a form of online home entertainment,' an SPGA representative informed DailyMail.com by email. 'No purchase is needed to dip into social casinos with sweepstakes prizes. Consumers never ever have to pay for a chance to win rewards. That absence of a purchase requirement - or" consideration" - is an essential distinction in between social sweeps and traditional online [sports betting](https://bikapsul.com/read-blog/1466_start-winning-with-pcg-college-football-picks.html) websites like casinos.'<br>
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<br>Consider the method that McDonald's uses its annual Monopoly video game to promote its food: Customers aren't paying to bet, but rather they're buying hamburgers and fries that provide them the opportunity to win profitable rewards, such as a $1 million jackpot.<br>
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<br>And without a purchase requirement, or 'factor to consider', the game itself does not meet the meaning of gambling in the US.<br>
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<br>'Sweepstakes are an enduring method for promoting all kinds of daily companies in the United States, everything from hamburgers to magazine subscriptions to coffee and home enhancement stores,' the SPGA representative informed DailyMail.com. 'Sweepstakes promotions are frequently used by a who's who of home names like AT&T, Chase, Home Depot, Marriott, Starbucks, and Wal-Mart.'<br>
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<br>But to numerous gambling market insiders, that argument doesn't cut it.<br>
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<br>For beginners, video gaming attorney Daniel Wallach explains, McDonald's Monopoly video game doesn't run indefinitely. Rather, it has a distinct start and end, thus recommending the sweepstakes is not the fast-food giant's main item. Instead, the sweepstakes is being utilized to promote genuine products like fries, shakes, and the Filet-O-Fish.<br>
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<br>'They do not last forever and they're normally not tied to casino-style games of possibility,' Wallach told DailyMail.com. 'They're just cash giveaways.<br>
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<br>'The sweepstakes [gambling establishments] have none of the characteristics typically connected with [McDonald's-style sweepstakes](https://taar.me/read-blog/8448_uk-betting-firms-gamble-on-us-after-sports-wager-ruling.html) promotions,' Wallach continued. 'Besides running in perpetuity, the sweepstakes gambling establishments provide" casino-like" payments, typically 80 percent or more of profits, whereas the normal payment portion for a short-lived advertising sweepstakes is an unimportant share of the earnings earned by the company [normally less than one percent]'<br>
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<br>[Wallach](https://blablasell.com/read-blog/11910_missouri-sports-betting-ballot-measure-approved-by-voters.html) is fast to liken the online social sweeps casinos to the internet coffee shops that emerged in Florida, providing customers the possibility to play casino-style video games for real prizes. A number of those brick-and-mortar facilities have actually considering that been shuttered over accusations of illegal [sports betting](https://octomo.co.uk/read-blog/6502_exploring-the-sports-betting-industry-putting-ideas-into-practice.html).<br>
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<br>[DJ Khaled](https://wiki.vifm.info/index.php/User:AngelinaForshee) is among several star spokespeople for VGW's Global Poker brand<br>
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<br>Now, Wallach argues, social sweeps gambling establishments ought to face comparable examination.<br>
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<br>'These distinctions are not arbitrary,' Wallach said of social sweeps [casinos](https://mediawiki1263.00web.net/index.php/User:BradyMark7106348). 'They have consistently been pointed out by courts and state attorney general of the United States as key consider figuring out that a sweepstakes promotion remained in truth a guise for prohibited gambling.'<br>
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<br>Among the gambling establishment industry's [leading](https://olympiquelyonnaisfansclub.com/read-blog/15366_tennessee-sports-betting-top-4-legal-betting-sites-in-2024.html) trade companies, the American Gaming Association, is now pressing lawmakers to examine sweepstakes operators and, in many cases, enact new legislation on the concern.<br>
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<br>'Consumers are being deprived of securities and states are forgoing considerable tax and revenue opportunities as this gaming replaces that conducted through controlled channels,' checked out a well-circulated AGA memo.<br>
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<br>And after that there are the complainants who have actually sued social gambling establishments in more than a dozen states.<br>
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<br>Sweepstakes casino operators paid a combined $14.2 million in 4 separate cases in Kentucky without admitting any misdeed, according to the Washington Post. Meanwhile VGW accepted pay $11.75 million in one class-action claim, stating the [settlement](http://wiki-tb-service.com/index.php?title=Benutzer:YolandaVillalobo) was made to avoid legal costs and continued litigation.<br>
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<br>Michael Phelps has actually signed an offer with the VGW Group, which owns Global Poker<br>
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<br>In the current lawsuit, which is largely similar to its predecessors, New York state locals Lamar Prater and Rebecca Pratt both declare to have actually lost well over $1,000 to VGW, which is described in the filing as an 'unlawful gaming enterprise. '<br>
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<br>Apple and Google have likewise been named as offenders in lawsuits for hosting the sweepstakes sites. But unlike VGW, neither tech company responded to DailyMail.com's ask for remark.<br>
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<br>'We typically do not discuss matters before the courts,' a VGW representative informed DailyMail.com via e-mail. 'However, we keep in mind that this claim has actually only simply been filed with the court and VGW has actually not been formally served.<br>
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<br>'We have full confidence in our compliance with all laws and regulations where we run, and stay confident about the future,' the spokesperson continued. 'We continue to use our free-to-play video games throughout many of North America, as we have for more than a decade, creating not just fantastic video games, user experiences and home entertainment, however also ensuring this is done safely, responsibly and at the greatest level of standards.<br>
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<br>'More broadly, we 'd reiterate that class actions and other litigations and arbitrations are fairly common across the online social video games industry (and the US more broadly), and our basic practice is that we mean to vigorously protect any claim which might be brought versus us.'<br>
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<br>The problems in between traditional online [sports betting](https://oninabresources.com/best-u-s-sports-betting-sites-sportsbooks-for-2024/) and sweepstakes gambling establishments might show bothersome for some star endorsers.<br>
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<br>Towns, a star center with the Knicks, and the 76ers' George both endorse VGW's Global Poker brand while the NBA is partnered with standard video gaming titans like FanDuel and DraftKings.<br>
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<br>'It's ironic that expert athletes are hawking illegal [sports betting](https://sportify.brandnitions.com/read-blog/25_how-fantasy-betting-app-development-companies-and-sports-developers.html) 'sweeps' sites while at the exact same time the leagues desire to forecast a [strong stance](https://derivsocial.org/read-blog/6410_missouri-sports-betting-ballot-measure-approved-by-voters.html) against unlawful [sports betting](https://social.vetmil.com.br/read-blog/15121_how-to-play-bet9ja-online.html) - particularly when attempting to tamp down the periodic gambling scandal,' Glaser told DailyMail.com.<br>
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<br>It was just eight months ago that Toronto Raptors forward Jontay Porter received a lifetime restriction from the NBA over claims he conspired with bettors. However, to be clear, Porter's scandal is unassociated to anything including social or sweepstakes casinos.<br>
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<br>In addition to VGW, Apple and Google are being demanded hosting supposedly illegal [sports betting](https://mxlinkin.mimeld.com/read-blog/699_sport-betting-industry-wants-to-protect-itself.html) websites<br>
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<br>Regardless, Glaser sees sweepstakes casinos as a major issue for leagues such as the NBA.<br>
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<br>'I 'd expect that a league crackdown on athletes endorsing sweepstakes sites refers when, not if,' Glaser added.<br>
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<br>Neither an NBA spokesman nor the gamers' agents reacted to DailyMail.com's requests for remark. For that matter, spokespeople for Drake, DJ Khaled, Hilton, Seacrest and Phelps likewise overlooked to react to DailyMail.com e-mails.<br>
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<br>Asked if their star endorsers have a duty to describe to consumers the differences and resemblances in between iGaming and sweepstakes gambling establishments, VGW insisted there is absolutely nothing more that requires to be done.<br>
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<br>'We have full self-confidence in our influencer and ambassadorial partnerships, and our company practices more broadly,' the representative stated. 'Some of our worths are" our players precede" and" we do what's right", and we put our values at the core of everything we do.'<br>
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<br>Glaser, an outspoken opponent of sweepstakes sites, sees things differently.<br>
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<br>'Celebrities who provide their names to shady prohibited gambling websites are, at a minimum, putting their [reputations](https://thatswhathappened.wiki/index.php/User:GarnetPalumbo4) at risk in addition to courting civil and class actions by consumers who declare harm,[' Glaser](https://si-sudagro.net/cdc-hiruak/index.php?qa=153577&qa_1=fantasy-betting-development-companies-sports-developers) stated. 'There is likewise some risk that state regulators and state attorney generals of the United States rope celebrity endorsers into enforcement efforts for facilitating unlawful [sports betting](https://chateando.net/read-blog/228_tennessee-sports-betting-top-4-legal-betting-sites-in-2024.html).'<br>
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<br>New YorkNBADrakeParis Hilton<br>[bet9ja.com](https://register.bet9ja.com/?btag=yohaig&promocode=yohaig)
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