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 [sports betting](http://kitsap.whigdev.com/read-blog/3058_how-to-play-bet9ja-online.html).<br>
 <br>No, they weren't personally in participation, but the world-famous stars were conspicuously included in a slide presentation on social and sweepstakes gambling establishments - the controversial sites providing both totally free casino-style video games and lucrative rewards, such as money, gift cards or cryptocurrency. In one advertisement, the fist-pumping Seacrest is seen plugging Chumba Casino, where anybody can 'play for totally free,' while a crop-topped Hilton holds a chip for sweepstakes operator, Wow Vegas, in the other.<br>
 <br>The sites are just two cogs in the multibillion-dollar market that now discovers itself [besieged](https://ifairy.world/read-blog/1355_the-history-of-the-nfl-and-how-to-bet-on-it.html) by claims. In the eyes of many gaming corporations, not to mention claim complainants and state regulators, sweepstakes gambling establishments function as standard casinos, just without the oversight, customer defenses and tax laws. So not just can they prevent the steep 24-percent federal gaming levy, but sweepstakes operators aren't based on regulative hurdles like [anti-money laundering](https://bbarlock.com/index.php/User:ADRRaul19479568) and responsible-gaming securities.<br>
 <br>One operator, Australia-based Virtual Gaming Worlds (VGW), reported $4 billion in income in 2015 alone. Now the business deals with accusations of [prohibited gambling](https://clik.social/read-blog/19237_things-you-need-to-know-about-rafting-adventures.html) in a New York suit that declares VGW utilizes celebrity endorsers to 'create a veneer of authenticity' around its product. (See VGW's declaration listed below)<br>
 <br>'I'm not exactly sure" if you don't trust us, you can trust Paris Hilton" is a winning message for [business operating](https://web-chat.cloud/question2answer/index.php?qa=41254&qa_1=how-are-betting-odds-calculated) multibillion-dollar prohibited operations out of places like Malta, Isle of Man, or US mail drops,' Friday's presenter, Howard Glaser of video gaming corporation Light & Wonder, informed DailyMail.com.<br>
 <br>Sweepstakes endorsers include a series of celebs 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 differences in between conventional gaming and sweepstakes play.<br>
 <br>Paris Hilton is seen plugging Wow Vegas, among many sweepstakes casinos found online<br>
 <br>Ryan Seacrest urges fans to dip into Chumba Casino, where many - but not all - games are complimentary<br>
 <br>Drake has a handle social sweeps casino, Stake, that he regularly touts on social networks<br>
 <br>Read More<br>
 <br>Donald Trump 'set to name NBA group owner as US ambassador to Italy'<br>
 <br>Instead, advertisements typically center around the social element of the gambling establishments, while leaving out the potential for real [sports betting](https://si-sudagro.net/cdc-hiruak/index.php?qa=152756&qa_1=just-how-much-are-americans-investing-in-sports-betting) losses.<br>
 <br>Others tempt clients with guarantees of prizes. One such operator, Stake, ran a social media ad displaying Drake's cars and trucks, airplanes and estates before rotating to footage of the rap artist playing online casino-style video games.<br>
 <br>'Daddy, why do we have so much money?' check out the first caption on the screen.<br>
 <br>Another caption described: 'Because I never provided up.'<br>
 <br>The [inconsistency](https://islider.ru/read-blog/37912_online-betting-firms-gamble-on-soccer-mad-nigeria.html) between [sports betting](https://pipewiki.org/wiki/index.php/User:BTOGabriel) websites and social or sweepstakes casinos is a bit complex, but [operators](https://squishmallowswiki.com/index.php/User:EdenViles17) of the latter insist they're not included with the previous.<br>
 <br>A representative for a market trade group, the Social and Promotional Gaming [Association](https://meebeek.com/read-blog/1090_uk-betting-firms-gamble-on-united-states-after-sports-wager-ruling.html) (SPGA), described its members are not in direct competitors with online gambling establishments and sportsbooks. Furthermore, according to SPGA information, the majority of the players on social-sweepstakes casinos are [sports betting](https://coptr.digipres.org/index.php/User:VioletSpencer44) free.<br>
 <br>'Most social sweeps clients never ever purchase,' the SPGA spokesperson informed DailyMail.com. 'The minority of customers who make purchases do so in quantities far smaller than the common deposit or bet size at real-money online [sports betting](https://aceme.ink/read-blog/1646_score-big-wins-how-sports-betting-software-drives-growth-and-engagement.html) sites.'<br>
 <br>Social gambling establishments use customers an opportunity to play casino-style games with pals. Players have the option to buy worthless currency typically referred to as 'gold coins,' which can not be exchanged genuine cash, but can be used to open different features within the video games.<br>[bet9ja.com](https://register.bet9ja.com/?btag=yohaig&promocode=yohaig)
 <br>But within the world of social casinos exists sweepstakes video gaming, permitting customers to get other currency understood as 'sweeps coins' that can be exchanged for money or other prizes.<br>[bet9ja.com](https://register.bet9ja.com/?btag=yohaig&promocode=yohaig)
 <br>And therein lies the potential for monetary losses, like the ones [declared](https://online-learning-initiative.org/wiki/index.php/User:KirbyBenjamin) by complainants in Florida, Georgia, New Jersey and New York City. One player informed the Washington Post he lost more than $100,000 on sweepstakes gambling establishments in the past year after continuing to purchase more coins in pursuit of money and other things of worth.<br>
 <br>The Philadelphia 76ers' Paul George is seen promoting a Worldwide Poker occasion<br>
 <br>Social sweeps casino Stake ran an ad displaying Drake's cars, planes and mansions<br>
 <br>[Karl-Anthony Towns](https://linkin.commoners.in/read-blog/25774_uk-betting-firms-gamble-on-us-after-sports-wager-ruling.html) of the New York City Knicks is another NBA star plugging VGW's Global Poker<br>
 <br>Traditional online gambling establishments are prohibited in all but seven states, which has actually helped to fuel the popularity of sweepstakes gambling establishments.<br>
 <br>Anyone over the age of 18 can access the sweepstakes sites, which do not need usually require identification. However, websites like Chumba will ask for IDs from players attempting to withdraw any funds.<br>
 <br>Many websites, like the crypto-compatible Stake, enable clients to send mail-in demands for totally free sweeps coins, provided the gamers follow painfully particular directions. What's more, gamers are typically rewarded with sweeps coins just for registering, thus providing a factor to try their hands at any number of casino video games for a possibility to win - or lose - real money.<br>
 <br>So why are sweepstakes websites enabled to run in 48 states, while online gambling establishments are banned in all but 7?<br>
 <br>According to the stakeholders, their product is the complimentary casino-style gaming, and the real-stakes competition is just a method of promoting their bread and butter.<br>
 <br>'Social sweepstakes video games are merely a form of online home entertainment,' an SPGA representative informed DailyMail.com by email. 'No purchase is required to dip into social casinos with sweepstakes prizes. Consumers never need to pay for a chance to win rewards. That absence of a purchase requirement - or" factor to consider" - is a crucial distinction between social sweeps and conventional online gambling sites like casinos.'<br>
 <br>Think of the way that McDonald's uses its yearly Monopoly game to promote its food: Customers aren't paying to bet, however rather they're [buying hamburgers](https://pittsburghpenguinsclub.com/read-blog/11536_sport-betting-industry-looks-to-protect-itself.html) and french fries that use them the possibility to win lucrative prizes, such as a $1 million jackpot.<br>[bit.ly](https://bit.ly/Bet9jaPromotionCodeYOHAIG)
 <br>And without a purchase requirement, or 'factor to consider', the video game itself doesn't satisfy the [definition](https://octomo.co.uk/read-blog/6566_things-you-need-to-learn-about-rafting-adventures.html) of gaming in the US.<br>
 <br>'Sweepstakes are an enduring approach for promoting all type of everyday services in the United States, everything from burgers to publication memberships to coffee and home improvement shops,' the SPGA representative told DailyMail.com. 'Sweepstakes promos are frequently used by a who's who of household names like AT&T, Chase, Home Depot, Marriott, Starbucks, and Wal-Mart.'<br>
 <br>But to many [sports betting](https://wiki.armello.com/index.php/User:EllisMartens6) market insiders, that argument doesn't cut it.<br>
 <br>For beginners, gaming attorney Daniel Wallach explains, McDonald's Monopoly game does not run indefinitely. Rather, it has a distinct start and end, consequently suggesting the sweepstakes is not the [fast-food giant's](https://namesdev.com/read-blog/15174_best-u-s-sports-betting-sites-amp-sportsbooks-for-2024.html) main product. Instead, the sweepstakes is being utilized to promote genuine items like fries, shakes, and the Filet-O-Fish.<br>
 <br>'They do not last permanently and they're generally not tied to casino-style games of possibility,' Wallach told DailyMail.com. 'They're just cash giveaways.<br>
 <br>'The sweepstakes [gambling establishments] possess none of the characteristics frequently associated with McDonald's-design sweepstakes promos,' Wallach continued. 'Besides running in perpetuity, the sweepstakes gambling establishments provide" casino-like" payouts, usually 80 percent or more of profits, whereas the common payment percentage for a temporary marketing sweepstakes is an insignificant share of the revenue made by the company [normally less than one percent]'<br>
 <br>[Wallach](https://alapcari.com/read-blog/1237_how-fantasy-betting-app-development-companies-and-sports-developers.html) is fast to liken the online social sweeps casinos to the web coffee shops that emerged in Florida, offering clients the opportunity to play casino-style video games for genuine rewards. Many of those brick-and-mortar facilities have since been shuttered over claims of prohibited gambling.<br>
 <br>DJ Khaled is among numerous celebrity spokespeople for VGW's Global Poker brand<br>
 <br>Now, Wallach argues, social sweeps casinos need to face similar examination.<br>
 <br>'These differences are not arbitrary,' Wallach stated of social sweeps casinos. 'They have actually consistently been mentioned by courts and state attorney general of the United States as crucial aspects in figuring out that a sweepstakes promotion was in truth a guise for unlawful [sports betting](https://www.facetwig.com/read-blog/96065_things-you-need-to-understand-about-rafting-adventures.html).'<br>
 <br>One of the gambling establishment industry's leading trade organizations, the American Gaming Association, is now pushing lawmakers to examine sweepstakes operators and, in some cases, enact brand-new legislation on the problem.<br>
 <br>'Consumers are being denied of defenses and states are passing up considerable tax and earnings opportunities as this gambling replaces that carried out through managed channels,' checked out a well-circulated AGA memo.<br>
 <br>And after that there are the plaintiffs who have taken legal action against social gambling establishments in more than a dozen states.<br>
 <br>Sweepstakes casino  paid a combined $14.2 million in four different cases in Kentucky without confessing any misdeed, according to the Washington Post. Meanwhile VGW accepted pay $11.75 million in one class-action suit, stating the settlement was made to prevent legal expenses and continued litigation.<br>[bet9ja.com](https://register.bet9ja.com/?btag=yohaig&promocode=yohaig)
 <br>Michael Phelps has actually signed an offer with the VGW Group, which owns Global Poker<br>
 <br>In the newest suit, which is largely similar to its predecessors, New York state residents Lamar Prater and Rebecca Pratt both claim to have actually lost well over $1,000 to VGW, which is explained in the filing as an 'prohibited gaming enterprise. '<br>
 <br>Apple and Google have also been named as defendants in lawsuits for hosting the sweepstakes websites. But unlike VGW, neither tech company reacted to DailyMail.com's request for remark.<br>
 <br>'We generally do not comment on [matters](https://pittsburghpenguinsclub.com/read-blog/11628_things-you-need-to-learn-about-rafting-adventures.html) before the courts,' a VGW spokesperson told DailyMail.com by means of e-mail. 'However, we keep in mind that this claim has only simply been filed with the court and VGW has not been formally served.<br>
 <br>'We have complete self-confidence in our compliance with all laws and regulations where we run, and stay positive about the future,' the representative continued. 'We continue to provide our free-to-play video games throughout many of North America, as we have for more than a years, developing not just excellent video games, user experiences and home entertainment, however likewise guaranteeing this is done safely, [properly](https://africasfaces.com/read-blog/5849_sweepstakes-casino-controversy-and-celebrities-039-all-important-role.html) and at the greatest level of requirements.<br>
 <br>'More broadly, we 'd reiterate that class actions and other litigations and arbitrations are relatively typical throughout the online social games market (and the US more broadly), and our basic practice is that we intend to intensely protect any claim which may be brought against us.'<br>
 <br>The concerns between traditional online gambling and sweepstakes casinos might show problematic for some star endorsers.<br>
 <br>Towns, a star center with the Knicks, and the 76ers' George both back VGW's Global Poker brand name while the NBA is partnered with conventional video gaming titans like FanDuel and DraftKings.<br>
 <br>'It's paradoxical that expert athletes are [hawking prohibited](https://mgnm.uk/read-blog/3127_how-much-are-americans-spending-on-sports-betting.html) [sports betting](http://wiki-tb-service.com/index.php?title=Benutzer:YolandaVillalobo) wagering 'sweeps' sites while at the exact same time the leagues wish to project a strong stance against prohibited gaming - especially when trying to tamp down the occasional [sports betting](https://comunidadebrasilbr.com/read-blog/12599_uk-betting-firms-gamble-on-united-states-after-sports-wager-ruling.html) scandal,' Glaser told DailyMail.com.<br>
 <br>It was simply eight months ago that Toronto Raptors forward Jontay Porter received a lifetime ban from the NBA over claims he conspired with bettors. However, to be clear, Porter's scandal is unassociated to anything including social or sweepstakes gambling establishments.<br>
 <br>Together with VGW, Apple and Google are being sued for hosting presumably prohibited gambling websites<br>
 <br>Regardless, Glaser sees sweepstakes gambling establishments as a significant concern for leagues such as the NBA.<br>
 <br>'I 'd [anticipate](https://chatkc.com/read-blog/519_just-how-much-are-americans-investing-in-sports-betting.html) that a league crackdown on professional athletes endorsing sweepstakes websites is a matter of when, not if,' Glaser included.<br>
 <br>Neither an NBA representative nor the players' representatives reacted to DailyMail.com's ask for remark. For that matter, spokespeople for Drake, DJ Khaled, Hilton, Seacrest and Phelps also ignored to react to DailyMail.com emails.<br>
 <br>Asked if their star endorsers have a duty to explain to customers the distinctions and similarities between iGaming and sweepstakes casinos, VGW insisted there is nothing more that requires to be done.<br>
 <br>'We have full confidence in our influencer and ambassadorial partnerships, and our service practices more broadly,' the representative stated. 'A few of our worths are" our players precede" and" we do what's right", and we put our worths at the core of everything we do.'<br>
 <br>Glaser, an outspoken challenger of sweepstakes sites, sees things in a different way.<br>
 <br>'Celebrities who provide their names to dubious prohibited gaming websites are, at a minimum, putting their track records at risk as well as courting civil and class actions by customers who declare harm,[' Glaser](https://d9talks.site/read-blog/1241_online-betting-firms-gamble-on-soccer-mad-nigeria.html) said. 'There is likewise some threat that state regulators and state attorney generals of the United States rope celebrity endorsers into enforcement efforts for helping with illegal [sports betting](https://social.instinxtreme.com/read-blog/13725_how-to-attract-users-to-my-fantasy-sports-platform.html).'<br>
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