- New York AG Leticia James announced an $8 million settlement with VGW Holdings Pty. Ltd. and its affiliates (VGW) concerning the operation of online “sweepstakes casinos” in the state. VGW operates online casinos, including Chumba Casino, Global Poker, and Luckyland Slots, which allow users to play traditional casino games using virtual coins that could be exchanged for cash or prizes. AG James stated that New York law prohibits online platforms from offering gambling that involves risking something of value, including redeemable virtual coins.
- In June 2025, the AG’s office sent a cease and desist letter to VGW regarding the company’s activities in New York. Following the letter, the operators stopped offering virtual coin gambling in New York. In December, Gov. Kathy Hochul signed legislation formally prohibiting sweepstakes casinos in the state.
- Under the settlement, VGW will pay $8 million to resolve the matter, including amounts designated for disgorgement, penalties, and costs.