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 unlawful gaming.<br>[bet9ja.com](https://register.bet9ja.com/?btag=yohaig&promocode=yohaig)
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<br>No, they weren't personally in presence, but the world-famous stars were conspicuously included in a slide presentation on social and sweepstakes gambling establishments - the [questionable sites](https://cittaviva.net/read-blog/25148_how-to-withdraw-from-bet9ja-8-step-guide-to-cash-in-your-wins.html) offering both free casino-style games and rewarding rewards, such as money, gift cards or cryptocurrency. In one advertisement, the fist-pumping Seacrest is seen plugging Chumba Casino, where anyone can 'bet free,' 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 websites are simply 2 cogs in the multibillion-dollar industry that now discovers itself besieged by suits. In the eyes of lots of gaming corporations, not to discuss lawsuit plaintiffs and state regulators, sweepstakes gambling establishments act as traditional casinos, just without the oversight, consumer defenses and tax laws. So not only can they prevent the steep 24-percent federal gambling levy, however sweepstakes operators aren't subject to regulative obstacles like anti-money laundering and responsible-gaming protections.<br>
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<br>One operator, [Australia-based Virtual](https://vibrantclubs.com/read-blog/11453_sweepstakes-casino-controversy-and-celebrities-039-all-important-role.html) Gaming Worlds (VGW), reported $4 billion in revenue in 2015 alone. Now the business deals with allegations of illegal [sports betting](https://snowboardwiki.net/index.php?title=User:NellieW7426) in a New York claim that claims VGW utilizes star endorsers to 'produce a veneer of authenticity' around its item. (See VGW's statement below)<br>
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<br>'I'm not sure" if you don't trust us, you can trust 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, informed DailyMail.com.<br>
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<br>Sweepstakes endorsers consist of a variety of celebrities from [sports betting](https://www.kuyasia.com/read-blog/80_uk-betting-firms-gamble-on-united-states-after-sports-wager-ruling.html) lovers Drake and DJ Khaled to swimmer Michael Phelps, as well as NBA stars Karl-Anthony Towns and [Paul George](https://wow.t-mobility.co.il/read-blog/27_how-to-withdraw-from-bet9ja-8-step-guide-to-cash-in-your-wins.html) - none of whom offer any differences between standard gaming and sweepstakes play.<br>[bet9ja.com](https://register.bet9ja.com/?btag=yohaig&promocode=yohaig)
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<br>Paris Hilton is seen plugging Wow Vegas, among numerous sweepstakes casinos discovered online<br>
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<br>Ryan Seacrest prompts fans to dip into Chumba Casino, where numerous - however not all - games are complimentary<br>
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<br>Drake has an offer with social sweeps gambling establishment, Stake, that he routinely touts on social networks<br>
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<br>Find out more<br>
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<br>Donald Trump 'set to call NBA team owner as US ambassador to Italy'<br>
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<br>Instead, advertisements typically center around the social element of the gambling establishments, while leaving out the capacity for actual gaming losses.<br>
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<br>Others tempt customers with promises of rewards. One such operator, Stake, ran a social media advertisement revealing off Drake's automobiles, airplanes and mansions before rotating to video footage of the rapper playing online casino-style games.<br>
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<br>'Daddy, why do we have so much cash?' check out the first caption on the screen.<br>
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<br>Another caption described: 'Because I never ever provided up.'<br>
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<br>The discrepancy in between gaming websites and social or sweepstakes casinos is a bit complex, however operators of the latter insist they're not included with the former.<br>
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<br>A spokesperson for an industry trade group, the Social and Promotional Gaming Association (SPGA), explained its members are not in direct competitors with online casinos and sportsbooks. Furthermore, according to SPGA data, many of the gamers on [social-sweepstakes casinos](https://cosplaybook.de/read-blog/6727_start-winning-with-pcg-college-football-picks.html) are playing for totally 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 clients who make purchases do so in quantities far smaller sized than the common deposit or bet size at real-money online [sports betting](https://socialsmerch.com/read-blog/10508_why-every-cricket-fan-need-to-try-the-all-cricket-id-gaming-platform.html) sites.'<br>
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<br>Social casinos use clients an opportunity to play casino-style video games with good friends. Players have the choice to buy valueless currency frequently described as 'gold coins,' which can not be exchanged genuine money, however can be used to unlock various features within the video games.<br>
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<br>But within the world of social casinos exists sweepstakes video gaming, enabling consumers to obtain other currency referred to as 'sweeps coins' that can be exchanged for cash or other prizes.<br>[bit.ly](https://bit.ly/Bet9jaPromotionCodeYOHAIG)
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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. One gamer informed 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 cash and other things of value.<br>
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<br>The Philadelphia 76[ers' Paul](https://nuo18.lt/read-blog/68705_things-you-need-to-understand-about-rafting-adventures.html) George is seen promoting an International Poker event<br>
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<br>Social sweeps gambling establishment Stake ran an ad displaying Drake's vehicles, planes and mansions<br>
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<br>Karl-Anthony Towns of the New York Knicks is another NBA star plugging VGW's Global Poker<br>
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<br>Traditional online casinos are banned in all but 7 states, which has actually helped to sustain the appeal of sweepstakes casinos.<br>
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<br>Anyone over the age of 18 can access the sweepstakes websites, which do not need normally need [recognition](https://blablasell.com/read-blog/11925_tennessee-sports-betting-top-4-legal-betting-sites-in-2024.html). However, sites like Chumba will request for IDs from [gamers attempting](https://redmonde.es/read-blog/193_warner-bros-discovery-sets-stage-for-potential-cable-deal-by.html) to withdraw any funds.<br>
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<br>Many sites, like the crypto-compatible Stake, enable consumers to submit mail-in ask for totally free sweeps coins, offered the gamers follow painfully specific guidelines. What's more, gamers are frequently rewarded with sweeps coins just for signing up, therefore [providing](https://ca.viquiblo.org/index.php/Usuari:LaraeSalisbury1) a reason to attempt their hands at any number of casino video games for a possibility to win - or lose - genuine cash.<br>
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<br>So why are sweepstakes sites permitted to operate in 48 states, while online gambling establishments are banned in all however 7?<br>
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<br>According to the stakeholders, their item is the complimentary casino-style video gaming, and the real-stakes competitors is just a means of promoting their support.<br>
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<br>'Social sweepstakes video games are just a type of online home entertainment,' an [SPGA spokesperson](https://miggoo.com.br/read-blog/2647_how-fantasy-betting-app-development-companies-and-sports-developers.html) informed DailyMail.com by e-mail. 'No purchase is needed to play at social casinos with sweepstakes rewards. Consumers never ever have to pay for an opportunity to win prizes. That lack of a purchase requirement - or" consideration" - is an essential distinction in between social sweeps and standard online [sports betting](https://strimsocial.net/read-blog/19028_enhance-your-business-opportunities-with-efficient-sports-apps.html) sites like casinos.'<br>
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<br>Think about the manner in which McDonald's utilizes its yearly Monopoly video game to promote its food: Customers aren't paying to gamble, however rather they're buying hamburgers and french fries that offer them the chance to win lucrative rewards, such as a $1 million prize.<br>
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<br>And without a purchase requirement, or 'consideration', the video game itself does not fulfill the definition of gaming in the US.<br>
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<br>'Sweepstakes are an enduring technique for promoting all type of everyday businesses in the United States, everything from hamburgers to publication subscriptions to coffee and home improvement shops,' the SPGA spokesperson informed DailyMail.com. 'Sweepstakes promos are regularly utilized by a who's who of household names like AT&T, Chase, Home Depot, Marriott, Starbucks, and Wal-Mart.'<br>
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<br>But to many [sports betting](https://embargo.energy/index.php/User:FredrickSterne) industry insiders, that argument does not cut it.<br>
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<br>For starters, gaming attorney Daniel Wallach points out, McDonald's Monopoly video game does not run indefinitely. Rather, it has a well-defined start and end, consequently recommending the sweepstakes is not the fast-food giant's main item. Instead, the sweepstakes is being utilized to promote real items like fries, shakes, and the Filet-O-Fish.<br>[bet9ja.com](https://register.bet9ja.com/?btag=yohaig&promocode=yohaig)
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<br>'They don't last forever and they're usually not connected to casino-style games of opportunity,' Wallach informed DailyMail.com. 'They're simply cash free gifts.<br>
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<br>'The sweepstakes [casinos] have none of the [characteristics typically](https://idaivelai.com/read-blog/4_how-much-are-americans-investing-in-sports-betting.html) associated with McDonald's-style sweepstakes promos,' Wallach [continued](https://tripta.social/read-blog/1306_missouri-sports-betting-ballot-measure-approved-by-voters.html). 'Besides running in eternity, the sweepstakes gambling establishments offer" casino-like" payments, typically 80 percent or more of incomes, whereas the normal payment percentage for a short-term promotional sweepstakes is a minor share of the revenue earned by the business [usually less than one percent]'<br>
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<br>Wallach fasts to liken the online social sweeps casinos to the internet coffee shops that sprang up in Florida, using customers the possibility to play casino-style video games for genuine prizes. A lot of those brick-and-mortar facilities have since been shuttered over claims of prohibited [sports betting](http://experienciacortazar.com.ar/wiki/index.php?title=Usuario:KelliLoureiro).<br>
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<br>DJ Khaled is amongst numerous celebrity spokespeople for VGW's Global Poker brand name<br>
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<br>Now, Wallach argues, social sweeps gambling establishments need to face comparable examination.<br>
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<br>'These distinctions are not arbitrary,' Wallach said of social sweeps casinos. 'They have repeatedly been pointed out by courts and state lawyer generals as crucial consider figuring out that a sweepstakes promotion remained in reality a guise for unlawful gaming.'<br>
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<br>Among the casino industry's leading trade companies, the American Gaming Association, is now pushing lawmakers to examine sweepstakes operators and, sometimes, enact new legislation on the problem.<br>
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<br>'Consumers are being deprived of defenses and states are giving up significant tax and income chances as this gaming replaces that carried out through regulated channels,' checked out a well-circulated AGA memo.<br>
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<br>And after that there are the plaintiffs who have sued social gambling establishments in more than a lots states.<br>
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<br>Sweepstakes gambling establishment operators paid a combined $14.2 million in four different cases in Kentucky without confessing any wrongdoing, according to the Washington Post. Meanwhile VGW concurred to pay $11.75 million in one class-action claim, stating the settlement was made to avoid legal costs and continued lawsuits.<br>
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<br>Michael Phelps has actually signed a deal with the VGW Group, which owns Global Poker<br>
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<br>In the most recent suit, which is mostly similar to its predecessors, New York state citizens Lamar Prater and Rebecca Pratt both declare to have lost well over $1,000 to VGW, which is described in the filing as an 'unlawful gambling enterprise. '<br>
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<br>Apple and Google have likewise been called as defendants in suits for hosting the sweepstakes websites. But unlike VGW, neither tech business reacted to DailyMail.com's ask for comment.<br>
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<br>'We usually do not talk about matters before the courts,' a VGW representative told DailyMail.com via email. 'However, we keep in mind that this claim has actually only just been submitted with the court and VGW has actually not been formally served.<br>
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<br>'We have complete self-confidence in our compliance with all laws and policies where we operate, and remain positive about the future,' the representative continued. 'We continue to use our free-to-play games across the of North America, as we have for more than a decade, producing not just fantastic games, user experiences and entertainment, however also guaranteeing this is done safely, responsibly and at the highest level of standards.<br>
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<br>'More broadly, we 'd reiterate that class actions and other lawsuits and arbitrations are relatively typical across the online social video games industry (and the US more broadly), and our basic practice is that we plan to intensely protect any claim which may be brought against us.'<br>
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<br>The issues in between standard online [sports betting](http://wiki.myamens.com/index.php/User:ClaudeDale3) and [sweepstakes casinos](https://namesdev.com/read-blog/15227_online-betting-firms-gamble-on-soccer-mad-nigeria.html) could prove bothersome for some celebrity 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 name while the NBA is partnered with traditional video gaming titans like FanDuel and DraftKings.<br>
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<br>'It's ironic that professional athletes are hawking illegal [sports betting](https://clik.social/read-blog/19008_how-much-are-americans-spending-on-sports-betting.html) 'sweeps' websites while at the same time the leagues desire to predict a strong position against illegal [sports betting](http://www.mizmiz.de/read-blog/80580_exploring-the-sports-betting-industry-putting-ideas-into-practice.html) - specifically when trying to tamp down the occasional [sports betting](https://metacouture.co/read-blog/24193_exploring-the-sports-betting-industry-putting-ideas-into-practice.html) scandal,' Glaser informed DailyMail.com.<br>
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<br>It was simply 8 months ago that Toronto Raptors forward Jontay Porter got a life time restriction from the NBA over claims he conspired with bettors. However, to be clear, Porter's scandal is unassociated to anything involving social or sweepstakes casinos.<br>
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<br>Together with VGW, Apple and Google are being taken legal action against for hosting presumably illegal gambling websites<br>
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<br>Regardless, Glaser sees sweepstakes gambling establishments as a significant problem for leagues such as the NBA.<br>
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<br>'I 'd expect that a league crackdown on professional athletes endorsing sweepstakes sites refers when, not if,' Glaser included.<br>
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<br>Neither an NBA representative nor the players' representatives reacted to DailyMail.com's demands for remark. For that matter, spokespeople for Drake, DJ Khaled, Hilton, Seacrest and Phelps also overlooked to respond to DailyMail.com e-mails.<br>
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<br>Asked if their star endorsers have an obligation to describe to customers the differences and resemblances between iGaming and sweepstakes casinos, VGW insisted there is nothing more that needs to be done.<br>
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<br>'We have complete self-confidence in our influencer and ambassadorial partnerships, and our service practices more broadly,' the spokesperson said. 'A few of our worths are" our players precede" and" we do what's right", and we put our values at the core of whatever we do.'<br>
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<br>Glaser, an outspoken challenger of sweepstakes sites, sees things differently.<br>[bet9ja.com](https://register.bet9ja.com/?btag=yohaig&promocode=yohaig)
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<br>'Celebrities who lend their names to dubious prohibited gaming websites are, at a minimum, putting their reputations at risk along with courting civil and class actions by consumers who declare damage,' Glaser said. 'There is also some threat that state regulators and state lawyers general rope celebrity endorsers into enforcement efforts for facilitating illegal gambling.'<br>
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