New York moves to ban sweepsatkes casinos

Added:
New York moves to ban sweepsatkes casinos

Led by Senator Joseph Addabbo Jr, the bill aimed at combating illegal sweepstakes casinos has passed the New York State Senate with a strong 57-2 vote.

According to lawmakers, sweepstakes casinos operate outside of the state’s strict gambling laws. Now, after passing the Senate, the bill heads to the State Assembly. If it becomes a law, both the operations and promotion of these sites will be banned.

The Attorney General’s office shared a press release:

“New York law prohibits online platforms from offering gambling that involves risking something of value, including virtual coins that can be redeemed for cash or prizes.”

Brian O’Dwyer, chair of the New York State Gaming Commission, also commented: 

“These so-called ‘sweepstakes’ games are unscrupulous, unsecure, and unlawful. I have been very vocal about the need to crack down on these operations, and I am thrilled that Attorney General James has taken this significant step to eradicate the illegal gambling market.”

Violators could face fines between $10,000 and $100,000. Moreover, all those companies that help promote or process payments for these sites, like advertisers, affiliates, or banks, could also lose their gaming licenses.

Last week, New York Attorney General shut down 26 sweepstakes casinos, ordering them to stop selling virtual coins in the state.

With this move, New York joins Connecticut, which has already banned sweepstakes operations.

Eliza Galstyan
Eliza Galstyan Web Content Writer

With a degree in linguistics and translation, I create content that speaks the language of iGaming. My passion for turning topics into content that connects, informs, and entertains led me to specialize in writing for the iGaming industry. Over the past year with AffPapa, I have covered industry insights with different news, articles, and opinion pieces.

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