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 prohibited [sports betting](https://www.athleticzoneforum.com/read-blog/758_how-to-play-bet9ja-online.html).<br>[bit.ly](https://bit.ly/Bet9jaPromotionCodeYOHAIG)
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<br>No, they weren't personally in participation, but the world-famous celebs were conspicuously consisted of in a slide presentation on social and sweepstakes gambling establishments - the controversial sites using both totally free casino-style games and lucrative rewards, such as cash, gift cards or cryptocurrency. In one advertisement, the fist-pumping Seacrest is seen plugging Chumba Casino, where anybody 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 sites are just two cogs in the multibillion-dollar market that now finds itself besieged by suits. In the eyes of many video gaming corporations, not to discuss claim complainants and state regulators, sweepstakes gambling establishments act as conventional casinos, just without the oversight, customer protections and tax laws. So not just can they avoid the steep 24-percent federal [sports betting](https://droidt99.com/read-blog/8208_how-much-are-americans-spending-on-sports-betting.html) levy, but sweepstakes operators aren't subject to regulatory difficulties like anti-money laundering and responsible-gaming defenses.<br>
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<br>One operator, Australia-based Virtual Gaming Worlds (VGW), reported $4 billion in income last year alone. Now the business deals with allegations of illegal gambling in a New York claim that claims VGW uses celebrity endorsers to 'develop a veneer of authenticity' around its item. (See VGW's declaration listed below)<br>
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<br>'I'm uncertain" 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 speaker, Howard Glaser of gaming corporation Light & Wonder, told DailyMail.com.<br>
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<br>Sweepstakes endorsers include a variety of celebs from [sports betting](https://theconnectly.com/read-blog/4149_just-how-much-are-americans-spending-on-sports-betting.html) enthusiasts Drake and DJ Khaled to swimmer Michael Phelps, as well as NBA stars Karl-Anthony Towns and Paul George - none of whom offer any distinctions between traditional [sports betting](https://energypowerworld.co.uk/read-blog/144383_the-ins-and-outs-of-betting-on-the-nfl-draft.html) and sweepstakes play.<br>
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<br>Paris Hilton is seen plugging Wow Vegas, one of numerous sweepstakes gambling establishments found online<br>
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<br>Ryan Seacrest advises fans to dip into Chumba Casino, where many - however not all - games are [totally](https://melaninbook.com/read-blog/61162_for-sports-gambling-to-be-legalised.html) free<br>
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<br>Drake has a deal with social sweeps gambling establishment, Stake, that he frequently touts on social networks<br>
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<br>Find out more<br>
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<br>Donald Trump 'set to name NBA team owner as US ambassador to Italy'<br>
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<br>Instead, ads usually focus around the social aspect of the casinos, while omitting the potential for actual [sports betting](https://social.myschoolfriend.ng/read-blog/40918_why-every-cricket-fan-should-try-the-all-cricket-id-gaming-platform.html) losses.<br>
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<br>Others tempt customers with promises of rewards. One such operator, Stake, ran a social networks ad displaying Drake's cars and trucks, aircrafts and estates before pivoting to video of the rapper playing online casino-style video games.<br>
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<br>'Daddy, why do we have a lot money?' check out the first caption on the screen.<br>
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<br>Another caption described: 'Because I never ever offered up.'<br>
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<br>The discrepancy in between gambling websites and social or sweepstakes casinos is a bit complicated, but operators of the latter insist they're not involved with the previous.<br>
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<br>A representative for a market trade group, the Social and Promotional Gaming Association (SPGA), explained its members are not in direct competition with online casinos and sportsbooks. Furthermore, according to SPGA information, most of the gamers on social-sweepstakes gambling establishments are [sports betting](https://wolvesbaneuo.com/wiki/index.php/User:MistyBalmain910) totally free.<br>
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<br>'Most social sweeps consumers never buy,' the SPGA spokesperson told DailyMail.com. 'The minority of clients who make purchases do so in amounts far smaller sized than the typical deposit or wager size at real-money online gambling websites.'<br>
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<br>Social gambling establishments provide clients a chance to play casino-style video games with friends. Players have the alternative to buy valueless currency typically referred to as 'gold coins,' which can not be exchanged genuine money, but can be used to open numerous functions within the games.<br>
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<br>But within the world of social casinos exists sweepstakes gaming, enabling clients to obtain other currency referred to as 'sweeps coins' that can be [exchanged](https://strimsocial.net/read-blog/20099_just-how-much-are-americans-investing-in-sports-betting.html) for money or other prizes.<br>
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<br>And therein lies the potential for financial losses, like the ones declared by plaintiffs in Florida, Georgia, New Jersey and New York. One player informed the Washington Post he lost more than $100,000 on sweepstakes casinos in the past year after continuing to buy more coins in pursuit of cash and other things of value.<br>
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<br>The Philadelphia 76ers' Paul George is seen promoting a Worldwide Poker occasion<br>
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<br>Social sweeps casino Stake ran an ad displaying Drake's vehicles, airplanes and estates<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 however seven states, which has assisted to sustain the appeal of sweepstakes casinos.<br>
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<br>Anyone over the age of 18 can access the sweepstakes sites, which don't need usually require identification. However, sites like Chumba will ask for IDs from players attempting to withdraw any funds.<br>
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<br>Many sites, like the crypto-compatible Stake, permit consumers to submit mail-in demands for free sweeps coins, supplied the gamers follow painfully particular directions. What's more, gamers are typically rewarded with sweeps coins just for signing up, thereby providing a factor to try their hands at any number of gambling establishment video games for a chance to win - or lose - genuine money.<br>
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<br>So why are sweepstakes websites [allowed](https://systemcheck-wiki.de/index.php?title=Benutzer:EllisThrelkeld) to operate in 48 states, while online casinos are prohibited in all but 7?<br>
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<br>According to the stakeholders, their product is the totally free casino-style video gaming, and the real-stakes competitors is merely a method of promoting their support.<br>
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<br>'Social sweepstakes video games are simply a kind of online home entertainment,' an SPGA representative told DailyMail.com by email. 'No purchase is needed to dip into social casinos with sweepstakes prizes. Consumers never ever need to pay for an opportunity to win prizes. That lack of a purchase requirement - or" factor to consider" - is a vital distinction between social sweeps and conventional online gaming websites like gambling establishments.'<br>
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<br>Think of the manner in which McDonald's utilizes its yearly Monopoly video game to promote its food: Customers aren't paying to gamble, but rather they're [purchasing hamburgers](https://fishtanklive.wiki/User:LatiaDiederich) and french fries that use them the chance to win lucrative rewards, such as a $1 million jackpot.<br>
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<br>And without a purchase requirement, or 'factor to consider', the video game itself does not satisfy the meaning of [sports betting](http://www.vokipedia.de/index.php?title=Benutzer:MalloryTown5658) in the US.<br>
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<br>'Sweepstakes are an enduring technique for [promoting](https://realhindu.in/read-blog/21187_how-fantasy-betting-app-development-companies-and-sports-developers.html) all sort of everyday organizations in the United States, everything from hamburgers to publication subscriptions to coffee and home enhancement shops,' the SPGA representative informed DailyMail.com. 'Sweepstakes promotions are frequently 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 numerous gambling market insiders, that argument doesn't cut it.<br>
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<br>For beginners, video gaming attorney Daniel Wallach mentions, McDonald's Monopoly video game doesn't run forever. Rather, it has a well-defined beginning and end, therefore recommending the sweepstakes is not the fast-food giant's primary item. Instead, the sweepstakes is being used to promote genuine items like french fries, shakes, and the Filet-O-Fish.<br>
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<br>'They do not last permanently and they're typically not tied to casino-style video games of opportunity,' Wallach informed DailyMail.com. 'They're simply cash giveaways.<br>
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<br>'The sweepstakes [gambling establishments] possess none of the characteristics commonly associated with McDonald's-style sweepstakes promos,' Wallach continued. 'Besides running in all time, the sweepstakes casinos provide" casino-like" payments, generally 80 percent or more of profits, whereas the typical payment portion for a momentary promotional sweepstakes is a minor share of the income earned by the company [generally less than one percent]'<br>
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<br>Wallach is fast to liken the online social sweeps casinos to the web coffee shops that emerged in Florida, offering clients the chance to play casino-style games for genuine rewards. A number of those brick-and-mortar establishments have actually because been shuttered over claims of prohibited [sports betting](https://philadelphiaflyersclub.com/read-blog/8449_uk-betting-firms-gamble-on-us-after-sports-wager-ruling.html).<br>
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<br>DJ Khaled is among a number of star spokespeople for VGW's Global Poker brand name<br>
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<br>Now, Wallach argues, social sweeps gambling establishments ought to face comparable analysis.<br>
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<br>'These distinctions are not arbitrary,' Wallach said of social sweeps casinos. 'They have actually consistently been mentioned by courts and state attorney general of the United States as crucial consider identifying that a sweepstakes promo was in fact a guise for illegal gaming.'<br>
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<br>Among the casino market's leading trade organizations, the American Gaming Association, is now [pressing lawmakers](https://tribetok.com/read-blog/82_for-sports-gambling-to-be-legalised.html) to investigate sweepstakes operators and, in many cases, enact new legislation on the concern.<br>
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<br>'Consumers are being denied of defenses and states are forgoing considerable tax and income chances as this [sports betting](https://gayplatform.de/read-blog/3303_sports-minister-tracey-crouch-resigns-over-039-delay-039-to-betting-crackdown.html) replaces that conducted through regulated channels,' checked out a well-circulated AGA memo.<br>
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<br>And then there are the plaintiffs who have actually taken legal action against social casinos in more than a dozen states.<br>
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<br>Sweepstakes casino operators paid a combined $14.2 million in 4 different cases in Kentucky without admitting any wrongdoing, according to the Washington Post. Meanwhile VGW agreed to pay $11.75 million in one class-action suit, stating the settlement was made to avoid legal expenses and continued litigation.<br>
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<br>[Michael Phelps](http://experienciacortazar.com.ar/wiki/index.php?title=Usuario:DylanSchuhmacher) has signed a deal with the VGW Group, which owns Global Poker<br>
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<br>In the current claim, which is largely similar to its predecessors, New York state citizens Lamar Prater and Rebecca Pratt both claim to have lost well over $1,000 to VGW, which is explained in the filing as an 'illegal [sports betting](https://terra.planetv.wtf/read-blog/695_.html) enterprise. '<br>
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<br>Apple and Google have likewise been called as offenders in suits for hosting the sweepstakes websites. But unlike VGW, neither tech business reacted to DailyMail.com's demand for comment.<br>
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<br>'We normally do not comment on matters before the courts,' a VGW spokesperson informed DailyMail.com through email. 'However, we note that this claim has only just been submitted with the court and VGW has not been formally served.<br>
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<br>'We have full self-confidence in our compliance with all laws and policies where we operate, and remain confident about the future,' the spokesperson continued. 'We [continue](https://noaisocial.pro/read-blog/2353_exploring-the-sports-betting-industry-putting-ideas-into-practice.html) to provide our free-to-play video games across the majority of The United States and Canada, as we have for more than a decade, creating not just fantastic games, user experiences and entertainment, but likewise ensuring this is done securely, properly and at the greatest level of requirements.<br>
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<br>'More broadly, we 'd restate that class actions and other litigations and arbitrations are reasonably typical across the online social games industry (and the US more broadly), and our standard practice is that we mean to vigorously safeguard any claim which might be brought against us.'<br>
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<br>The concerns in between [conventional online](http://www.vmeste-so-vsemi.ru/wiki/%D0%A3%D1%87%D0%B0%D1%81%D1%82%D0%BD%D0%B8%D0%BA:AlissaMartinez3) gaming and sweepstakes gambling establishments might show problematic for some celebrity endorsers.<br>
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<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 standard video gaming titans like FanDuel and DraftKings.<br>
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<br>'It's paradoxical that expert athletes are hawking illegal [sports betting](https://chateando.net/read-blog/229_sport-betting-industry-wants-to-protect-itself.html) 'sweeps' websites while at the same time the leagues wish to project a strong stance against unlawful [sports betting](https://twitemedia.com/read-blog/88_compare-amp-review-oddsjet-de.html) - specifically when trying to tamp down the periodic gaming scandal,' Glaser informed 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 allegations he [conspired](https://bytes-the-dust.com/index.php/User:JimJenkinson549) with gamblers. However, to be clear, is unrelated to anything involving social or sweepstakes gambling establishments.<br>
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<br>Together with VGW, Apple and Google are being demanded hosting supposedly unlawful gambling websites<br>
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<br>Regardless, Glaser sees sweepstakes casinos as a significant issue for leagues such as the NBA.<br>
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<br>'I 'd anticipate that a league crackdown on professional athletes endorsing sweepstakes sites is a matter of when, not if,' Glaser included.<br>
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<br>Neither an NBA spokesperson nor the gamers' agents reacted to DailyMail.com's ask for comment. For that matter, spokespeople for Drake, DJ Khaled, Hilton, Seacrest and Phelps also overlooked to react to DailyMail.com emails.<br>
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<br>Asked if their star endorsers have a duty to explain to consumers the distinctions and resemblances between iGaming and sweepstakes gambling establishments, VGW firmly insisted there is absolutely nothing more that requires to be done.<br>
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<br>'We have complete confidence in our influencer and ambassadorial collaborations, and our organization practices more broadly,' the representative said. 'Some of our values are" our players come first" and" we do what's right", and we put our worths at the core of everything we do.'<br>
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<br>Glaser, an outspoken opponent 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 [shady illegal](https://wooshbit.com/read-blog/18736_sports-minister-tracey-crouch-resigns-over-039-hold-up-039-to-betting-crackdown.html) gaming websites are, at a minimum, putting their track records at danger as well as courting civil and class actions by customers who declare damage,' Glaser stated. 'There is likewise some risk that state regulators and state chief law officers rope star endorsers into enforcement efforts for helping with unlawful gambling.'<br>
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