The New York State Gaming Commission recently banned 26 sweepstakes casinos operating in the state.
The commission said the sweepstakes were offering slots, table games, and sports betting using virtual coins that could be exchanged for cash and prizes.
In a statement, New York Attorney General Letitia James thanked officials for their actions.
“Online sweepstakes casinos are illegal, dangerous, and can seriously ruin people’s finances. I thank the New York State Gaming Commission and Sen. Addabbo for partnering with my office on this issue to protect New Yorkers.”
The ban could be an indication that legalization of New York online casinos is forthcoming.
Several popular sweepstakes now banned in NY
New York state Sen. Joseph Addabbo, a strong proponent of online casinos, proposed a bill in March that made sweepstakes casinos officially illegal in New York. The bill picked up steam last month and caused some sweepstakes casinos to suspend operations in New York.
For years, Addabbo has supported online casinos, which are legal in only seven states. The senator proposed legislation for legalization earlier this month.
On the ban, Addabbo echoed James.
“At a time when illegal gambling, underage participation, and identity theft are soaring, it is deeply concerning that prohibited, unregulated, and unenforceable gambling entities are providing easy access to illegal gaming sites and obtaining personal information of unsuspecting New Yorkers. … These so-called sweepstakes casinos not only put individuals at risk of fraud and financial exploitation, but they also create dangerous pathways for gambling addiction, especially among minors. This is not about taking away anyone’s livelihood, it’s about protecting New Yorkers and working toward a safer, regulated online gaming environment for age-appropriate individuals.
“I commend Attorney General James and her office for their dedication towards protecting our residents and for recognizing the urgent risks posed by these illegal platforms.”
Sweepstakes are not subject to audit or regulation under New York law. Here is the full list of platforms banned in the Empire State include:
- Chanced
- Chumba
- DingDingDing
- Fliff
- Fortune Coins
- Fortune Wheelz
- Funrize
- FunzCity
- Global Poker
- Golden Hearts Games
- High 5 Casino
- Jackpota
- Luckyland
- McLuck
- Mega Bonanza
- NoLimitCoins
- Play Fame
- RealPrize
- Sidepot
- SpinBlitz
- Sportzino
- SweepSlots
- Sweeptastic
- TaoFortune
- Yay Casino
- Zula Casino
Addabbo can now turn attention to iGaming legalization
Other states have also targeted sweepstakes casinos. In January, Addabbo said regulated online casinos were a much safer iGaming platform than sweepstakes.
“To close this loophole, I will work to ban or incorporate sweepstakes casinos in the state, akin to current laws in Michigan, Idaho, and Washington, and I will push for iGaming as a safe, effective alternative for online casino enthusiasts.”
Step 1 of the process has been completed with the ban of sweeps. That allows Addabbo to start pushing for the legalization of iGaming, which would generate billions in revenue for the Empire State.