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Florida Attorney General James Uthmeier has filed two lawsuits targeting the operators of major online sweepstakes casinos, including Stake and VGW’s Chumba Casino, LuckyLand Slots and Global Poker.

The lawsuits, announced on August 19, 2026, also target payment processors accused of helping the platforms operate and process transactions involving Florida residents.

State Challenges Sweepstakes Casino Model

Florida authorities argue that the companies operate illegal online gambling businesses under the guise of sweepstakes promotions.

Sweepstakes casinos typically use virtual currencies and promotional systems that operators say distinguish their products from traditional online gambling. However, regulators in several US states have increasingly challenged this model, particularly when players can obtain virtual coins through purchases and redeem certain winnings for cash or prizes.

The Florida lawsuits represent one of the state’s most significant actions against the sector to date.

Stake and VGW Brands Named in Lawsuits

The legal action specifically includes Stake and several brands operated by VGW, including Chumba Casino, LuckyLand and Global Poker.

By targeting multiple operators at once, Florida is expanding its enforcement beyond individual websites and focusing on companies that authorities say are operating broader unlicensed gambling networks within the state.

Payment Processors Also Face Scrutiny

The lawsuits do not focus exclusively on casino operators. Florida has also included payment processors that allegedly enabled the platforms to accept and process transactions.

The approach reflects a broader regulatory trend in the US gambling market: authorities are increasingly targeting the financial infrastructure supporting allegedly illegal gambling operations, rather than relying solely on website blocking or actions against operators themselves.

Pressure on Sweepstakes Casinos Continues to Grow

The Florida cases add further pressure to the US sweepstakes casino industry, which has faced growing scrutiny from state regulators and lawmakers.

As more states examine whether sweepstakes-based casino models should be treated as legal promotional games or unlicensed gambling, operators may face an increasingly fragmented regulatory environment and a growing number of legal challenges.

Source: https://www.myfloridalegal.com/newsrelease/attorney-general-james-uthmeier-files-lawsuits-against-operators-illegal-online-casinos