Florida Attorney General Files Lawsuits Against Online Sweepstakes Casinos

Florida Attorney General James Uthmeier initiated legal action to permanently halt the operations of several prominent online sweepstakes casinos within the state. The two lawsuits, filed in Hillsborough County Circuit Court, allege that these platforms constitute illegal gambling enterprises that violate state gambling regulations and the Florida Deceptive and Unfair Trade Practices Act. The litigation targets major industry operators and their associated payment processors, signaling a strict regulatory approach toward social casino compliance.

The complaints specifically identify platforms such as Stake, as well as VGW-operated properties including Chumba Casino, LuckyLand, and Global Poker. Payment processors Worldpay and Trustly are also named as defendants for their role in facilitating financial transactions. At the core of the state’s argument is the operators’ use of a dual-currency model. According to the lawsuits, players purchase packages of “Gold Coins” that are bundled with redeemable “Sweeps Coins” or “Stake Cash.” These secondary tokens can be wagered on virtual casino games, with winnings subsequently exchanged for cash, gift cards, or cryptocurrency.

State officials contend that this structure is intentionally designed to bypass local gambling laws and oversight. Addressing the enforcement action, Attorney General Uthmeier stated, “If it looks like a casino, takes real money like a casino, and pays out like a casino, it is a casino – and it is illegal under Florida law.” He further asserted that the companies operate with “deceptive marketing, and 24/7 access, while dodging our state’s licensing, taxation, and consumer-protection requirements.”

Conversely, sweepstakes casino operators historically defend the dual-currency framework as a legal promotional model. These companies generally market their platforms as free, safe, and compliant social entertainment. Because players can participate in the games without a mandatory monetary purchase, operators classify the activity as a sweepstakes rather than traditional gambling. At this stage of the litigation, legal representatives for the corporate defendants have not issued formal public comments regarding the Florida lawsuits.