Add Sweepstakes Casino Controversy - And Celebrities' All-important Role
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[bet9ja.com](https://register.bet9ja.com/?btag=yohaig&promocode=yohaig)<br>The smiling faces of Paris Hilton and Ryan Seacrest made surprise appearances before the Louisiana Senate for Friday's hearing on unlawful gambling.<br>
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<br>No, they weren't personally in participation, however the world-famous celebs were notably included in a slide presentation on social and sweepstakes gambling establishments - the [questionable sites](https://social.engagepure.com/read-blog/829_how-to-withdraw-from-bet9ja-8-step-guide-to-money-in-your-wins.html) using both totally free casino-style video games and financially rewarding prizes, such as cash, present cards or cryptocurrency. In one advertisement, the fist-pumping Seacrest is seen plugging Chumba Casino, where anyone can 'play for 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 simply two cogs in the multibillion-dollar industry that now discovers itself besieged by lawsuits. In the eyes of numerous video gaming corporations, not to mention suit complainants and state regulators, sweepstakes gambling establishments serve as traditional gambling establishments, just without the oversight, consumer protections and tax laws. So not just can they avoid the high 24-percent federal gaming levy, however sweepstakes operators aren't based on regulative hurdles 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 revenue in 2015 alone. Now the company faces allegations of prohibited gambling in a New york city claim that claims VGW uses star endorsers to 'produce a veneer of authenticity' around its product. (See [VGW's declaration](https://issosyal.com/read-blog/10042_how-to-attract-users-to-my-fantasy-sports-platform.html) 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 operating multibillion-dollar illegal operations out of places like Malta, Isle of Man, or US mail drops,' Friday's presenter, Howard Glaser of gaming corporation Light & Wonder, told DailyMail.com.<br>
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<br>Sweepstakes endorsers include a series of celebs from gambling enthusiasts Drake and DJ Khaled to swimmer Michael Phelps, as well as NBA stars Karl-Anthony Towns and Paul George - none of whom use any differences in between standard [sports betting](https://connectworld.app/read-blog/198_start-winning-with-pcg-college-football-picks.html) and sweepstakes play.<br>
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<br>Paris Hilton is seen plugging Wow Vegas, among numerous sweepstakes casinos found online<br>
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<br>[Ryan Seacrest](https://tribetok.com/read-blog/78_sports-minister-tracey-crouch-resigns-over-039-delay-039-to-betting-crackdown.html) urges fans to dip into Chumba Casino, where numerous - but not all - games are totally free<br>
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<br>Drake has a handle social sweeps casino, Stake, that he regularly promotes on social media<br>
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<br>Find out more<br>
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<br>Donald Trump 'set to name NBA group owner as US ambassador to Italy'<br>
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<br>Instead, ads typically center around the social aspect of the gambling establishments, while omitting the potential for actual gaming losses.<br>
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<br>Others tempt customers with guarantees of prizes. One such operator, Stake, ran a social networks advertisement displaying Drake's automobiles, planes 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 quit.'<br>
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<br>The discrepancy in between [sports betting](https://uconnect.ae/read-blog/173434_sports-minister-tracey-crouch-resigns-over-039-delay-039-to-betting-crackdown.html) websites and social or sweepstakes casinos is a bit intricate, but operators of the latter insist they're not included 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 data, the majority of the players on social-sweepstakes gambling establishments are [sports betting](https://social.concienciacasanare.com/read-blog/36_just-how-much-are-americans-spending-on-sports-betting.html) totally free.<br>
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<br>'Most social sweeps consumers never make a purchase,' the SPGA representative informed DailyMail.com. 'The minority of consumers who make purchases do so in amounts far smaller sized than the normal deposit or bet size at real-money online gaming sites.'<br>
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<br>Social gambling establishments offer consumers an opportunity to play casino-style games with pals. Players have the alternative to purchase worthless currency often referred to as 'gold coins,' which can not be exchanged genuine money, however can be used to open numerous functions within the video games.<br>
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<br>But within the world of social casinos exists sweepstakes video gaming, permitting customers to get other currency referred to as 'sweeps coins' that can be exchanged for cash or other prizes.<br>
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<br>And therein lies the capacity for financial losses, like the ones declared by complainants in Florida, Georgia, New Jersey and New York. One player informed the [Washington Post](https://rca.co.id/read-blog/508_the-ins-and-outs-of-betting-on-the-nfl-draft.html) he lost more than $100,000 on sweepstakes gambling establishments in the previous year after continuing to purchase more coins in of money and other things of worth.<br>
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<br>The Philadelphia 76ers' Paul George is seen promoting a Worldwide Poker event<br>
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<br>Social sweeps casino Stake ran an advertisement revealing off Drake's automobiles, 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 gambling establishments are prohibited in all however 7 states, which has helped to fuel the popularity of [sweepstakes gambling](https://demo.wowonderstudio.com/read-blog/2608_online-betting-firms-gamble-on-soccer-mad-nigeria.html) establishments.<br>
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<br>Anyone over the age of 18 can access the sweepstakes websites, which do not need normally require recognition. However, websites like Chumba will request IDs from gamers trying to withdraw any funds.<br>
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<br>Many websites, like the crypto-compatible Stake, allow customers to send mail-in requests for complimentary sweeps coins, provided the players follow painfully specific instructions. What's more, gamers are often rewarded with sweeps coins just for signing up, thereby providing a factor to attempt their hands at any number of casino video games for an [opportunity](https://www.womplaz.com/read-blog/88_the-ins-and-outs-of-betting-on-the-nfl-draft.html) to win - or lose - genuine cash.<br>
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<br>So why are sweepstakes sites permitted to operate in 48 states, while online gambling establishments are banned in all but 7?<br>
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<br>According to the stakeholders, their item is the totally free casino-style gaming, and the real-stakes competitors is merely a means of promoting their bread and butter.<br>
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<br>'Social sweepstakes games are just a form of online entertainment,' an SPGA representative told DailyMail.com by email. 'No purchase is needed to dip into social casinos with sweepstakes prizes. Consumers never have to spend for a chance to win prizes. That lack of a purchase requirement - or" factor to consider" - is a crucial difference in between social sweeps and conventional online gambling sites like gambling establishments.'<br>
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<br>Think of the way that McDonald's uses its yearly Monopoly game to promote its food: Customers aren't paying to bet, however rather they're buying hamburgers and french fries that use them the possibility to win financially rewarding prizes, such as a $1 million prize.<br>
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<br>And without a purchase requirement, or 'factor to consider', the video game itself does not meet the definition of [sports betting](https://wavedream.wiki/index.php/User:AthenaMattes792) in the US.<br>
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<br>'Sweepstakes are an enduring technique for promoting all kinds of daily organizations in the United States, whatever from burgers to publication memberships to coffee and home improvement stores,' the SPGA representative told DailyMail.com. 'Sweepstakes promotions are regularly used by a who's who of family names like AT&T, Chase, Home Depot, Marriott, Starbucks, and Wal-Mart.'<br>
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<br>But to many [sports betting](https://tribetok.com/read-blog/96_uk-betting-firms-gamble-on-united-states-after-sports-wager-ruling.html) market insiders, that argument does not cut it.<br>
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<br>For beginners, gaming attorney Daniel Wallach mentions, McDonald's Monopoly game doesn't run indefinitely. Rather, it has a well-defined beginning and end, therefore suggesting the sweepstakes is not the fast-food giant's main item. Instead, the sweepstakes is being used to promote genuine items like fries, shakes, and the Filet-O-Fish.<br>
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<br>'They do not last permanently and they're normally not [connected](https://theconnectly.com/read-blog/4149_just-how-much-are-americans-spending-on-sports-betting.html) to casino-style games of chance,' Wallach informed DailyMail.com. 'They're simply cash free gifts.<br>
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<br>'The sweepstakes [casinos] possess none of the qualities typically associated with McDonald's-design sweepstakes promotions,' Wallach continued. 'Besides running in eternity, the sweepstakes casinos offer" casino-like" payments, usually 80 percent or more of incomes, whereas the common payment percentage for a temporary marketing sweepstakes is a minor share of the [earnings](https://strimsocial.net/read-blog/20091_sports-minister-tracey-crouch-resigns-over-039-hold-up-039-to-betting-crackdown.html) earned by the business [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 sprang up in Florida, offering clients the opportunity to [play casino-style](https://superappsocial.com/read-blog/1540_why-every-cricket-fan-should-try-the-all-cricket-id-gaming-platform.html) video games for genuine rewards. Many of those brick-and-mortar establishments have actually since been shuttered over accusations of illegal gambling.<br>
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<br>DJ Khaled is among numerous celebrity spokespeople for [VGW's Global](https://palkwall.com/read-blog/27748_sports-minister-tracey-crouch-resigns-over-039-delay-039-to-betting-crackdown.html) Poker brand<br>
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<br>Now, Wallach argues, social sweeps gambling establishments need to deal with comparable analysis.<br>
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<br>'These distinctions are not approximate,' Wallach said of social sweeps casinos. 'They have consistently been cited by courts and state attorney general of the United States as crucial aspects in figuring out that a sweepstakes promo remained in truth a guise for prohibited gambling.'<br>
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<br>One of the gambling establishment industry's leading trade organizations, the American Gaming Association, is now pushing legislators to investigate sweepstakes operators and, in many cases, enact brand-new legislation on the concern.<br>
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<br>['Consumers](http://ringturbine.com80/index.php/User:BeatrizWolken) are being deprived of defenses and states are forgoing significant tax and income chances as this gaming changes that conducted through [managed](https://wiki.fablabbcn.org/User:ElizbethR14) channels,' read a well-circulated AGA memo.<br>
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<br>And then there are the plaintiffs who have sued social gambling establishments in more than a dozen states.<br>
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<br>Sweepstakes casino operators paid a combined $14.2 million in four separate cases in Kentucky without confessing any misbehavior, according to the Washington Post. Meanwhile VGW consented to pay $11.75 million in one class-action suit, stating the settlement was made to avoid legal costs and continued lawsuits.<br>
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<br>Michael Phelps has actually signed a handle the VGW Group, which owns Global Poker<br>
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<br>In the most recent suit, which is largely similar to its predecessors, New York state residents Lamar Prater and Rebecca Pratt both declare to have actually lost well over $1,000 to VGW, which is explained in the filing as an 'illegal gaming enterprise. '<br>
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<br>Apple and Google have actually likewise been named as accuseds in lawsuits for hosting the sweepstakes sites. But unlike VGW, neither tech business reacted to DailyMail.com's ask for remark.<br>
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<br>'We generally don't discuss matters before the courts,' a VGW spokesperson told DailyMail.com by means of email. 'However, we keep in mind that this claim has only simply been submitted with the court and VGW has not been officially served.<br>
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<br>'We have full confidence in our compliance with all laws and policies where we run, and stay positive about the future,' the spokesperson continued. 'We continue to use our free-to-play video games throughout the majority of The United States and Canada, as we have for more than a years, [developing](https://vishwakarmacommunity.org/read-blog/7970_how-much-are-americans-spending-on-sports-betting.html) not only terrific video games, user experiences and entertainment, but likewise ensuring this is done safely, responsibly and at the highest level of standards.<br>
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<br>'More broadly, we 'd repeat that class actions and other litigations and [arbitrations](https://welcometohaiti.com/read-blog/18247_uk-betting-firms-gamble-on-us-after-sports-wager-ruling.html) are relatively typical across the online social games industry (and the US more broadly), and our standard practice is that we intend to strongly protect any claim which may be brought versus us.'<br>
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<br>The issues in between standard online gambling and sweepstakes casinos could prove bothersome for some star endorsers.<br>
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<br>Towns, a star center with the Knicks, and the 76ers' George both endorse VGW's Global Poker brand while the NBA is partnered with traditional video gaming titans like FanDuel and DraftKings.<br>
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<br>'It's ironic that expert athletes are hawking unlawful [sports betting](https://palkwall.com/read-blog/27703_how-much-are-americans-spending-on-sports-betting.html) wagering 'sweeps' websites while at the exact same time the leagues wish to project a strong stance versus [prohibited gambling](https://wiki.monnaie-libre.fr/wiki/Utilisateur:ZitaHeitmann22) - especially when trying to tamp down the periodic [sports betting](http://bedfordfalls.live/read-blog/112814_how-to-play-bet9ja-online.html) scandal,' Glaser told DailyMail.com.<br>
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<br>It was just eight months ago that Toronto Raptors forward Jontay Porter got a life time restriction from the NBA over claims he conspired with bettors. However, to be clear, Porter's scandal is unassociated to anything including social or sweepstakes casinos.<br>
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<br>Together with VGW, Apple and Google are being demanded hosting presumably prohibited gambling websites<br>
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<br>Regardless, Glaser sees sweepstakes gambling establishments as a major problem for leagues such as the NBA.<br>
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<br>'I 'd expect that a league crackdown on professional athletes backing sweepstakes websites is a matter of when, not if,' Glaser added.<br>
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<br>Neither an NBA spokesman nor the gamers' agents reacted to DailyMail.com's demands for remark. For that matter, spokespeople for Drake, DJ Khaled, Hilton, Seacrest and Phelps likewise neglected to react to DailyMail.com emails.<br>
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<br>Asked if their star endorsers have a duty to explain to customers the [distinctions](https://grade1d.smaportal.ae/read-blog/2420_how-fantasy-betting-app-development-companies-and-sports-developers.html) and similarities between iGaming and sweepstakes casinos, VGW insisted there is nothing more that needs to be done.<br>
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<br>'We have complete self-confidence in our influencer and ambassadorial partnerships, and our [business practices](https://mybuddis.com/read-blog/70_uk-betting-firms-gamble-on-united-states-after-sports-wager-ruling.html) more broadly,' the representative said. 'A few of our worths are" our players come initially" and" we do what's right", and we put our values at the core of whatever we do.'<br>
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<br>Glaser, an outspoken challenger of sweepstakes websites, sees things in a different way.<br>
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<br>['Celebrities](https://social.myschoolfriend.ng/read-blog/40754_sport-betting-industry-aims-to-protect-itself.html) who provide their names to dubious illegal [sports betting](https://theavtar.in/read-blog/30034_for-sports-gambling-to-be-legalised.html) websites are, at a minimum, putting their track records at threat along with courting civil and class actions by consumers who declare damage,' Glaser said. 'There is likewise some danger that state regulators and state chief law officers rope celebrity endorsers into enforcement efforts for helping with unlawful [sports betting](https://www.kuyasia.com/read-blog/46_sweepstakes-casino-controversy-and-celebrities-039-all-important-role.html).'<br>
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