Florida AG Expands Sweepstakes Casino Crackdown to Google, Meta, Reddit, Snap, and TikTok

Florida Attorney General James Uthmeier is expanding his sweepstakes casino crackdown to the technology companies carrying advertisements for the sites, asking five major platforms to explain how they are preventing those promotions from reaching Florida residents.

Uthmeier announced Sept. 25 that he had sent letters to Google, Meta, Reddit, Snap and TikTok. The companies have until Oct. 23 to respond in writing about steps they have taken to prevent advertising for sites including Stake, Chumba Casino, LuckyLand, and Global Poker from reaching Floridians.

The move follows two August lawsuits against the businesses behind Stake.us and VGW’s casino brands, as well as companies that process their payments. Florida’s campaign now stretches from the gambling products themselves to the payment systems and advertising platforms that help those businesses operate and reach customers.

It also comes during a busy period for state enforcement. New York announced an $8 million settlement with VGW this month; Kentucky sued the company in June; and Maine’s prohibition on certain online sweepstakes games took effect in July.

Google and other platforms face advertising demands

In his letter to Google, Uthmeier argued that advertising the named sweepstakes casinos to Florida residents violates state law.

“The promotion and advertisement of such illegal gambling in Florida is similarly unlawful under Florida law,” he wrote, according to Legal Sports Report.

The request goes beyond asking the companies to review individual advertisements. Uthmeier wants written confirmation of the measures being used to prevent the named sites from being promoted to Florida residents. These are demands from the attorney general, not court judgments against the five technology companies. None was named as a defendant in Florida’s August lawsuits.

Google’s own advertising policy distinguishes sweepstakes casinos from social casino games. Google defines social casino games as simulated gambling-style games in which there is no opportunity to win anything of value, and specifically excludes sweepstakes casinos from that category. Its policies also impose certification and other requirements on gambling-related advertising.

That distinction matters because Florida’s complaints focus on platforms that allow players to use redeemable virtual currency to obtain cash or prizes.

Florida had already targeted payment companies

The advertising letters follow lawsuits filed Aug. 19 in Hillsborough County Circuit Court.

Florida accused the defendants of violating state gambling laws and the Florida Deceptive and Unfair Trade Practices Act. One complaint targets Stake and affiliated entities, while the other targets VGW and brands including Chumba Casino, LuckyLand and Global Poker.

The VGW case names payment businesses Yodlee, Trustly and Worldpay Holdco. The Stake case names Praxis Tech and Breeze Labs Payments.

According to the state’s allegations, the payment providers supplied services that helped facilitate deposits, transfers or payouts. Florida is seeking permanent injunctions, recovery of consumer gambling losses, restitution, disgorgement and civil penalties.

The complaints challenge a dual-currency model in which players purchase one type of virtual currency and receive another that can be used in casino-style games and, subject to the platforms’ rules, redeemed for cash or prizes.

Florida argues that labeling the redeemable currency a promotional or free bonus does not change the substance of the transactions.

Other states are taking different approaches

New York reached an $8 million settlement with VGW on Sept. 9 covering Chumba Casino, Global Poker and LuckyLand Slots. Under the agreement, VGW agreed to pay the state and restrict its use of redeemable virtual currency for New York customers. The company neither admitted nor denied the factual findings in the settlement.

Kentucky, meanwhile, sued VGW and its affiliates in June. The company disputed the allegations and said it planned to “vigorously defend” the lawsuit.

Maine has gone a step further legislatively. Its LD 2007 took effect July 29, prohibiting certain online sweepstakes games and making operating or promoting a qualifying game a civil violation. Penalties range from $10,000 to $100,000 per violation.

The different approaches illustrate the broader fight over sweepstakes casinos: states are increasingly targeting not just the operators, but the payment companies, promoters and technology platforms that help them reach customers.