VGW Holdings, the Australia-based operator behind Chumba Casino, LuckyLand Slots, and Global Poker, is set to discontinue its Sweeps Coins operations in New York. The decision comes amid increasing legislative pressure and growing uncertainty around the legality of sweepstakes gaming in the state.
“This decision wasn’t taken lightly and was made at this time in the best interests of all our stakeholders,” the company said.
Phased Shutdown Set for Completion by August
VGW has outlined a detailed exit timeline for Sweeps Coins use in New York:
- June 2: Users will no longer be able to receive Sweeps Coins, whether through purchases, login bonuses, contests, or mail-in entries.
- July 2: All Sweeps Coins-based gameplay and mail-in submissions will be discontinued.
- August 1: Final day to redeem Sweeps Coins for prizes, after which redemptions will no longer be allowed.
The company emphasized its commitment to transparency and user support, stating it is “100 percent focused on ensuring players are fully informed about the changes, and that this transition is as smooth and seamless as possible.”
Legal Uncertainty Driving Sweeps Platform Exits
VGW’s retreat reflects a broader trend, with several sweepstakes gaming platforms—including High 5 Casino, Hello Millions, McLuck, and Funzpoints—having already exited New York.
Though sweepstakes gaming remains technically legal in the state, a bill introduced in March by Senator Joseph Addabbo (S9226) and its counterpart, Assembly Bill 6745, aim to ban the industry. The Assembly bill is scheduled for a committee hearing on May 28, but with the legislative session ending June 12, time is running short for significant movement.
VGW, while not affiliated with the Social and Promotional Games Association (SPGA), is a member of the newly established Social Gaming Leadership Alliance, which also advocates for clearer regulation and industry engagement.
“We acknowledge increased interest in our innovative industry that millions of Americans enjoy, and are committed to respectful engagement on establishing modern, appropriate regulatory structures that benefit players and states alike,” a VGW spokesperson said.
Compliance at the Forefront of VGW’s Strategy
VGW’s decision to withdraw from New York is consistent with previous actions aimed at staying ahead of regulatory risks. Earlier this year, the company raised its minimum age requirement from 18 to 21 and previously excluded seven other states—including Michigan, Nevada, and Washington —from its sweepstakes offerings.
“VGW has operated in North America for more than a decade, creating not only great games, user experiences and entertainment but ensuring this is done safely, responsibly and at the highest level of standards,” the spokesperson added.
As the regulatory environment continues to evolve, VGW is prioritizing compliance and user protection while leaving the door open for future engagement—should a clearer and more supportive legal framework emerge.
Source:
“VGW to exit New York sweepstakes market amid rising regulatory uncertainty”, sigma.world, May 27, 2025
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