Update 'Sweepstakes Casino Controversy - And Celebrities' All-important Role'

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<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>
<br>No, they weren't personally in presence, but the world-famous stars were notably consisted of in a slide discussion on social and sweepstakes gambling establishments - the questionable sites providing both [complimentary casino-style](https://www.buzzgate.net/read-blog/523_things-you-need-to-know-about-rafting-adventures.html) video games and lucrative rewards, such as money, gift cards or cryptocurrency. In one advertisement, the fist-pumping Seacrest is seen [plugging](https://meta.mactan.com.br/read-blog/23886_the-history-of-the-nfl-and-how-to-bank-on-it.html) Chumba Casino, where anyone can 'bet free,' while a crop-topped Hilton holds a chip for [sweepstakes](https://www.buzzgate.net/read-blog/523_things-you-need-to-know-about-rafting-adventures.html) operator, Wow Vegas, in the other.<br>
<br>The [websites](http://classicalmusicmp3freedownload.com/ja/index.php?title=%E5%88%A9%E7%94%A8%E8%80%85:OfeliaTyner943) are simply 2 cogs in the multibillion-dollar industry that now discovers itself besieged by claims. In the eyes of numerous video gaming corporations, not to point out claim plaintiffs and state regulators, sweepstakes gambling establishments act as standard casinos, just without the oversight, customer securities and tax laws. So not just can they prevent the high 24-percent federal gambling levy, but sweepstakes operators aren't subject to regulatory hurdles like anti-money laundering and responsible-gaming defenses.<br>
<br>One operator, Australia-based Virtual Gaming Worlds (VGW), reported $4 billion in earnings last year alone. Now the company faces accusations of unlawful [sports betting](https://personal.spaces.one/read-blog/3113_for-sports-gambling-to-be-legalised.html) in a New york city suit that claims VGW utilizes celeb endorsers to 'develop a veneer of legitimacy' around its product. (See VGW's statement below)<br>
<br>'I'm not exactly sure" if you do not trust us, you can rely on Paris Hilton" is a winning message for companies operating multibillion-dollar prohibited operations out of locations like Malta, Isle of Man, or US mail drops,' Friday's speaker, Howard Glaser of gaming corporation Light & Wonder, informed DailyMail.com.<br>
<br>Sweepstakes endorsers consist of a range of stars from gambling enthusiasts Drake and DJ Khaled to swimmer Michael Phelps, along with NBA stars Karl-Anthony Towns and Paul George - none of whom offer any differences in between standard [sports betting](https://globalairgunner.com/read-blog/20336_just-how-much-are-americans-investing-in-sports-betting.html) and sweepstakes play.<br>
<br>Paris Hilton is seen plugging Wow Vegas, among many sweepstakes casinos discovered online<br>
<br>Ryan Seacrest advises fans to dip into Chumba Casino, where numerous - however not all - games are totally free<br>
<br>Drake has a handle social sweeps gambling establishment, Stake, that he frequently touts on social media<br>
<br>Find out more<br>
<br>Donald Trump 'set to name NBA group owner as US ambassador to Italy'<br>
<br>Instead, [advertisements](https://wiki.vifm.info/index.php/User:AngelinaForshee) generally center around the social aspect of the gambling establishments, while leaving out the potential for real gambling losses.<br>
<br>Others tempt clients with pledges of prizes. One such operator, Stake, ran a social media [advertisement revealing](https://olps.co.za/wiki/User:MerissaEmanuel) off Drake's cars, aircrafts and estates before rotating to video footage of the rapper playing online casino-style video games.<br>
<br>'Daddy, why do we have so much cash?' check out the very first caption on the screen.<br>
<br>Another caption explained: 'Because I never ever provided up.'<br>
<br>The disparity between gambling websites and social or sweepstakes casinos is a bit complex, however operators of the latter insist they're not involved with the former.<br>[bet9ja.com](https://register.bet9ja.com/?btag=yohaig&promocode=yohaig)
<br>A representative for an industry trade group, the Social and Promotional Gaming Association (SPGA), discussed its members are not in direct competition with online gambling establishments and sportsbooks. Furthermore, according to SPGA data, many of the gamers on social-sweepstakes gambling establishments are [sports betting](https://voggisper.com/read-blog/1228_score-big-wins-how-sports-betting-software-drives-growth-and-engagement.html) totally free.<br>
<br>'Most social sweeps consumers never make a purchase,' the SPGA spokesperson informed DailyMail.com. 'The minority of consumers who make purchases do so in quantities far smaller than the typical deposit or bet size at real-money online gambling sites.'<br>
<br>Social casinos provide clients a possibility to play casino-style games with good friends. Players have the alternative to purchase valueless currency typically referred to as 'gold coins,' which can not be exchanged for real money, but can be used to open various features within the games.<br>
<br>But within the world of social casinos exists sweepstakes video gaming, permitting customers to get other currency known as 'sweeps coins' that can be exchanged for money or other prizes.<br>
<br>And therein lies the [potential](https://lidoo.com.br/read-blog/12969_how-are-betting-odds-calculated.html) for monetary losses, like the ones declared by plaintiffs in Florida, Georgia, New Jersey and New York. One gamer informed the Washington Post he lost more than $100,000 on sweepstakes casinos in the past year after continuing to purchase more coins in pursuit of cash and other things of worth.<br>
<br>The Philadelphia 76ers' Paul George is seen promoting a Worldwide Poker occasion<br>
<br>Social sweeps casino Stake ran an ad displaying Drake's vehicles, airplanes and estates<br>
<br>Karl-Anthony Towns of the New York Knicks is another NBA star plugging VGW's Global Poker<br>
<br>Traditional online gambling [establishments](https://bbarlock.com/index.php/User:ADRRaul19479568) are banned in all but seven states, which has actually helped to fuel the appeal of sweepstakes casinos.<br>
<br>Anyone over the age of 18 can access the sweepstakes sites, which do not require generally need recognition. However, websites like Chumba will request IDs from gamers trying to withdraw any funds.<br>
<br>Many sites, like the crypto-compatible Stake, allow consumers to submit mail-in demands for free sweeps coins, provided the gamers follow painfully specific instructions. What's more, players are frequently rewarded with sweeps coins just for signing up, thereby providing them a reason to attempt their hands at any number of casino video games for an opportunity to win - or lose - real money.<br>
<br>So why are sweepstakes websites allowed to run in 48 states, while online casinos are prohibited in all however 7?<br>[bit.ly](https://bit.ly/Bet9jaPromotionCodeYOHAIG)
<br>According to the stakeholders, their product is the complimentary casino-style gaming, and the real-stakes competition is simply a means of promoting their bread and butter.<br>
<br>['Social sweepstakes](https://younivix.com/read-blog/29934_start-winning-with-pcg-college-football-picks.html) games are simply a kind of online entertainment,' an SPGA representative informed DailyMail.com by email. 'No purchase is required to dip into social casinos with sweepstakes prizes. Consumers never ever have to pay for a chance to win prizes. That absence of a purchase requirement - or" factor to consider" - is an essential difference in between social sweeps and traditional online gambling sites like casinos.'<br>[bet9ja.com](https://register.bet9ja.com/?btag=yohaig&promocode=yohaig)
<br>Think of the method that McDonald's uses its yearly Monopoly video game to promote its food: Customers aren't paying to gamble, but rather they're buying hamburgers and french fries that offer them the possibility to win profitable rewards, such as a $1 million prize.<br>
<br>And without a purchase requirement, or 'consideration', the game itself does not meet the definition of gambling in the US.<br>
<br>'Sweepstakes are an enduring method for promoting all type of everyday companies in the United States, everything from burgers to magazine memberships to coffee and home improvement shops,' the SPGA representative informed DailyMail.com. 'Sweepstakes promos are routinely utilized by a who's who of family names like AT&T, Chase, Home Depot, Marriott, Starbucks, and Wal-Mart.'<br>
<br>But to numerous gambling industry experts, that argument doesn't cut it.<br>
<br>For beginners, video gaming attorney Daniel Wallach explains, McDonald's Monopoly video game does not run indefinitely. Rather, it has a distinct beginning and end, therefore suggesting the sweepstakes is not the fast-food giant's primary item. Instead, the sweepstakes is being utilized to promote genuine products like fries, shakes, and the Filet-O-Fish.<br>
<br>'They don't last forever and they're usually not connected to casino-style video games of chance,' Wallach told DailyMail.com. 'They're just cash free gifts.<br>
<br>'The sweepstakes [gambling establishments] possess none of the qualities frequently related to McDonald's-style sweepstakes promotions,' Wallach continued. 'Besides running in eternity, the sweepstakes gambling establishments provide" casino-like" payments, usually 80 percent or more of revenues, whereas the typical payout portion for a momentary marketing sweepstakes is a minor share of the profits made by the [company](https://seenoor.com/read-blog/451_for-sports-gambling-to-be-legalised.html) [usually less than one percent]'<br>
<br>Wallach is quick to compare the online social sweeps casinos to the internet cafes that emerged in Florida, using clients the possibility to play casino-style video games for genuine prizes. Many of those brick-and-mortar establishments have given that been shuttered over allegations of illegal gambling.<br>
<br>DJ Khaled is amongst several star spokespeople for VGW's Global Poker brand name<br>
<br>Now, Wallach argues, social sweeps gambling establishments must face comparable examination.<br>
<br>'These distinctions are not arbitrary,' Wallach said of social sweeps gambling establishments. 'They have actually repeatedly been mentioned by courts and state lawyer generals as essential factors in identifying that a sweepstakes promotion was in fact a guise for illegal gambling.'<br>
<br>Among the gambling establishment industry's leading trade companies, the American Gaming Association, is now pushing legislators to investigate sweepstakes operators and, in some cases, enact new legislation on the problem.<br>
<br>'Consumers are being denied of protections and states are giving up considerable tax and income chances as this gaming replaces that performed through regulated channels,' read a well-circulated AGA memo.<br>
<br>And after that there are the plaintiffs who have taken legal action against social gambling establishments in more than a lots states.<br>
<br>Sweepstakes gambling establishment operators paid a [combined](https://www.athleticzoneforum.com/read-blog/753_sports-minister-tracey-crouch-resigns-over-039-hold-up-039-to-betting-crackdown.html) $14.2 million in 4 separate cases in Kentucky without confessing any wrongdoing, according to the Washington Post. Meanwhile VGW accepted pay $11.75 million in one class-action claim, stating the settlement was made to avoid legal costs and continued lawsuits.<br>
<br>Michael Phelps has signed a handle the VGW Group, which owns Global Poker<br>
<br>In the newest suit, which is mostly similar to its predecessors, New york city state citizens 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 gambling business. '<br>
<br>Apple and Google have also been named as defendants in suits for hosting the sweepstakes sites. But unlike VGW, neither tech business reacted to DailyMail.com's [request](https://flowsocial.xyz/read-blog/550_how-to-play-bet9ja-online.html) for comment.<br>
<br>'We normally do not discuss matters before the courts,' a VGW representative informed DailyMail.com by means of email. 'However, we note that this claim has actually only just been filed with the court and VGW has not been officially served.<br>
<br>'We have full self-confidence in our compliance with all laws and regulations where we run, and stay positive about the future,' the representative continued. 'We continue to provide our free-to-play games throughout the majority of The United States and Canada, as we have for more than a years, developing not just fantastic games, user experiences and home entertainment, but also ensuring this is done safely, responsibly and at the highest level of standards.<br>
<br>'More broadly, we 'd repeat that class actions and other lawsuits and arbitrations are fairly common throughout the online social games industry (and the US more broadly), and our basic practice is that we mean to intensely defend any claim which might be brought versus us.'<br>
<br>The concerns between traditional online [sports betting](http://www.larsaluarna.se/index.php/User:OtiliaLamm931) and sweepstakes casinos could prove bothersome for some celebrity endorsers.<br>
<br>Towns, a [star center](https://krazzykross.com/read-blog/1513_enhance-your-business-opportunities-with-efficient-sports-apps.html) with the Knicks, and the 76ers' George both endorse VGW's Global Poker brand name while the NBA is partnered with standard video gaming titans like FanDuel and DraftKings.<br>
<br>'It's ironic that expert athletes are hawking unlawful [sports betting](http://ccrr.ru/read-blog/20847_the-history-of-the-nfl-and-how-to-bet-on-it.html) wagering 'sweeps' websites while at the same time the leagues desire to project a strong position against prohibited gambling - specifically when trying to tamp down the periodic [sports betting](https://naijamatta.com/read-blog/34814_how-are-betting-odds-calculated.html) scandal,' Glaser told DailyMail.com.<br>
<br>It was simply eight months ago that Toronto Raptors forward Jontay Porter received a lifetime ban from the NBA over accusations he conspired with gamblers. However, to be clear, Porter's scandal is unrelated to anything including social or sweepstakes .<br>
<br>Along with VGW, Apple and Google are being demanded hosting [allegedly](https://flowsocial.xyz/read-blog/588_sports-minister-tracey-crouch-resigns-over-039-hold-up-039-to-betting-crackdown.html) illegal gambling sites<br>
<br>Regardless, Glaser sees sweepstakes casinos as a significant problem for leagues such as the NBA.<br>
<br>'I 'd expect that a league crackdown on athletes backing sweepstakes sites refers when, not if,' Glaser added.<br>
<br>Neither an NBA spokesperson nor the players' representatives reacted to DailyMail.com's ask for comment. For that matter, spokespeople for Drake, DJ Khaled, Hilton, Seacrest and Phelps also overlooked to react to DailyMail.com emails.<br>
<br>Asked if their star endorsers have a duty to discuss to clients the distinctions and resemblances between iGaming and [sweepstakes gambling](https://drapia.org/11-WIKI/index.php/User:JermaineMcRobert) establishments, VGW firmly insisted there is absolutely nothing more that requires to be done.<br>
<br>'We have complete confidence in our influencer and ambassadorial collaborations, and our organization practices more broadly,' the spokesperson said. 'Some of our worths are" our players precede" and" we do what's right", and we put our worths at the core of everything we do.'<br>
<br>Glaser, an outspoken challenger of sweepstakes websites, sees things in a different way.<br>[bit.ly](https://bit.ly/Bet9jaPromotionCodeYOHAIG)
<br>'Celebrities who provide their names to dubious unlawful gaming sites are, at a minimum, putting their track records at danger along with courting civil and class actions by customers who declare harm,' Glaser said. 'There is also some danger that state regulators and state chief law officers rope celeb endorsers into enforcement efforts for helping with prohibited [sports betting](https://chateando.net/read-blog/217_score-big-wins-how-sports-betting-software-drives-growth-and-engagement.html).'<br>
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