Florida Sues Stake and VGW Over Sweepstakes Casinos

Florida has taken its sweepstakes casino fight to court, with Attorney General James Uthmeier seeking to stop Stake and VGW from offering casino-style games in the state. The cases also target payment companies and seek the return of money allegedly lost by Florida players.


Good to Know

  • Florida filed separate lawsuits against Stake and VGW in Hillsborough County Circuit Court on August 19.
  • The state wants permanent injunctions, consumer repayments, civil penalties and disgorgement of revenue.
  • Florida lawmakers failed to complete a broader gambling bill in March 2026, leaving the Attorney General to pursue the companies under existing state laws.

Florida Goes After Sweepstakes Casino Payments and Player Losses

Uthmeier has taken a wider approach than simply asking Stake and VGW to leave Florida. The complaints also name companies that help process or support payments, including Worldpay, Trustly, Praxis and Breeze Labs.

The Attorney General wants to “recover every dollar” that Florida consumers allegedly lost through the platforms. The state also seeks penalties under the Florida Deceptive and Unfair Trade Practices Act, repayment of alleged gains and legal costs.

“These companies cannot hide illegal gambling behind a sweepstakes label,” Uthmeier said.

VGW operates Chumba Casino, LuckyLand and Global Poker. Stake also uses a sweepstakes model in the US market. Both models use virtual currencies, with certain coins tied to prizes that players can redeem for cash.

Florida argues that the model crosses into unlicensed gambling once users can spend money, play casino-style games and redeem winnings.

“I enforce our laws to protect consumers from illegal schemes that take their money,” Uthmeier said. “Sites like Stake and those run by VGW market themselves as sweepstakes or social casinos, but they offer real gambling – slots, blackjack, and poker. They’ve raked in hundreds of millions of dollars from people in our state.”

Florida Uses Existing Gambling Law After 2026 Bill Failed

The timing adds an important legal angle. Florida lawmakers considered CS/CS/SB 1580 during the 2026 session. The Senate passed the gambling bill 34-0 and the House later approved an amended version, but lawmakers failed to agree on final language before the session ended on March 13.

Instead of waiting for a specific sweepstakes casino ban, Uthmeier now argues that existing Florida gambling and consumer protection laws already cover the activity.

Florida permits slot machines only in limited licensed settings. Online sports betting operates through the Seminole Tribe and Hard Rock Bet under the state tribal gaming compact.

The action also follows a much broader US clampdown on dual-currency casinos. California, New York, Nevada, New Jersey, Indiana, Maine and several other states now prohibit or restrict the model through newer laws or existing gambling rules.

“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,” Uthmeier said in a statement. “These companies have been preying on Floridians, including minors and seniors, with deceptive marketing and 24/7 access, while dodging our state’s licensing, taxation, and consumer-protection requirements. They must be stopped.”

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