Florida Sues Stake.us and Chumba Casino Operator VGW

Photo by Pix4Free
Key Takeaways
- News Insights Florida Attorney General James Uthmeier has filed lawsuits against Stake.us and Virtual Gaming Worlds
- The state alleges sweepstakes casinos constitute illegal and unlicensed online casino gambling
- Florida is seeking permanent injunctions and civil penalties that could reach $15,000 for certain violations
There's been another lawsuit filed against sweepstakes casinos, and this time, it's Florida Attorney General James Uthmeier coming after operators like Chumba Casino, LuckyLand, Global Poker, and Stake.us.
The former three in that set are all under the Virtual Gaming Worlds umbrella, whereas Stake.us is the US-based sweepstakes casino brand for the crypto casino, Stake.com.
Uthmeier alleges that these sweepstakes casinos engage in illegal and unlicensed online casino play, violating Florida gambling laws and the Florida Deceptive and Unfair Trade Practices Act.
“These so-called ‘sweepstakes’ and ‘social casinos’ are illegal online gambling operations,” said Attorney General James Uthmeier in a statement last week. “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. 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.”
Florida Targets VGW and Stake.us in Separate Lawsuits
This lawsuit comes after Kentucky filed a lawsuit against prediction market platforms Kalshi and Polymarket, as well as Virtual Gaming Worlds.
With VGW and Stake being separate entities, these were two different suits. VGW lists nine parties, and Stake lists eight, including figures such as Ed Craven and Bijan Tehrani.
In the VGW suit, there's mention of Sweeps Coins and that they are a "proxy" for real money, purchased as part of a package at a 1:1 rate. Then, for the Stake suit, they reference Stake Cash, which is the Sweeps Coins equivalent.
In addition to the casinos and some figures, Florida also named payment processors like Yodlee, Trustly, and Worldpay Holdco (VGW), as well as Praxis Tech Ltd. and Breeze Labs Payments Inc. (Stake.us).
Florida Seeks Permanent Ban and Civil Penalties
In Florida's complaint, they also mention that VGW generated more than $5 billion in revenue in 2025, with most of that ($3.7 billion) from Chumba Casino. They mention celebrity endorsements by Ryan Seacrest (Chumba Casino) and Michael Phelps (Global Poker).
As for Stake, the complaint alleges it generated $4.7 billion in gross gaming revenue in 2024.
The goal? Both suits seek a permanent injunction barring them from operating in Florida and civil penalties of up to $10,000 per violation (up to $15,000 per violation involving a minor, a person with a disability, or a senior citizen).
Richard Janvrin is a graduate of the University of New Hampshire. He started writing as a teenager before breaking into sports coverage professionally in 2015. From there, he entered the iGaming space in 2018 and has covered numerous aspects, including news, reviews, bonuses/promotions, sweepstakes casinos, legal, and more.
Stay updated with the latest in Casinos, Gambling & Gaming
Follow Casino.com for breaking news, features, expert guides, responsible gambling advice, legal updates & financial insights.
Related News

FanDuel Responds to Congress Over VIP Program, Leaves Five Questions Unanswered
FanDuel has responded to congressional scrutiny of its VIP program following the Bryce Harper controversy, answering three of lawmakers' eight questions.

CFTC Committee Raises Prediction Market Manipulation Concerns
Prediction market manipulation was a major focus of the CFTC's first Innovation Advisory Committee meeting amid several high-profile incidents.

Nevada Says Kalshi Violated Geofence Agreement, Seeks $120K Daily Fine
The Nevada Gaming Control Board says Kalshi failed to properly block event contract trading in the state and is seeking a $120,000-per-day penalty.

CFTC Orders Kalshi to Keep Offering Event Contracts Despite New York Lawsuit
The CFTC is ordering Kalshi to continue operating its event contract markets as New York seeks to stop the prediction market platform.

New Colorado Sports Betting Law That Bans Credit Card Funding Now In Effect
New Colorado sports betting regulations are now in effect, including a credit card ban, daily deposit limits, and marketing restrictions.

Congress Wants Answers Regarding Bryce Harper FanDuel VIP Video
Three members of Congress are questioning FanDuel, MLB, and the MLBPA over the use of a Bryce Harper video for a VIP sports bettor.

Kalshi Enforcement Head Says Platform Isn't a Sportsbook or Casino, Criticizes New York Lawsuit
Kalshi's Head of Enforcement, Robert DeNault, defended the platform's business model as it faces an ongoing legal battle in New York.

Federal Judge Rules Utah Gambling Laws Apply to Kalshi
A federal judge has sided with Utah in its legal battle with Kalshi, ruling that federal law doesn't prevent the state from enforcing its gambling laws.

Novig Launches Nationwide Prediction Market, Sues New York
Novig has launched its federally regulated sports prediction market while simultaneously taking legal action against New York regulators.

Two Ohio Governor Candidates Back Online Casino Legalization
Two candidates for Ohio governor have expressed support for legal online casino gaming as the state continues debating gambling expansion.

Celebrity Florida Weatherman Wants Court to Keep Gambling Records Secret
WINK argued that Devitt’s gambling records would show if he was enjoying time at the casino during the hours that he was supposed to be working.

LuckyStake Sweepstakes Casino Announces Shutdown
LuckyStake has informed players it is closing its sweepstakes casino platform and outlined key redemption deadlines.

Could Massachusetts iLottery Slow Online Casino Legalization?
The launch of Massachusetts iLottery could make it more difficult for lawmakers to advance online casino legislation.

NCLGS Urges Congress to Classify Prediction Markets as Illegal Gambling
State gaming lawmakers adopted a resolution calling on Congress to clarify that prediction markets should be regulated as gambling.

Federal Judge Blocks Minnesota's Prediction Market Ban
The ruling pauses Minnesota's first-in-the-nation prediction market ban while the legal challenge moves forward.

Kalshi Agrees Cease Sports Event Contracts and More in Nevada
A settlement with Nevada regulators requires Kalshi to stop offering several prediction markets in the state by Aug. 12.

DraftKings Wins $14.2 Million Sports Betting Lawsuit, Seeks Court Costs
A federal court ruled in favor of DraftKings in a lawsuit over a voided Pebble Beach golf parlay.

When Will Maine Online Casinos Launch? Here's What Happens Next
Online casino gaming is legal in Maine, but regulators still have several steps to complete before launches can begin.

Bipartisan Bill Would Ban Sports Event Contracts on Prediction Markets
Nevada lawmakers have introduced legislation to ban sports event contracts on prediction market platforms.

Washington Judge Blocks Kalshi Sports Event Contracts
The ruling marks another legal setback for Kalshi as states challenge sports event contracts.

Kentucky Sports Betting Age Raised to 21 Under New Law
House Bill 904 introduces several changes to Kentucky sports betting, including a higher minimum age.

NFL Suspends Cardinals Scout Ryan Gold Over Gambling Policy Violations
The suspension stems from gambling activity and sharing confidential draft information.

Judge Awards $112K Online Casino Jackpot to Account Holder
The court sided with the woman whose online casino account was used to win the jackpot.

Trump Teleprompter Operator Under CFTC Investigation Over Kalshi Trades
Investigators allege the White House staffer profited from nonpublic knowledge of presidential speeches.

Judge Denies Stake.us Motion to Arbitrate Minnesota Lawsuit
The court ruled that Stake.us failed to establish a valid arbitration agreement with the plaintiff.

Pennsylvania Study Recommends Ending Live Betting to Reduce Gambling Harm
The study proposes several changes to reduce problem gambling across the state.

Tribe and State Interests Align In The Fight Against Prediction Markets, Says UNLV Law Professor Danielle Finn
UNLV law professor Danielle Finn says tribal and state gaming interests, usually at odds, are now aligned against prediction markets — with over 20 lawsuits alleging violations of federal Indian gaming law and billions in lost tax revenue at stake.

Arizona Issues Cease-and-Desist Orders to Five Online Gambling Operators
State officials continue expanding their enforcement efforts against unlicensed online gambling.

Judge Denies Kalshi's Bid to Block New York Gambling Enforcement
Kalshi has appealed after a federal judge refused to halt New York's enforcement efforts.

Ex-New Hampshire Senator, Casino Owner Pleads Guilty to Stealing $250,000
Although prosecutors and the judge seemed to support the one-year, one-day length, sentencing will not be determined until an upcoming hearing.

North Carolina Budget Adds Tax on Prediction Markets
The state's latest budget includes new taxes for both sportsbooks and prediction market operators.

California Judge Rules Against State Limitation on Cardrooms
A successful installment of the protocols would’ve resulted in cardrooms losing their right to offer blackjack-style games and limited other options.

Alberta Adds More Gaming Operators Ahead of July 13 Launch
The province's list of approved online gaming operators continues to expand before launch.

