Tribal Leaders in California Put Their Sites on Sweepstakes and DFS Platforms

Sweepstakes and DFS sites could soon be kicked out of the Golden State.

California’s Indian Gaming Association (IGA) is considering action to push for regulations over the state’s sweepstakes and daily fantasy sports sites. While sports betting remains illegal in the state, the two industries have thrived with little oversight. 

The IGA believes this freedom is hurting its thriving casino industry, which is meant to be the only legal form of gambling in California. 

Tribes Tired of Waiting on Government to Take Action

One driving reason for the IGA’s push is the lack of action from the state or federal government. DFS and Sweepstakes sites have been able to operate in markets across the country, including those where sports betting remains illegal. 

California tribes have sole control of gambling in the state, but these sites continue to gain popularity in the market. 

“If the states, the AGs, don’t crack down on them, the tribes will,” IGA Chair Victor Rocha said on a podcast. “We are not going in this alone. The AGA is now involved. The SBA [Sports Betting Alliance] is now involved. We can force the (National Indian Gaming Commission) to get involved.”

Tribes Going to Great Lengths to Protect Coveted Market

The IGA’s plans to push out sweepstakes and DFS sites don’t come as a surprise. The group has spent millions fighting efforts to legalize sports betting in the state, accusing proponents of dishonest practices, leading to Tribes standing firm against each attempt.

California’s casino market brings in more revenue than the Las Vegas market. Tribes are eager to protect that revenue, which could drop if third-party operators are allowed to offer sports betting, DFS, or other forms of gambling. 

Tribes Not Alone in Fight Against Sweepstakes Games

Sports betting operators in the US have also begun to call for increased regulations on sweepstakes platforms. Since PASPA was overturned, the US has seen over $400 billion wagered on sports, but operators believe there is far more to be made.

While operators and the IGA both have financial reasons to promote sweepstakes sites, legislatures nationwide have expressed concerns over their dangers. While players don’t use actual money to place wagers, they are required to buy coins. This allows these sites to exploit a loophole in US betting laws but still presents the danger of problem gambling.