Sweepstakes casinos · Regulatory update

Florida Sues Stake.us and VGW, Targets Payment Processors Too

Florida's attorney general filed two lawsuits calling the dual-currency sweepstakes model disguised gambling, and named the companies that move players' money.

What happened
On August 19, 2026, Florida Attorney General James Uthmeier filed two suits in Hillsborough County Circuit Court, against Stake.us and against Chumba owner VGW, also naming payment processors. They rely on state gambling law and Florida's consumer-protection statute.
Why it matters
Florida has no sweepstakes-specific ban, so it is using existing law, and naming payment processors targets the infrastructure players use to buy coins and redeem prizes.
Who is affected
Florida players at Stake.us, Chumba Casino and Global Poker, and payment companies that serve sweepstakes operators nationally.
What happens next
The cases are at an early stage. Separately, the attorney general asked major ad platforms to respond by October 23, 2026 about sweepstakes ads, according to trade press.

Updated October 4, 2026 with the attorney general’s September letters to ad platforms and VGW’s later settlement in New York.

The VGW suit covers four brands: Chumba Casino, LuckyLand Slots, LuckyLand Casino and Global Poker. The Stake.us suit covers the operator of that site. Both, according to the attorney general’s office, also name companies that process payments for the operators.

What Florida alleges

The attorney general’s release says the dual-currency model is “intentionally designed to disguise real-money gambling.” The complaint’s description is concrete. Players buy Gold Coin packages that come bundled with Stake Cash (Stake’s name for its redeemable currency) or Sweeps Coins, and according to the state those bundled coins function as redeemable wagering credits.

The suits rely on two bodies of law:

  • Florida’s gambling statutes, which the state says the games violate.
  • The Florida Deceptive and Unfair Trade Practices Act, the state’s main consumer-protection statute.

Trade press reported the processors named as Worldpay, Trustly, Praxis and Breeze Labs. We have not confirmed that list against the complaints themselves.

Why naming payment processors matters

Most state actions against sweepstakes casinos have targeted operators, several of which are incorporated outside the US. A sweepstakes site cannot sell coin packages or pay prizes without payment companies. California’s AB 831, which took effect at the start of 2026 under the state’s standard effective date, already bars payment processors and other suppliers from knowingly supporting these games. Florida is testing a similar idea through litigation instead of a new statute.

If processors pull back, players could see fewer payment and redemption options or slower payouts, even in states where the operator still accepts them. That is a possible effect, not one we have observed.

Florida’s path so far

Florida never passed a sweepstakes ban. A 2026 bill to create one did not advance, according to a June 2026 legislative roundup. Operators’ own rules already treat Florida differently: Modo’s official rules cap Florida redemptions at $5,000 per entry period, and Zula’s cap a single Sweeps Coin win in Florida below 5,000 SC.

In September 2026, the attorney general sent letters to Google, Meta, Reddit, Snap and TikTok about sweepstakes casino advertising, asking for responses by October 23, 2026, according to Gambling Insider. We have not seen the letters themselves.

Who is affected

Florida players at Stake.us, Chumba and Global Poker can still use these sites unless the operators decide otherwise or a court orders a change; a lawsuit alone does not shut anything down. If you hold a Sweeps Coin balance, it is reasonable to know your operator’s redemption minimums and timelines. When operators exit a state, the usual pattern is that purchases stop first, then play, then a final window to redeem.

VGW is now fighting on several fronts. Three weeks after Florida sued, it agreed to an $8 million settlement with New York’s attorney general (our coverage), and it closed LuckyLand Slots in September (our coverage).

What happens next

The cases are in state court. The Social Gaming Leadership Alliance, an industry trade group whose named members include VGW, describes the model as marketing rather than gambling and has asked states to regulate it rather than ban it. We will update this article when there is a ruling or settlement.

For how the two-currency system is supposed to work, read how sweepstakes casinos work. State-by-state status is in our sweepstakes legal tracker. If you are weighing other sites, our Chumba Casino alternatives page compares them using operators’ own published rules.

Comparison

Chumba Casino Alternatives

Five sweepstakes casinos like Chumba, with honest fit notes, why players are looking elsewhere, and which states have no compliant alternative at all.

Guide

How do sweepstakes casinos work?

A step-by-step guide to sweepstakes casinos, from sign-up and Gold Coins to Sweeps Coin playthrough, KYC and redemption, plus the legal logic behind free entry.