Stake.us is facing a second lawsuit in Illinois, this time for allegedly using a sweepstakes model to conceal real-money gambling, upending the social casino industry.
Stake.US, a sweepstakes casino operator, is once again in legal danger, with a new complaint filed in Illinois accusing the platform of operating as a disguised online gambling site. The lawsuit, filed by Illinois resident Brayden Urdan, alleges that Stake.US functions more like a clone of its sister platform, Stake.com, which operates as a real-money crypto casino.
The complaint, filed in the Northern District of Illinois, follows the same legal course as other recent proceedings against social casinos. Urdan’s complaint charges breaches of Illinois state gambling laws and consumer protection regulations, claiming that Stake.US benefits from what they describe as illegal gambling under the guise of a “free play” model.
The problem is the platform’s dual-currency structure, which allows players to play with free tokens while still having the chance to purchase more—an approach opponents claim is a loophole meant to avoid gambling restrictions, according to SBCAmericas. The lawsuit claims that, despite being marketed as a legal option, this system is similar to real-money betting.
Also Read: AGA: Gambling contributes $329bn to US economy
It might set the tone for future interactions between US authorities and sweepstakes sites. Aside from the legal issue with Stake, Boyle has launched similar actions against other sweepstakes platforms, including Pulsz, as part of his ongoing campaign against what he calls “illegal gambling” in the state.
The case has bitten hard, leaving Stake with significant wounds to heal. The heat is on in this continuing conflict. On the one hand, California wants sweepstakes casinos out. On the other hand, Stake insists that everything is legal. The bigger question? What happens when the line between genuine pleasure and something negative is affected?
Courtesy: https://www.timesnownews.com/world/us/, https://igamingexpert.com/, https://www.igbnorthamerica.com/
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