VGW to exit New York sweepstakes market amid rising regulatory uncertainty
Australia-based global sweepstakes gaming giant VGW has confirmed it will phase out its Sweeps Coins operations in New York over the coming weeks.
The company, which operates well-known platforms such as Chumba Casino, LuckyLand Slots, and Global Poker, began notifying players via email over the weekend. While VGW’s social gaming products — which use only Gold Coins — will remain available in New York, players will no longer be able to acquire or redeem Sweeps Coins as of 1 August 2025.
“We acknowledge increased interest in our innovative industry that millions of Americans enjoy, and are committed to respectful engagement on establishing modern, appropriate regulatory structures that benefit players and states alike,” a VGW spokesperson told Sweepsy.
Timeline of phase-out
VGW has laid out a gradual off-ramp for its New York-based Sweeps Coins offering:
- June 2: 바카라ers will no longer be able to receive Sweeps Coins — not through purchases, mail-ins, login bonuses, or contests.
- July 2: All gameplay using Sweeps Coins will be disabled, and mail-in requests will no longer be accepted.
- August 1: Final date to redeem Sweeps Coins for prizes; after this, redemption will no longer be possible.
Despite this sweeping change, users in New York can still access VGW’s suite of games using Gold Coins, the company’s free-to-play virtual currency with no monetary redemption.
Retreat from key market
VGW’s decision aligns it with a growing list of sweepstakes gaming platforms exiting New York in recent months. High 5 Casino, Hello Millions, McLuck, Funzpoints, and others have already pulled back from the state, citing evolving legal uncertainty.
Though no law banning sweepstakes gaming has yet been enacted, a bill introduced in March by State Senator Joseph Addabbo — S9226 — aims to outlaw the industry in New York. Its companion bill, Assembly Bill 6745, is currently awaiting a committee hearing scheduled for May 28, with little time left in the legislative session ending June 12.
While VGW is not a member of the Social and Promotional Games Association (SPGA) — the group that issued a statement in March urging members to reassess their operations in New York — it is part of the recently established Social Gaming Leadership Alliance, which shares similar goals of engaging with regulators.
“This decision wasn’t taken lightly and was made at this time in the best interests of all our stakeholders,” VGW said in a statement. “We are 100 percent focused on ensuring players are fully informed about the changes, and that this transition is as smooth and seamless as possible.”
Industry observers see VGW’s exit as a proactive compliance decision — one aimed at preserving long-term viability in a market where enforcement is unclear but the scrutiny is real.
While New York hasn’t yet banned sweepstakes gaming, its size and influence make it a bellwether state. With no state-specific revenue data available — due to the unregulated nature of sweepstakes gaming — it’s still widely assumed that states like New York, California, and Texas generate a significant portion of national traffic and income.
VGW has taken similar compliance-first steps in the past, such as raising its minimum age requirement from 18 to 21 earlier this year. The company has also excluded states like Connecticut, Delaware, Idaho, Michigan, Montana, Nevada, and Washington from its sweepstakes promotions.
“VGW has operated in North America for more than a decade, creating not only great games, user experiences and entertainment, but ensuring this is done safely, responsibly and at the highest level of standards,” the spokesperson said.
Looking ahead
Despite legislative inertia, the sweepstakes gaming sector continues to face an uncertain path in New York. VGW’s exit — arguably the most high-profile to date — highlights just how volatile the regulatory landscape has become for this once grey-area niche of the online gaming industry.
