Sweepstakes Service Provider VGW Exiting New York State in Response to Advancing Legislative Measure on Oversight
A Senate bill in New York is pursuing efforts to curb online sweepstakes casinos, with the legislative process already progressing. The bill, identified as SB5935, has reached a third reading in the Senate and is being paired with an Assembly version, A6745, for joint consideration.
The intended objective of the bill is to stop the proliferation of online sweepstakes games that mimic gambling operations. Central to this objective is the regulation of "dual-currency systems," a concept the New York State Gaming Commission will define to ensure compliance.
In response, the Social and Promotional Games Association (SPGA) has expressed concerns that the bill may impact legitimate businesses. They argue that the recent amendments do not fully address these issues, with penalties for violations ranging from $10,000 to $100,000.
With the New York state legislature set to recess on June 12, 2025, there is a limited time for lawmakers to finalize and reconcile the Senate and Assembly versions of the bill. It is crucial to note that during the shutdown of these casinos, scheduled from June to August, customers will be given time to utilize their coins.
Grant Mitchell, a professional journalist with a background in Virginia Tech and sports betting, will provide up-to-the-minute coverage of headlines in the sports betting industry. Grant, who has worked with reputable entities such as Forbes and VSiN, aims to deliver detailed and timely reports. When he's not engaging in journalism, he enjoys exercise, urban exploration, and watching sports events. To read more of Grant's work, visit the link provided.
- The New York Senate bill, SB5935, seeks to regulate online casinos, including poker and progressive jackpot games, to halt the spread of illicit gambling activities that resemble traditional casinos like those found in Las Vegas.
- The social and promotional games industry, represented by the SPGA, fears that the bill may inadvertently affect legitimate businesses, citing concerns about the potential impact of the amendments and harsh penalties for violations reaching up to $100,000.
- Online sports betting and blackjack platforms are not exempt from the proposed regulations, as the New York State Gaming Commission will define the concept of "dual-currency systems" to ensure compliance.
- In the financial landscape of the online casino and gambling industry, Grant Mitchell, a seasoned sports betting journalist, offers comprehensive and timely coverage of developments in New York, aiming to bring clarity to an evolving sector.
