The Current: VGW Leads New Sweepstakes Gaming Group

The Chumba Casino and Global Poker parent company gets involved in advocacy. Gambling news roundup: Kalshi partners with Elon Musk's xAI; PrizePicks does fantasy deal with MLB's Houston Astros.

May 20, 2025

The sweepstakes casino industry is getting a new trade group, and this time it includes the biggest operator in the space.

VGW — the company behind Chumba Casino, Luckyland Casino and Global Poker — is one of several companies that is a part of the newly announced trade group called the Social Gaming Leadership Alliance.

This is a different group than the Social and Promotional Games Association, which represents a different group of companies. The group comes into existence as the sweepstakes gaming industry has faced increasing regulatory and legislative pushback on the business model across the US.

The executive director of the SGLA is Jeff Duncan, a former member of the U.S. House of Representatives from South Carolina’s Third Congressional District. More from Duncan in a release about the group’s formation:

“Social games industry leaders are already investing heavily in financial security, data privacy, responsible social gameplay and consumer protections. And they are ready and open to sensible regulation that can benefit hard-working constituents in the states where they operate.
The SGLA’s partners are uniquely positioned to work with lawmakers, stakeholders and players to support innovation in digital games and ensure millions of Americans have the freedom to enjoy the games they love in a safe environment. I look forward to working with state and industry leadership to do just that.”

Ifrah Law has been at the center of advancing iGaming in the U.S., shaping groundbreaking legislation, leading precedent-setting cases, and guiding clients that span the iGaming ecosystem through every phase of their business journey. Learn more at IfrahLaw.com.

The SGLA offered this quote from Laurence Escalante, the founder and CEO of VGW:

"As a pioneer and market leader, we recognize the rising interest in our sector and our responsibility to both ensure the facts about our games, operations and standards are understood, and advocate for what we believe the appropriate industry frameworks should look like.

“VGW has consistently led the way in innovation and player-first practices. Now, we’re excited to establish this Alliance with like-minded partners to take this further, promoting the highest standards of player protection and industry integrity while advocating for sensible regulatory frameworks that reflect the role of online social games as a safe and growing component of the interactive entertainment industry.”

Who’s in the SLGA other than VGW?

B-Two Operations (McLuck, Hello Millions, Spin Blitz)
Yellow Social Interactive (Pulsz)
ARB Interactive (Modo Casino)
PLAYSTUDIOS (while its brands are not listed as operator partners, the company powers MyVegas, which is the official mobile and Facebook game of MGM Resorts, among other platforms. The company mentioned its plans in the sweepstakes sector in its Q1 results.

Also a part of the group is Nuvei, a payments provider.

A few notes about the SGLA, both from its announcement and from my observations:

The messaging for the group seems pretty tight and focused. Here are the “principles” that the member companies are supposed to adhere to:
- Free to play: Online social games can always be enjoyed for free. No purchase is ever required to play.
- Responsible social gameplay: All types of online games should be safe, fun and fair. Our partners monitor behavior, train staff, and offer players tools to manage their play responsibly.
- Protecting players, platforms and the community: Best-in-class financial crime prevention, security protocols and data protection measures are a must.
- Age-restricted platforms: We believe casino-themed games are only for adults and require implementation of robust age verification processes to prevent access by minors.
The group is only working on the issue of sweepstakes/social casinos. The SGLA notes “Our advocacy does not extend to operators offering sports products or transacting in cryptocurrency.” “No sports” is certainly an interesting line to draw in the sand. It’s worth noting that VGW did have a sweepstakes sports betting brand called Fendoff that it abandoned years ago.
What the sweepstakes industry needs to do in the public sphere, the SGLA is attempting to offer. It needs to have real people and brands behind the group, publicly. And it appears to be ready to take on some actual advocacy and not just PR. Neither of these things was happening effectively with the SPGA.
VGW has decided not to go it alone here. Trying to create a self-regulatory body with other major operators should be a more effective tack than VGW lobbying on its own.

Will it make a difference in the future of the sweepstakes casino industry? We’ll find over the coming months and years.

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Gambling news roundup

Kalshi, Elon Musk's xAI Ink Deal For Content (Event Horizon): “Prediction market platform Kalshi and Elon Musk’s artificial intelligence company xAI are partnering. According to a report from Bloomberg (paywall), xAI will be used ‘to provide tailored information to offer guidance for bets made by the site's users.’”
- So, the way I am reading this is Elon is now a tout for Kalshi’s platform?
- For some reason, Kalshi CEO Tarek Mansour deleted both a tweet and a LinkedIn post about the announcement.
- Slightly off topic but still on Kalshi: The prediction market platform likes to insist it isn’t a gambling platform. It has largely stopped using “betting” language in marketing, but it’s still posting things on social media that imply otherwise, like this Instagram post; “I can bet on the temperature and make money. You can bet on the weather with Kalshi,” the speaker says:
PrizePicks Named Official Daily Fantasy Partner of The Houston Astros (press release): “PrizePicks, the largest daily fantasy sports operator in North America, announced today that it has been named the Official Daily Fantasy Sports Partner of the Houston Astros. The multi-year partnership features digital and in-stadium activations at Daikin Park, building on the DFS leader's growing presence around Major League Baseball. As part of the partnership, PrizePicks branding will be showcased prominently throughout Daikin Park with featured static and rotational signage throughout the ballpark. PrizePicks will also be featured on the Astros Radio Network with sponsored ‘More or Less’ segments prior to each game. ‘This partnership is all about bringing more fun and bigger rewards to PrizePicks players in Houston,’ said Mike Quigley, Chief Marketing Officer at PrizePicks. ‘We're rolling out new promotions and experiences that make following the Astros even more exciting for fans — both at the ballpark and at home.’”
- The move comes after similar deals with two MLB teams in California. PrizePicks, not shockingly, continues to be aggressive in marketing its product in the two largest states that don’t have legal sports betting. Texas and California are the ultimate prize for legal sportsbooks down the road. But for now, those states continue to be served by fantasy pick’em/parlays, sweepstakes sportsbooks and Kalshi/Robinhood in addition to offshore sportsbooks.
Lead prosecutor of Shohei Ohtani baseball betting investigation resigns (NY Post): “The government’s ace prosecutor investigating Shohei Ohtani and betting on baseball has quietly left the mound, The Post confirmed. That might help Ohtani, former Los Angeles Angels player and Ohtani teammate David Fletcher and former Los Angeles Dodger Yasiel Puig sleep a little easier, a source close to the situation said. ‘It’s never good for the prosecution when the lead prosecutor leaves the government,’ the source said. ‘You can only hope this will remain a priority.’”
The New Normal: Sporttrade and the CFTC – Can Prediction Markets Coexist with Tribal Gaming? (Webinar, Wednesday, 1 pm Eastern): “Sporttrade, a state-licensed sports trading platform, is seeking federal approval from the U.S. Commodity Futures Trading Commission (CFTC) to expand nationwide. This move marks a significant moment in the evolution of prediction markets, raising new questions about how these platforms fit within the broader regulatory landscape of gaming in the United States — especially in relation to tribal-state compacts and long-established oversight frameworks. In the next episode of The New Normal, Sporttrade CEO Alex Kane joins us to share his perspective on innovation, regulation, and competition in a fast-changing market. We’ll explore how prediction markets are gaining traction, what distinguishes Sporttrade’s approach, and how this model could impact the future of both tribal and commercial gaming.”
Penn, HG Vora Continue War Of Words Over Third Director Nominee (Legal Sports Report): “PENN Entertainment shareholders have plenty to read leading up to next month’s annual meeting. Both Penn and shareholder HG Vora issued releases Monday, both sent directly to shareholders since they concern voting issues at the meeting. Penn’s release told shareholders that HG Vora was not seeking an injunction to delay the annual meeting, which meant there would only be two open director spots to vote on June 17, not three. HG Vora, which owns 4.8% of Penn, responded by accusing Penn of trying to hold back a board seat to fill after the annual meeting. The two have been sparring publicly since the beginning of the year, when HG Vora called Penn out for its struggling sports betting business.”
Minnesota Sports Betting Sunk Again In 2025 (Legal Sports Report): “After entering 2025 with a deal reportedly essentially in place, Minnesota sports betting legislation fell short without any major momentum. The Minnesota legislature adjourned Monday without legalizing Minnesota sports betting. A bill that would have studied the industry was also shot down.”
Tribe Prepares Alabama Sports Betting, Gambling Push (Legal Sports Report): “A powerful tribal nation in Alabama is looking at a different approach to legalize sports betting and casino gambling. According to a new report from the Alabama Political Reporter, the Poarch Band of Creek Indians will look to focus more time on gambling legalization throughout the year rather than just the legislative session. That comes after multiple legislative failures to legalize Alabama sports betting and casino gambling.”
North Carolina House, Senate Disagree on Sports Betting Tax Rate (Sports Betting Dime): “The North Carolina House of Representatives yesterday introduced their version of the state’s $66 billion two-year budget. The House is not advocating for a change in the state’s sports betting tax rate, despite a proposal in the Senate’s budget to increase the rate to 36%. It’s unlikely that either the House or Senate will agree on each others budget proposals and will likely require a conference committee to work through their differences.”
Texas Senate votes to scrap current lottery administration and change leadership (SBC Americas): “The Texas Senate unanimously passed legislation that would kill the Texas Lottery Commission but keep lottery gaming alive, at least for the time being. Late last week, the Senate voted 31-0 in favor of Sen. Bob Hall’s Senate Bill 3070, which will reallocate control of the lottery vertical to the Texas Department of Licensing and Regulation (TDLR) and make several changes to how the lottery is governed. The House has already started working on the legislation, referring it to committee for a fast-tracked discussion in advance of the end of the legislative session on June 2.”
Caesars Sportsbook Accepts Its First Sports Wagers in Oregon Through a Partnership with the Coquille Indian Tribe (press release): “Caesars Entertainment, Inc. today accepted sports wagers in Oregon for the first time, made possible through a partnership with the Coquille Indian Tribe in Coos Bay. The ceremonial first bet was placed on Caesars Sportsbook self-service wagering kiosks inside the Coquille Indian Tribe's premier gaming and hospitality destination, Ko-Kwel Casino Resort | Coos Bay, previously known as The Mill Casino, which today celebrated its 30th anniversary. Caesars has enhanced Coquille’s sports viewing experience at its premier destination with a large fleet of Caesars Sportsbook self-service betting kiosks, conveniently located on the casino floor. These kiosks feature a best-in-class wagering menu with a wide array of same game parlays, player props, futures and live in-play markets. Sports fans 21 and older can enjoy the gold standard of sports wagering, including unmatched full college sports offerings which are not otherwise available on a statewide mobile basis in Oregon, reflecting Caesars' and the Coquille Indian Tribe's shared commitment to providing world-class experiences. ‘We remain committed to supporting Indian gaming, and we’re proud to partner with the Coquille Indian Tribe to enhance their guest experience,’ said Eric Hession, President of Caesars Digital. ‘Bringing our sports wagering offering to a new jurisdiction for the first time is always significant, and we know offering our expansive menu of sports wagering markets will undoubtedly enhance the exceptional experience that the Coquille Indian Tribe provides to its guests.’”
DraftKings Pool Lets Race Fans Predict Top Wiener (Legal Sports Report): “Oscar Mayer announced Tuesday the inaugural ‘Wienie 500,’ which will see the iconic Wienermobiles race at the Indianapolis Motor Speedway. The race will pit six Wienermobiles in a race at the storied racetrack, which also hosts the Indy 500 on Sunday in Indiana. The race will be live-streamed at 2 pm ET Friday on the Fox Sports app and INDYCARonFOX social accounts. Oscar Mayer partnered with DraftKings to offer a free-to-play pool on the Wienie 500.”
- There were not enough hot-dog related things to bet on in the world, and there still aren’t even after this news.
Drake Insists There’s No Such Thing As A ‘Drake Curse,’ But His Betting History Might Disagree (Rap-Up): “Drake has definitely had some rough luck betting on sports over the years, but according to him, the ‘Drake curse’ isn’t a thing. On Monday (May 19), in a Stake promo, the ‘Hotline Bling’ rapper jokingly brushed off the idea that teams or athletes lose after he puts money on them.
‘I feel like I don’t play sports, so, whether I pick the wrong team or not…,’ Drake jokes at the start of the clip. ‘If I could get out there on the field and win for all your favorite teams, I would, but… Nah, the Drake curse is funny to me, honestly.’”