Sweepstakes in the crosshairs in West Virginia

Attorney General of West Virginia Addresses Concerns Surrounding Illegal Gambling Operations

In a significant development for the gambling landscape, West Virginia has joined the ranks of states taking a proactive stance against illegal gaming activities, particularly those associated with “sweepstakes casinos.” These operations have been under scrutiny for leveraging sweepstakes prize models to attract customers, often circumventing established regulations.

According to insider information obtained by Casino Reports, Attorney General JB McCuskey is poised to initiate legal actions against sweepstakes operators unlawfully targeting West Virginia residents. This could involve the issuance of subpoenas or cease-and-desist orders aimed at halting their operations within the state.

While Attorney General McCuskey has not officially confirmed these actions, his recent statements highlight a clear concern for consumer protection. In a statement issued to Casino Reports on January 29, McCuskey elaborated on his office’s dedication to safeguarding West Virginia residents, particularly vulnerable populations, from potentially predatory gaming practices.

“We have serious concerns about West Virginia consumers, specifically children, being targeted by illegal gambling operations,” McCuskey articulated. “My primary focus has always been to protect consumers and ensure that our children are not exposed to these unregulated entities or their advertising. Concurrently, we aim to support licensed operators who are compliant with legal standards. At this moment, we cannot comment on specific cases or provide additional details.”

Having assumed office on January 13, following his election in November 2024, McCuskey’s commitment to regulatory oversight marks a pivotal moment in West Virginia’s gambling regulation framework.

Overview of Regulated Online Casinos in the U.S.

West Virginia stands out as one of the seven states in the U.S. that permit legally regulated house-banked online casino operations. The other states in this category include New Jersey, Pennsylvania, Michigan, Delaware, Connecticut, and Rhode Island. Notably, West Virginia ranks fourth in the number of licensed operators available to players, boasting seven regulated iCasinos under the governance of the West Virginia Lottery Commission.

The state has seen a strong influx of reputable online gaming brands, including DraftKings, BetMGM, BetRivers, Caesars, FanDuel, Golden Nugget, and Fanatics, all of which launched their online casino platforms in West Virginia between 2020 and 2023.

In contrast, sweepstakes casinos operate outside the confines of regulation and taxation across the United States, raising serious questions about their legitimacy and impact on consumer safety.

For comprehensive coverage of this evolving story, including insights into regulatory developments, follow Casino Reports—a leading independent publication committed to providing in-depth news and analysis on the regulated U.S. online casino and iGaming industry.