Chumba, Other Sweepstakes Casinos Begin Exiting New Jersey

Several sweepstakes casinos, including VGW’s Chumba Casino, LuckyLand Slots, and Global Poker, are beginning to exit New Jersey, even though the state’s proposed ban on the platforms has not become a law yet.

The state legislature passed Assembly Bill A5447 on June 30, which defines illegal gambling as any game in which players pay an entry fee to win prizes. It still awaits Governor Phil Murphy‘s signature to become law.

Ban Awaits Governor’s Action — Or Inaction

A5447 carves out exceptions for traditional sweepstakes but would effectively prohibit sweepstakes casinos, which operate by offering “free” play through promotional coins that can be redeemed for prizes or cash.

Nearly a month after its passage, Gov. Murphy has yet to take action. However, under New Jersey law, even if the governor takes no action, the bill will automatically become law after 45 days via pocket approval. That deadline falls on August 14.

Despite the law not yet coming into effect, a growing list of sweepstakes casinos is choosing to exit now rather than wait for the measure to be finalized.

VGW to End Sweeps Play on July 29

Last week, VGW notified New Jersey users via email that it would phase out Promotional Play across its platforms in the state. The move mirrors the company’s strategy in other states, such as New York.

Per VGW’s email, players will no longer be able to earn Sweeps Coins starting July 29. This includes various promotions, such as daily login rewards, contests, and gifts with Gold Coin purchases.

Users can still play with available Sweeps Coins until August 26. After that day, they can no longer use the premium coins but can still redeem any eligible Sweeps Coins.

Starting September 24, players will no longer be able to play in Promotional Play in New Jersey. While that will no longer be available, the email states that users can still play on the platform in Standard Play using Gold Coins.

Over a Dozen Sweepstakes Operators Have Already Left

VGW’s brands join several others that have already ceased operations in the Garden State. Stake.us exited New Jersey in February as part of a broader retreat from states with legalized online casinos.

B-Two Operations Limited, which operates brands such as McLuck Casino, Hello Millions, Mega Bonanza, Jackpota, PlayFame, and Spinblitz, has also exited the New Jersey market.

Other platforms that no longer serve New Jersey include:

• Baba Casino
• Carnival Citi
• Funzpoints
• Jefebet
• Legendz
• Modo.us
• Moonspin.us
• Pulsz Casino and Pulsz Bingo
• Spree

High 5 Casino May Have Reversed Its Exit

Like Stake.us, High 5 Casino announced in February that it would be exiting all iGaming states. But High 5 Casino’s terms and conditions, last updated on July 23, do not list New Jersey as a restricted jurisdiction.

The platform’s original decision was likely linked to regulatory action in Connecticut. At the time, the Connecticut Department of Consumer Protection’s Gaming Division suspended the content provider license of High 5 Games, its parent company, for real-money online casinos.

The company and the regulator reached a settlement at the end of May, reinstating the license. The regulatory resolution may have prompted High 5 to reconsider its exit strategy, as it no longer lists some states with real-money online casinos, including New Jersey, as restricted.

Notably, High 5 Games also faces a class-action lawsuit in New Jersey. The plaintiffs seek to recover losses incurred by state residents through illegal gambling on High 5 Casino.