Who Got Hit
The orders, issued February 5 in coordination with the Illinois Attorney General’s office, target more than 60 platforms accused of offering unlicensed games of chance to Illinois residents.
Among those named:
- VGW Holdings (parent company of Chumba Casino and Luckyland Slots)
- Global Poker
- Stake.us
- Pulsz
- Modo
- Fliff
- Funrize
- Fortune Coins
These aren’t fringe operators. They’re some of the most recognizable brands in the sweepstakes and social casino space.
The directive demands that companies immediately block Illinois residents from accessing their sites and stop offering prizes to users in the state. Failure to comply could trigger civil or criminal penalties.
Illinois Isn’t Debating, It’s Enforcing
The Gaming Board says these platforms violate the Illinois Criminal Code by offering games of chance over the internet without a license.
Operators often argue their virtual currency systems make them legal. Players buy one type of digital coin, receive promotional coins as bonuses, and use those to play games that can award cash or gift cards.
Regulators say if players can stake something of value for a chance to win something of value, it qualifies as gambling, no matter how creative the description is.
From the Board’s perspective, this isn’t a gray area or a legal experiment. It’s unlicensed gambling. And unlicensed gambling gets shut down.
This Didn’t Start Yesterday
If this feels familiar, that’s because it is.
In February 2025, Illinois issued 11 cease-and-desist letters targeting offshore sportsbooks and fantasy platforms, including Bovada and BetOnline. It also went after prediction market operators like Kalshi, Robinhood, and Crypto.com for offering sports contracts without state approval.
Illinois started with offshore books. Then it went after prediction markets. Now sweepstakes casinos are up. The enforcement net is expanding.
What’s Driving It
Illinois already has 15 licensed casinos and a fully regulated sports betting market. Those businesses pay taxes. They follow state rules. They answer to regulators.
Sweepstakes and other unlicensed platforms don’t.
State officials argue that when online operators operate without approval, they’re not just dodging paperwork. They’re undercutting tax revenue and bypassing the consumer safeguards that licensed operators are required to follow.
Gaming Board Administrator Marcus Fruchter has previously said illegal operators threaten responsible gaming safeguards. Attorney General Kwame Raoul has gone further, warning that unlicensed gambling leaves players exposed.
So this is not about the morality of gambling. Illinois already allows and profits from it.
What regulators are saying is: if you want access to Illinois players, you have to pay taxes, follow the rules, and build in the same consumer protections everyone else does.
If you don’t, you’re not competing. You’re operating outside the system. And that’s what the state is moving to shut down.
What Happens If Companies Ignore It?
The board isn’t just sending letters and hoping for the best.
The orders were coordinated with the Attorney General’s office, and regulators have made it clear they’re ready to escalate and use all available enforcement tools if operators refuse to comply.
Last year, many platforms quietly exited after similar warnings. The question now is whether that pattern repeats or whether someone decides to push back.
The Bigger Picture
Illinois hasn’t legalized online casinos. That’s the key detail.
In places where online casino gaming is legal, lawmakers can at least debate whether sweepstakes platforms should be regulated instead of banned. Illinois doesn’t have that debate. There’s no system to fold sweepstakes sites into, no license they can apply for, no middle lane.
So the state is choosing the only available path, and that’s enforcing the existing laws. enforce.
Other states like Michigan and Connecticut are also tightening the screws. Illinois just happens to be doing it without introducing splashy new legislation.
Where Things Stand
For now, the ball is in the operators’ court.
They can block Illinois players, pull out quietly, and treat this like other states where enforcement got too hot. Or they can dig in and challenge how Illinois defines gambling in the first place.
What’s clear is that the state has made up its mind. Illinois no longer sees sweepstakes casinos as a quirky gray-area experiment. It sees them as unlicensed gambling.
Sixty-five cease-and-desist orders aren’t a warning shot. They’re a statement. If last year was the warm-up, this is the main event.
Blaise Luis
