Online gambling platform Chumba Casino, along with other VGW sites, announce their departure from New Jersey.
New Jersey's AB 5447 Set to Ban Online Sweepstakes Casinos
AB 5447, a bill aimed at banning online sweepstakes casinos, has been passed by the New Jersey state legislature and is now awaiting the governor's signature. If signed into law, the bill will prohibit the operation of sweepstakes casinos in the state, leading to a market exit or operational shift by all related operators.
The bill, which was passed on June 30, 2023, states that it shall take effect immediately, meaning it will become law either on the day the governor signs it or 45 days after legislative passage (August 14) if the governor takes no action. Governor Phil Murphy has not yet signed the bill, but is expected to either sign it or allow it to take effect by default (pocket approval).
The legislation bans dual-currency online sweepstakes, increases penalties for illegal gambling, and includes provisions against proxy betting designed to prevent deceptive wagering practices. Operators like VGW, the owner of Chumba Casino, Global Poker, and LuckyLand Slots, have announced they will discontinue sweepstakes coins but will continue offering gold-coin-based games to comply with the new law.
Richard Janvrin, a graduate of the University of New Hampshire, has covered numerous aspects of iGaming, including news, reviews, bonuses/promotions, sweepstakes casinos, and legal issues. Janvrin broke into sports coverage professionally in 2015 and entered the iGaming space in 2018. His writing focuses on various aspects of iGaming, including sweepstakes casinos.
Some sweepstakes casinos had left New Jersey even before AB 5447 due to regulatory and market pressures in states where real-money online casinos operate. With the passing of AB 5447, other operators like Funzpoints, Spree, Clubs Casino, Clubs Poker, and LuckySlots.us have exited or are in the process of exiting the New Jersey market in advance of the ban.
In summary, AB 5447 is on the verge of officially banning sweepstakes casinos in New Jersey, with a firm deadline of August 14, 2025, leading to a market exit or operational shift by all related operators.
[1] NJ Online Gambling, (2023). AB 5447: New Jersey's Sweepstakes Casino Ban Bill. Retrieved from https://njonlinegambling.com/ab-5447-new-jerseys-sweepstakes-casino-ban-bill/
[2] Legal Sports Report, (2023). New Jersey Sweepstakes Casino Bill Passes, Heads to Governor's Desk. Retrieved from https://legalsportsreport.com/2023/06/new-jersey-sweepstakes-casino-bill-passes-heads-to-governors-desk/
[3] PlayNJ, (2023). New Jersey Sweepstakes Casino Ban Bill Passes Senate, Heads to Governor's Desk. Retrieved from https://playnj.com/2023/06/new-jersey-sweepstakes-casino-ban-bill-passes-senate-heads-to-governors-desk/
[4] Online Poker Report, (2023). New Jersey Sweepstakes Casino Bill Passes, Aims to Ban Dual-Currency Games. Retrieved from https://www.onlinepokerreport.com/74836/new-jersey-sweepstakes-casino-bill-passes-aims-to-ban-dual-currency-games/
- Following the passing of AB 5447, the welcome bonus for casino-games like those offered by Chumba Casino, Global Poker, and LuckyLand Slots might undergo changes as operators comply with the new law.
- The jackpot for poker enthusiasts in New Jersey could see a shift in the market, given the passing of the legislation targeting online sweepstakes casinos like Funzpoints, Spree, Clubs Casino, and Lotteries websites such as LuckySlots.us.
- Amidst the gambling trends in politics, the new policy-and-legislation, AB 5447, introduced by the New Jersey state legislature, could potentially impact the casino-and-gambling industry, with sports betting platforms possibly affected too.
- The signing of AB 5447 will have a significant effect on various casino-personalities, such as the owners of the affected operators, as well as legal advisors who specialize in policy-and-legislation related to online gambling.
- The passing of the bill could lead to a change in the general news cycle with the discussion moving from the introduction of policies to their implementation in real-world scenarios.
- As the gambling world continues to evolve, it's essential to follow the trends in casino-games, sports betting, and lotteries, paying close attention to policy-and-legislation developments like AB 5447 and the potential implications it may have on the market and various casino-personalities involved.
