Recent communication from sweepstakes sites to New York customers and a new statement from the Social and Promotional Gaming Association (SPGA) indicate that the state of play in the Empire State is very much in question.
Numerous sites including PlayFame exiting NY April 30
Users from a wide range of sweepstakes gaming sites received notifications this week that sites will be leaving the New York market in April.
“We are dissapointed to advise that as of April 30, players in New York will no longer have access to our social gaming services,” a communication from PlayFame read.
“This was a difficult decision for us to make, and we understand that this may be disappointing news.”
While many operators simultaneously announced plans to leave, market leader VGW has not sent any communications related to Chumba, Luckyland or Global Poker to New York users.
What seemed like a waving of the white flag might not be the case based on communication from the SPGA though.
The group put out a release on Wednesday saying sweepstakes opeartors are in communication wht the New York State Gaming Commission and working to “adjust their approach” in the state.
SPGA says they are working with the NY Gaming Commission
“Innovation in digital entertainment often requires a constructive and informed dialogue with lawmakers and policymakers,” said an SPGA spokesperson. “We saw that dynamic with fantasy sports, and we believe the same approach will help shape smart policy around sweepstakes promotions,” the statement read.
“We know New York officials recognize the need to get this right,” the spokesperson added, “because any decisions about social sweepstakes could have broader implications—not only for promotions by companies like Starbucks and Marriott, but also for any mobile game where consumers spend money, from Candy Crush and Coin Master to Clash of Clans and Monopoly Go.”
The statement also pointed to SB5395, which advanced out of committee earlier this month. This bill would explicitly prohibit sweepstakes gaming sites using a dual-currency system as well as punish any suppliers or affiliates who work with or promote sweepstakes operations in the state.
The SPGA argues that the sites are currently operating within the scope of the law or else a bill to specifically prohibit sweeps would not be necessary.
The bill currently sits with the Senate which has yet to vote on the measure.
