The New York State Gaming Commission (NYSGC) has launched a new campaign to educate residents and visitors about the risks associated with unlawful gambling.
On Friday, the NYSGC launched its Unlawful Gambling = Risky Bets initiative, providing bettors in the Empire State with the knowledge and tools to identify unlicensed gambling platforms and protect themselves from the dangers of unlawful wagering.
The NYSGC takes direct aim at online casinos, sweepstakes casinos and prediction markets by declaring them unlawful gambling options in New York. The regulator wants New Yorkers to bypass accessing the unlicensed platforms as they fail to deliver the same consumer protections standards and procedures as required by licensed operators in the state.
In some cases, the unlicensed platforms also facilitate wagering by people under the age of 21—a violation of New York gaming rules. The illicit platforms also provide users with access to house rules and market catalogs that have not received regulatory approvals.
“Legitimate, lawful, regulated gaming—of which there are ample options—has fair wagers, player safeguards, responsible gaming measures, and societal benefits,” said NYSGC Chairman Brian O’Dwyer.
“Whereas the unlawful gambling market rips off unsuspecting individuals—including youth—who think they are making legitimate wagers to the benefit of faceless, untraceable operations. While the two may sometimes look similar, it’s clear which one is a smart wager and which one is a risky bet”.
The NYSGC declares prediction markets and sweepstakes casinos unlawful gambling options as their offerings continue to raise regulatory and legal concerns nationwide. The regulator has provided a list of lawful gaming options that are available in New York:
- Advanced deposit wagering on horse racing offered by licensed operators
- Sports wagering offered by platforms with a NYSGC gaming license
- Online raffles provided by state-sanctioned charitable organizations
- Interactive daily fantasy contests delivered by licensed operators
- The sale of lottery tickets by online couriers that hold a NYSGC license.
The NYSGC wants its residents and visitors to take action against the proliferation of unlawful wagering in New York by filing complaints with the state’s gaming regulator.
New Yorkers can also file complaints with the state’s attorney general and police. The NYSGC is providing tips for identifying unlicensed gambling platforms, which include a lack of self-exclusion or customer service options and a presence outside the U.S. market.
Lawmakers address sweepstakes casino concerns
The NYSGC considers online sweepstakes casinos unlawful gaming options after Gov. Kathy Hochul signed a ban into law in 2025. Last December, Hochul signed Senate Bill S5935, imposing a ban on sweepstakes that leverage a dual-currency system of payment.
In addition to sweepstakes operators, the measure also targets game providers, payment processors, financial institutions, media companies and geolocation firms.
Violators of SB S5935 are subject to fines that range between $10,000 and $100,000 for each violation. Potential license revocation is also on the table.
New York governor wants more safeguards
The NYSGC’s new campaign launched after Hochul asked the NYSGC in January to consider new practices to restrict underage players from accessing gambling platforms. Hochul recommended the use of biometrics to thwart underage gambling in the Empire State.
Hochul followed up with her request by working with the NYSGC in March to draft new safeguard regulations. The governor proposed restricting licensed sportsbooks and casinos from leveraging AI to target users with personalized promotions and betting options.
Hochul also proposed mandatory due diligence reviews by licensed sportsbooks. The reviews would help identify signs of potential problem gambling that include deposits of more than $10,000 in 24 hours or deposits of more than $100,000 in over three months.
Other gaming-related activity that can trigger action by the NYSGC:
- Wager of more than $1m in three months
- Three canceled withdrawals in a 10-day period
- Deposits from more than two sources within 24 hours
Hochul will continue to work with the NYSGC and key stakeholders in New York to determine steps that are needed to create a safe and rewarding gaming environment.
