Sweepstakes trade body blasts Play’n GO: “This industry deserves better”
Supplier’s insistence that it would never provide games to sweepstakes has been called into question by the Social & Promotional Games Association
The Social & Promotional Games Association (SPGA) has accused Play’n GO of hypocrisy one month on from the supplier pledging that it would “never supply games to sweepstakes casinos”.
The sweepstakes trade body took to LinkedIn to issue a scathing review of the Malta-based company, following the declaration from key figures within Play’n GO’s hierarchy citing their reasons behind the stance, which included the burgeoning sector’s lack of a regulatory framework and the subsequent lack of player protection.
As a sector, sweepstakes continues to come under increasing scrutiny, with Montana becoming the first US state to officially ban online sweepstakes on 23 May, while Louisiana looks set to follow suit after its House voted in favour of a veto.
Those who oppose online sweepstakes have suggested that the dual-currency model enables users to essentially partake in unlicensed sports betting and casino games.
Weeks prior to developments in Montana, Play’n GO CEO and co-founder Johan Törnqvist, head of government affairs Shawn Fluharty, and chief commercial officer (CCO) Magnus Olsson all publicly distanced the supplier from the vertical.
Törnqvist said: “Sweepstakes casinos do not operate inside a regulated framework and that’s not something we support. Our commitment to regulated markets is absolute. We will never supply our games to sweepstakes casinos.”
That claim has since been called into question by the SPGA, which referenced a report first published by industry newsletter Compliance+More, on June 3, that alleged several Play’n GO titles can be found on some black market sites in Europe.
The newsletter noted that a Costa Rica-based entity called EOD Code SRL that runs several black market and crypto casinos, advertises offering multiple Play’n GO titles on its platforms.
“Just last month, Play’n GO proudly soapboxed us all, proclaiming they’d ‘never support unregulated markets’,” wrote the SPGA. “Today, we learned … they already do.
“According to Compliance+More, Play’n GO titles, including some of their most popular games, are live on black market sites targeting users in Germany and the Netherlands. These aren’t sweepstakes platforms. These are actual gambling sites operating without licences in regulated jurisdictions.
“Yet Play’n GO chose to attack legal, free-to-play sweepstakes games, which are enjoyed responsibly by millions, while quietly benefiting from distribution with shady offshore black market operators.
“This industry deserves better than companies who talk tough in public while looking the other way in private. If you’re going to preach integrity, you better live it, not just when it’s convenient.”
In response to the Compliance+More accusations, a Play’n GO spokesperson said: “Play’n GO vociferously supports regulated markets around the world, and we don’t just talk the talk. Play’n GO closely monitors our traffic and notifies operators immediately when we see that things aren’t right.
“We currently see close to zero traffic from unlicensed operators in regulated markets like the Netherlands or Germany, as little as one to two euros a day, which can be attributed to various issues including VPN generated traffic.
“In the Netherlands, we are licensed and are required to follow the supplier regulation. There is no such license in place in Germany yet, though Play’n GO would strongly welcome the implementation of one.”
The spokesperson continued: “Our commitment to regulation is clear and we go above and beyond the requirements with IP blocking, geo fencing and other mechanisms. The two sites referenced seem to be customers of several large resellers and appear to hold international licenses allowing them to provide games to pre-regulated markets.
“If there is suspicion that they are also providing games to regulated jurisdictions without the proper licences in place, then the relevant regulators should be notified so they may take appropriate action.”
In addition, Play’n GO has responded to the SPGA’s comments. Fluharty stated: “Many operators around the world recognise the value of Play’n GO’s IP and use our games to market their sites to players. That does not always mean our games are playable in every jurisdiction with those operators. Our games are not playable on the site for players based in the regulated jurisdictions mentioned recently in the press. This is a blatant falsehood.
“I would go further and state that while Play’n GO continues to play by the rules, sweepstakes casinos continue to operate through illegal loopholes, which is why state after state is taking action against them, and it looks likely that Louisiana and Connecticut will ban sweepstakes casinos this week.
“They can’t stand on their own facts or principles, so they have no choice but to deflect. It’s all a bit desperate and tells you more about them than us.”
In other SPGA news, the trade body bemoaned the decision from the Louisiana House to unanimously back the sweepstakes ban via a vote of 99-0.
Should the legislation, Senate Bill 181, be signed into law, a blanket ban on the vertical would come into effect on 1 August 2025.
In response to the development, the SPGA said: “We’re disappointed by the vote in the Louisiana House. Legal sweepstakes platforms operate under well-established guidelines and are used by millions of adults, including Fortune 500 companies like Microsoft and Starbucks, to engage consumers through lawful, free-to-play promotions.
“This bill carelessly conflates legal entertainment with illegal gambling, without evidence of [gambling-related] harm. It also threatens Louisiana’s economy by stifling digital innovation and driving compliant companies out of the state. It’s a step backward for consumer choice, lawful innovation and common sense.”