The Maryland Lottery and Gaming Control Agency has again ordered Chumba Casino and LuckyLand Slots to stop offering their sweepstakes games to people in the state. Both brands are owned by Virtual Gaming Worlds (VGW), an Australian company that runs several social and sweepstakes casinos.
Regulators say the sites amount to illegal online gambling because they do not hold a state license. The new letters, as reported by SweepsCasinos.US, repeat demands first made in the spring and give the operator a short deadline to explain how it will change or end its activity in Maryland.
How the First Maryland Warning Set the Stage
Back in March 2025, the Maryland regulator sent a formal cease-and-desist to VGW over Chumba and LuckyLand. The letter said the sites were offering casino-style games in the state without a Maryland gaming license, which is required for any legal online gambling product.
Officials also stressed that, under current law, the only legal online options in Maryland are online sports betting and fantasy contests, not slots or other Maryland online casino games delivered through sweepstakes models.
VGW was told to confirm in writing whether it was offering online gaming to Maryland players and, if so, to provide a full description of all games and contests. The company was also asked to share any legal opinions it was relying on to argue that its products were allowed under state law.
The regulator gave VGW a firm deadline in late March to respond and made clear that failing to do so could lead to further action.
What Maryland Wants from the New Letters
The new cease-and-desist letters, sent in November, follow up on that earlier order. Maryland again asks Chumba Casino and LuckyLand Slots to confirm that they received the notice and to reply within about 10 days.
The regulator wants to know whether the sites will keep running online slots, poker-style games, and sweepstakes promotions for Maryland residents or whether they plan to exit the state.
Regulators also ask VGW to provide an effective shut-down date if the company agrees to stop any unlicensed games. As in the first round of letters, the agency is seeking detailed information about how the platforms work in practice, including how players buy and use coins, how prizes are awarded, and what Maryland customers currently see when they log in.
The letter warns that ignoring the order could hurt VGW’s chances of receiving any future license or registration from the state.
What It Means for Maryland Players
Sweepstakes casinos such as Chumba and LuckyLand use a dual-currency system. One type of coin is meant for social play, while another can sometimes be redeemed for cash prizes. Operators argue this makes their products different from traditional online casinos.
Maryland and other regulators, however, say that when players buy packages that include redeemable coins and then spin slot-style games, the activity still looks like unlicensed casino gambling.
Maryland’s actions are part of a wider pattern. States like Michigan and Delaware have also sent cease-and-desist letters to VGW or other sweepstakes operators, leading some brands to scale back or leave those markets. Lawmakers in several jurisdictions are now debating whether to ban or tightly regulate sweepstakes casinos while keeping space for licensed sportsbooks, state lotteries, and fantasy sports.
For Maryland players, the latest letters are a reminder that these sweepstakes sites are not treated as legal online gambling by the state. Regulators continue to point residents toward regulated MD sportsbooks and other licensed products if they want to wager online while staying clearly within state rules.
The final outcome will depend on how VGW responds, but the pressure on sweepstakes casinos in the U.S. market is clearly increasing.
