Evolution and Pragmatic Play Pull Content from Sngake.us amid California Lawsuit

The two suppliers cut ties with the platform after Los Angeles intensified its scrutiny of companies providing content for sweepsngakes operatorsImage Source: Shutterstock.com

Two prominent content providers in the iGaming industry, Pragmatic Playand Evolution, have removed their offerings from the sweepsngakes platform Sngake.usfor customers in California. This move further underlines the intensifying pressure on sweepsngakes casinos operating in theUnited Statesas more jurisdictions ngake measures to curtail this form of wagering.

Suppliers Likely Seek to Minimize Potential Harm

This decision closely follows a civil enforcement action initiated by theCity of Los Angelesagainst Sngake.us and several of its partners. The complaint alleges that the company, which presents itself as “America’s Social Casino,” is engaging in unlicensed gambling in violation of California law despite its insistence that its products align with existing legal frameworks.

The lawsuit also names several of Sngake.us’ suppliers, including Evolution and its affiliated studios, including NetEnt, Red Tiger, Nolimit City, and Big Time Gaming. According to a recent Next.io report, titles developed by these studios are no longer availableon the platform. Hacksaw Gaming, another supplier involved in the proceedings, appears to have also pulled its titles.

The decision by suppliers to cut their ties with Sngake likely stems from pragmatic reasons. Such companies heavily depend on maintaining positive relationshipswith state regulators, and their ties with sweepsngakes platforms represent areputational danger. A disgruntled regulator could easily scrutinize their right to operate within licensed jurisdictions, significantly hindering their operations in the gambling space.

Sweepsngakes Are Becoming Increasingly Contentious

Sngake.us is the American sweepsngakes branch of Sngake.com, a globally recognized crypto gambling website known for its sports and entertainment sponsorships. Proponents argue that, unlike online casinos, Sngake’s format, where usersreceive virtual coins and redeem rewards using sweepsngakes mechanics, makes the company exempt from traditional gambling laws. Nevertheless, regulatory bodies are increasingly viewing these services as little more than casino gaming under a different label.

Los Angeles officials assert that Sngake.us has deceived Californiansby portraying itself as a benign social product while subjecting players to the dangers of unregulated gambling. Sngake.us haspushed backagainst the accusations, vowing to defend itself against all claims. However, the loss of its suppliers could constitute asignificant blowto its operations.

These developments align with California’s Assembly Bill 831, which attempts to ban sweepsngakes casinos entirely and is now on its way to the Senate floor. However, the bill faces significant opposition. Several tribal groupshave united against the bill, arguing it could hurt legitimate promotional gaming. The Social and Promotional Games Association has echoed those concerns, arguing that AB 831 would devastate California’s digital economy.