What Happened to Stake.us?

Stake.us emerged in 2022 as the U.S.-facing arm of the broader Stake brand, specifically designed to operate within the legal framework of sweepstakes laws in states where traditional online gambling is restricted. It distinguishes itself from Stake.com, its international real-money casino and sportsbook, by utilizing a dual-currency system: Gold Coins for entertainment play and Stake Cash, which can be redeemed for cryptocurrency or digital gift cards, thereby avoiding direct real-money wagering.

The platform is owned by Easygo, an Australian company founded by entrepreneurs Ed Craven and Bijan Tehrani, and is operated in the US through Sweepsteaks Limited, a Cyprus-registered entity. This model initially allowed Stake.us to rapidly expand its presence across many US states, offering a wide array of casino-style games, including slots, table games, and live dealer options from various providers.

However, starting in late 2025 and intensifying into 2026, Stake.us has encountered significant legal and regulatory challenges. Numerous class-action lawsuits have been filed in states such as Ohio, California, Virginia, and Illinois, alleging that the platform's sweepstakes model effectively constitutes illegal online gambling. These lawsuits often contend that 'Stake Cash' functions as real money and that the platform misleads users by presenting itself as a legal sweepstakes site. High-profile celebrity endorsers, including rapper Drake and streamer Adin Ross, have also been named in some of these legal battles, accused of promoting the platform as a social casino while allegedly using 'house money' to downplay losses.

In response to mounting legal pressure and cease-and-desist orders from state gaming boards, Stake.us has begun withdrawing from several key markets. For instance, Montana and New Jersey banned sweepstakes casinos in May and August 2025, respectively. By December 2025, Stake.us exited California and Tennessee, followed by Illinois in May 2026, after receiving cease-and-desist letters from the Illinois Gaming Board. These withdrawals have reduced its availability, with the platform currently legal in 33 out of 50 US states as of July 2026.

As of August 7, 2026, Stake.us remains operational in its permitted states, continuing to offer a large library of games and regular promotions. The ongoing legal battles and evolving state regulations highlight a broader debate over the legality and classification of sweepstakes casinos in the US, with experts noting that the outcome of these cases could significantly impact the entire industry.