The Social Gaming Leadership Alliance (SGLA) strongly opposes California Assemblymember Avelino Valencia’s AB 831, which would outlaw sweepstakes casino operators in the Golden State.
“We cannot look the other way while these platforms exploit legal grey areas,” Valencia said in a statement. “These operations undermine the voter-approved framework that affirms Tribal governments’ sovereign right to conduct gaming in California. AB 831 strengthens that framework and ensures gaming in California remains fair and accountable.”
Virtual Gaming Worlds (VGW) established the SGLA last month to advocate for the online social games industry. Partners include PLAYSTUDIOS, Yellow Social Interactive (Pulsz), ARB Interactive (Modo Casino), and B-Two Operations (McLuck, Hello Millions, Spin Blitz), as well as major payments provider Nuvei.
SGLA Urges California Lawmakers To Reject AB 831
The SGLA is urging California lawmakers to “uphold freedom of choice for all Californians and reject AB 831, which would ban popular, free-to-play entertainment enjoyed by millions in the state and close off a potential revenue stream for the state.”
SGLA Executive Director and former Congressman Jeff Duncan said:
“Many Californians play online games but this rushed proposal, which subverts proper process, would abruptly cut them off from popular, free-to-play entertainment they love. It was written by those involved in the gambling industry and introduced without providing the online social gaming industry any meaningful opportunity to engage.
“These parties with clear vested interests want to eliminate any and all perceived competition and are trying to deceive California legislators with a campaign of deliberate misinformation that, if successful, would close off a potential revenue stream for the state.”
Measure Could Affect All Sweepstakes Promotional Games
Duncan also noted that the legislation could affect promotions such as McDonald’s Monopoly, Reader’s Digest sweepstakes, and Pepsi Billion Dollar sweepstakes.
“We urge the California Senate Governmental Organization Committee not to pass a hasty prohibition and instead work with us to develop sensible regulatory frameworks that prioritize consumer protection while offering valuable economic opportunities,” Duncan added.
AB 831 would essentially push sweeps players toward black-market operators who “have no interest in protecting Californians, leaving only those dangerous operators who do not protect minors or vulnerable constituents.”
AB 831 Was Sponsored By SMEA
Backed by the California Nations Indian Gaming Association (CNIGA), AB 831 was sponsored by San Manuel Entertainment Authority (SMEA), the same group that operates Yaamava’ Resort & Casino.
SMEA also runs a social casino — PlayOnline — that offers sweepstakes promotions. Their promotions page lists “The Factory Sweepstakes” as the first item.
The language of the bill also suggests that California celebrities pushing sweeps casinos – such as Drake, Paris Hilton, and Ryan Seacrest – would be subject to liability for their roles in casino advertising and promotion.
Although the California legislative session runs until Sept. 12, legislation can carry over to the 2026 session.