Illinois Man Sues Stake.US, Alleges Illegal Online Casino Operations

Illinois Man Sues Stake.US, Alleges Illegal Online Casino Operations

News | April 15, 2025 By:

On Monday, April 7, 2025, Brayden Urdan filed a class action complaint in the US District Court for the Northern District of Illinois against Sweepsteaks Limited, operating as Stake.us, alleging the company runs an illegal online casino disguised as a social gaming platform. The lawsuit seeks to halt Stake.us’s operations, recover losses, and obtain damages for Illinois residents who wagered on the platform.

The complaint claims Stake.us, a Cyprus-based company, mirrors its parent platform, Stake.com, a globally prominent online casino banned in the US due to strict gambling regulations. To circumvent these restrictions, Stake.us markets itself as a social casino using virtual tokens called Gold Coins and Stake Cash. Gold Coins, described as having no monetary value, are used for casual play, while Stake Cash, bundled with Gold Coin purchases, can be wagered on casino-style games and redeemed for cryptocurrency, such as Bitcoin and Ethereum, at a 1:1 ratio with the US dollar.

According to the lawsuit, Stake.us’s pricing structure reveals its true intent to sell Stake Cash for real-money gambling. For instance, a $20 purchase yields 20.05 Stake Cash and 200,000 Gold Coins, while $50 buys 50.12 Stake Cash and 500,000 Gold Coins. The plaintiff argues that the large quantities of Gold Coins are nearly worthless, serving as a pretext to mask the sale of Stake Cash, which facilitates illegal gambling. The platform’s games, including slots, blackjack, roulette, and live dealer tables, rely on random number generators, classifying them as games of chance under Illinois law, which prohibits online gambling.

Urdan alleges that Stake.us violates Illinois statutes, specifically the Illinois Loss Recovery Act and the Consumer Fraud and Deceptive Business Practices Act, by operating an unlicensed gambling site. The complaint states that Illinois law bans internet sites allowing games of chance for money or items of value, and Stake.us fails to comply with required consumer protections, such as providing resources for gambling addiction. The lawsuit highlights Stake.us’s inadequate “Responsible Play” policy, which links to a video game addiction resource rather than gambling-specific support, unlike Stake.com, which offers targeted gambling addiction resources.

The plaintiff claims Stake.us employs deceptive marketing, promoting itself as a safe, entertainment-focused social casino while encouraging real-money wagering through Stake Cash. The platform’s interface allows players to switch seamlessly between Gold Coins and Stake Cash, potentially leading casual players into gambling without realizing the financial risks. Social media campaigns featuring influencers and celebrities, such as rapper Drake, and sponsorships of sports teams like Everton FC, are cited as tactics to attract users, particularly younger audiences, by showcasing large cryptocurrency payouts.

Urdan, an Illinois resident, reports losing over $15,000 on Stake.us since August 2022, including $10,000 in the last six months, wagering on games like Wild West and Sweet Bonanza. The lawsuit defines two classes: an Illinois Class of all Illinois residents who lost fiat or cryptocurrency on Stake.us, and an Illinois Loss Recovery Subclass for those losing at least $50. The complaint seeks certification of these classes, an injunction to stop Stake.us’s operations, and recovery of losses, damages, and legal fees.

Please contact BlockTribune for access to a copy of this filing.