Online casino giant Stake and streaming platform Kick is battling mounting legal challenges as regulators in the US and Europe turn up the heat on the fast-growing empire.
California’s Attorney-General last week filed a civil lawsuit against Stake’s American subsidiary, Stake.us, accusing it of running an illegal online casino disguised as a sweepstakes. The case, lodged in the state’s Superior Court, alleges the company’s “sweepstakes coins” system is a “ruse” designed to circumvent gambling laws while still allowing players to wager and cash out. Prosecutors are seeking to shut down the platform and claw back player losses.
Across the Atlantic, French officials are investigating Kick after the death of streamer Raphael Graven, known online as Jean Pormanove, who died mid-broadcast during a 12-day marathon stream. His channel, which often featured stunts involving humiliation and violence, has sparked outrage in France.
Digital Minister Clara Chappaz accused Kick of failing to uphold online content laws, saying company executives appeared “slouched over in T-shirts” during crisis talks and failed to grasp the seriousness of the situation. Kick says it is cooperating with police and regulator Arcom.
The twin crises come as Stake eyes expansion into New Zealand, where the government is preparing to issue up to 15 new online casino licences. Earlier this year Stake exited the UK market amid a Gambling Commission investigation into social media advertising from the operator.
Ed Craven, who turned 30 this year, built Stake with American business partner Bijan Tehrani into a multibillion-dollar global force in crypto betting and live streaming. But with lawsuits multiplying on both sides of the Atlantic, the empire he created is now facing its toughest test yet.
The post Gathering legal storm around Stake and Kick empire appeared first on G3 Newswire.
Online casino giant Stake and streaming platform Kick is battling mounting legal challenges as regulators in the US and Europe turn up the heat on the fast-growing empire. California’s Attorney-General last week filed a civil lawsuit against Stake’s American subsidiary, Stake.us, accusing it of running an illegal online casino disguised as a sweepstakes. The case,…
The post Gathering legal storm around Stake and Kick empire appeared first on G3 Newswire.