Virtual Gaming Worlds to shut down operations in Canada
Virtual Gaming Worlds (VGW) is withdrawing its services from Canada. It operates three main brands: Chumba Casino, which offers slot and table games; Global Poker, a virtual poker room utilising a similar sweepstakes model; and LuckyLand Slots, a slot-focused platform that had already ceased operations in Canada prior to this broader exit.
Timeline of VGW’s exit
VGW is conducting a phased withdrawal from its business in Canada. Users will no longer be able to purchase Gold Coins as of 28 August 2025, although they may continue to use their existing balances. Gameplay access will be removed on 25 September 2025, leaving only coin redemptions. The final date for submitting redemption requests is 23 October 2025, after which VGW will cease all activity in the Canadian market.
In its customer notice, VGW stated, “After careful consideration, we’ve made a strategic commercial decision guided by our business priorities. This allows us to focus our resources and investment in a way that supports the ongoing success of the business. We understand this is an adjustment after many years, and our valued Canadian players may be disappointed. This decision wasn’t taken lightly, and our focus is on ensuring players are fully informed about the changes and that this transition is as smooth as possible.”
Why VGW is leaving Canada?
VGW’s decision to leave Canada is not driven by legal or regulatory changes. Instead, it reflects a shift in business strategy. The company is choosing to focus on the US market, which accounts for the majority of its income, allowing it to allocate resources more efficiently.
VGW recorded $6.13 billion in global revenue for the financial year ending 30 June 2025, with profits of $491.6 million. Approximately 98 percent of its sweepstakes income originates from the United States. Chumba Casino contributes the largest portion of the company’s earnings.
Rising legal and regulatory pressure
Legal and regulatory pressure on sweepstakes casinos in the United States is increasing. In 2025, states such as New Jersey, New York, Mississippi, and Louisiana have either imposed bans or issued cease-and-desist notices. The dual-currency system Gold Coins for casual use and Sweeps Coins for cash redemption is facing growing criticism from lawmakers, who view it as a workaround for gambling regulations.
VGW facing lawsuits
VGW is facing legal action in several US states, with a class-action lawsuit in California posing the most serious challenge. The case Brown et al. vs. VGW Holdings US Inc., filed on 20 August 2025, involves not only VGW but also payment processors, data firms, and a gaming promoter. It takes an unusual legal route, with spouses of players bringing the claim under California’s loss-recovery laws, thereby avoiding arbitration clauses. A ruling against VGW could result in a ban within California and may prompt similar action in other states.
Additional cases have been filed in Illinois, Kentucky, Ohio, Tennessee, Florida, Massachusetts, and Montana. On several occasions, the company has avoided serious legal consequences, such as in 2024 when a lawsuit in Georgia was dismissed due to lack of jurisdiction.
Future outlook for VGW
VGW’s decision to leave Canada reflects a broader trend in the industry, with companies opting to concentrate on markets with higher returns rather than smaller or less profitable regions. Other operators may also reconsider their presence in certain areas if regulatory pressure in the US continues to grow.
In the United States, VGW remains under legal scrutiny, which could result in the loss of access to key markets. Nevertheless, given that the bulk of its revenue is generated in the US, the company is likely to focus its efforts on legal advocacy, regulatory compliance, and platform development.
