VGW Holdings

VGW Holdings is registered in Australia and operates under a license from the Malta Gaming Authority. By 2023, they weren’t just some small fish in a big pond; they ranked as the 6th largest private company in Australia by turnover! That’s a huge deal, and it’s all thanks to their three trusted social casino platforms that players just can’t seem to get enough of. On top of that, VGW runs Golden Feather Studios, an in-house gaming studio that creates games exclusively for its casinos.

This review covers VGW’s rise to fame. From its humble beginnings to becoming a multibillion-dollar gaming powerhouse, I’ll walk you through all the juicy details. And yes, we’ll spill the tea on the scandals and lawsuits because, let’s be real, no success story is complete without a little drama. Buckle up!

So, how did VGW come to life? It all started back in 2010 when Laurence Escalante had a lightbulb moment: create an online space where people could build their own virtual casinos and play poker with friends. His vision was to blend gaming culture with online gambling, and just like that, Virtual Gaming Worlds was born.

The real game-changer, though, didn’t come until 2012 when Escalante came up with the idea of using sweepstakes laws to offer casino-style games without requiring real-money payments.

Some say he got the inspiration from internet cafes in Florida (since shut down) that used sweepstakes laws to let players gamble as long as they paid to use the computers. Escalante denies this, though, so who really knows? Either way, Laurence and VGW pioneered the concept of combining sweepstakes with mobile casino gaming, and it turned out to be a massive hit.

Today, VGW Holdings runs three popular sweepstakes casinos: Chumba Casino, Global Poker, and LuckyLand Slots. They also have their own game studio, Golden Feather Studios, which creates unique, custom-made slot games for their platforms.

Is VGW Trustworthy?

VGW is hands-down one of the most respected sweepstakes operators in the US, and that’s mostly because they’ve been around for so long. Their flagship platform, Chumba Casino, has been leading the sweepstakes casino scene since 2012, making it one of the OGs in the game. Sure, being old doesn’t automatically mean you’re the best, but VGW’s track record speaks for itself. Also, let’s face it, players are way more likely to trust a company with over a decade of experience under its belt. It also doesn’t hurt that VGW Holdings has its credibility backed by a B2C–Gaming Service License for both Type 1 and Type 3 Gaming Services.

Now, that said, you need to remember that VGW is still an Australian company, not a US-based one. For US companies, there are strict regulations to be followed and players benefit from stronger legal protections. For Australian companies operating in the US? Not so much. The sweepstakes model, which allows a company that is neither registered nor based in the US to potentially earn billions from US residents via a loophole in the gambling laws, is still a relatively new idea and a no-man’s land in terms of regulation.

VGW Scandals, Lawsuits and Controversies

As they say, there is no great achievement without controversies. And, oh boy, does VGW have its fair share of those. Laurence Escalante and Virtual Gaming Worlds sister sites are currently defending 10+ federal cases. And that’s not even considering the fact that VGW casinos have already been chased out of 6 different US states! Typically, it plays out like this: someone reports their operations, the state either sues or sends a cease-and-desist letter, and VGW quietly pulls out.

In 2023, Delaware’s Division of Gaming Enforcement and Connecticut’s Department of Consumer Protection issued cease-and-desist orders, adding their names to a list that already includes Washington, Michigan, Montana, and Nevada. Things are also heating up in Georgia, where VGW recently got one class-action lawsuit dismissed but is still fighting another filed by Destiny Kennedy, who accuses them of operating as an illegal gambling company.

And then there’s Laurence Escalante himself. Late in 2023, he dodged a conviction in Victoria for having a small amount of drugs on him after a Las Vegas weekend. If you’ve heard of his mega-rich playboy lifestyle, this probably won’t surprise you—120+ supercars, a private jet with his nickname emblazoned on it, and endless parties with lingerie-clad models.

Meanwhile, some investors are less than happy with a few of the choices he’s been making, particularly the recent decision to sponsor the Ferrari F1 team. They claim that the sponsorship had less to do with the growth of VGW and more to do with Laurence Escalante’s personal interests. And it’s not hard to see why they would think that – I mean, he does own a collection of over a hundred supercars, including multiple Ferraris.

With lawsuits, state bans, and investor frustrations piling up, VGW seems to be balancing on a knife’s edge. Whether whether the Chumba sister sites will come out stronger or lose their footing entirely remains to be seen.