NYS Gaming Commission cautions New Yorkers about prediction markets and sweepstakes casinos


The New York State Gaming Commission has initiated a campaign to alert residents regarding the risks associated with illegal online gambling, focusing specifically on offshore betting platforms, prediction markets, and sweepstakes-style casinos.

Titled “Avoid Risky Bets,” the campaign seeks to inform New Yorkers about unauthorized gambling websites that function without state regulation or consumer safety measures.

The commission pointed out that New Yorkers can legally engage in various regulated online betting activities. These include sports wagering through licensed providers, advance deposit betting on horse racing, sanctioned charitable raffles, interactive fantasy sports, and purchasing lottery tickets through approved avenues.

Nonetheless, the authority stressed that online casinos, offshore betting platforms, sweepstakes-style casino sites, and prediction markets are illegal within New York State.

“Proper, legal, and regulated gaming – of which there are many options available – ensures fair bets, safety for players, responsible gambling practices, and community benefits,” stated Commission Chairman Brian O’Dwyer. “Conversely, the unregulated gambling industry exploits unwary individuals – including minors – who mistakenly believe they are placing legitimate bets, benefiting shadowy and untraceable entities. While both may appear similar at times, it is evident which is a wise bet and which constitutes a risky wager.”

As per the commission, illegal gambling sites typically lack essential consumer protections like mechanisms for dispute resolution, anti-money laundering protocols, identity verification systems, and tools for responsible gaming. Officials also cautioned that some illegal sites allow betting on markets tied to political violence, warfare, or insider outcomes.

The state regulators noted that these platforms can subject users to unfair betting practices, unpaid winnings, identity theft hazards, and possible connections to organized crime.

Concerns have also been raised about underage gambling. While legal sports betting in New York mandates that users be at least 21 years old, many offshore and prediction-market platforms permit access at 18 and reportedly lack effective age-verification processes.

Governor Kathy Hochul has previously instructed the commission to step up efforts to prevent minors from accessing online betting applications and accounts, as part of her 2026 State of the State agenda.

We must enhance our actions to deny access to online sports betting to safeguard our youth from addiction at an early age,” Hochul remarked in January.

Officials observed that, unlike regulated gaming, illegal gambling operators do not contribute tax revenues to local schools, governments, charitable entities, or services addressing gambling problems throughout the state.

The commission urges residents to report suspected illegal gambling conduct via complaints submitted to the Gaming Commission, the New York State Attorney General’s Office, or the New York State Police.

The agency indicated that this campaign builds on broader initiatives for responsible gaming, created in collaboration with the New York State Office of Addiction Services and Supports, as well as the New York Council on Problem Gambling, through the state’s Responsible Play Partnership.

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