Deputy Editor
Popular sweepstakes poker site ClubWPT Gold plans to remain in California despite a recent ban on such operators.
The operator didn’t make a social media announcement. Instead, it quietly added a new section to its player support FAQ earlier this week:
We are aware of the new California legislation scheduled to take effect on January 1, 2026. In preparation, our team has been proactively making updates to the platform and developing new features to align with the upcoming legislative change.We are committed to continuing to operate in compliance with California law.
Will ClubWPT Gold Business Model Run Afoul of California Law?
The updates in question likely refer to a major change in the business model dating to September. ClubWPT Gold did away with its Gold Coin account-funding system. Instead, it switched to awarding players Chips, which operate as site credit, in exchange for buying Hand Analysis Credits. Essentially, players now buy AI hand reviews in order to fund their accounts.
Does that put ClubWPT Gold legally in the clear?
As PokerScout previously noted, the new law bans games that satisfy the following criteria:
- Available on the internet or accessible on a mobile phone, computer terminal, or similar device
- Utilizes a dual-currency system of payment
- Simulates casino-style gambling
- Awards cash or cash equivalents
ClubWPT Gold clearly simulates casino-style gaming, and it awards cash or cash equivalents, since it allows users to trade Chips for real money when cashing out. It’s also obviously available on the internet.
Thus, this comes down to whether Hand Analysis Credits count as a currency. ClubWPT Gold and its lawyers clearly think they have ground to stand on here.
California’s tribal interests have aggressively gone after entities seen as encroaching upon their California gambling exclusivity. Most of them pushed hard for the sweepstakes ban, they’re attacking prediction contract provider Kalshi in court, and they have ongoing litigation with the state’s card rooms.
It’s a safe bet they’re going to disagree with that assessment.
All Quiet From Other Sweepstakes Poker Operators
It’s important to note that despite the business model switch, ClubWPT Gold is still a sweepstakes business. It still lists a “no purchase necessary” route in its FAQ for playing in its poker games.
None of ClubWPT Gold’s fellow sweepstakes poker operators appear to have acknowledged the new California law.
ClubsPoker has not updated its terms and conditions since July, when it added West Virginia, Connecticut, New York, and New Jersey to its restricted states.
Global Poker still lists California among its legal states. Ditto for New Jersey, which passed a ban in August.
Stake.US has not added California to its list of excluded territories, although it did add New York and New Jersey. A lawsuit filed in August lists the people of the state of California as a plaintiff against Stake and its streaming platform, Kick. It alleges that Stake operates a “predatory, dangerous gambling environment” and seeks to recover all monies lost by Californians there.
If ClubWPT Gold’s new business model does it put it in the legal clear, it will be the only game in town when the calendar turns to 2026.
Image credit: Sten Rudrich/Wikimedia Commons (license)
