Virtual Gaming Worlds (VGW) announced Friday that it voluntarily withdrew its services from Delaware despite disagreeing with the Division of Gaming Enforcement (DGE).
After Delaware’s DGE issued a cease-and-desist letter to VGW Luckyland, Inc., a subsidiary of Australia-based VGW Holdings, the platform decided to comply with the notice and pull out of the Old Line State.
DGE Previously Issued A Cease-And-Desist To VGW In 2023
The company’s decision to exit followed an investigation that revealed VGW had offered unlicensed online gambling services to residents despite previously having received a cease-and-desist order. The DGE previously issued a cease-and-desist to VGW in 2023, but the operator failed to comply.
VGW issued this response in a news release Friday:
“In relation to a statement issued by the Delaware Department of Gaming Enforcement (DGE) on April 7, 2025, VGW stands by its online, casino-themed, free-to-play social games and sweepstakes promotions and continues to believe they comply with Delaware law, as well as the laws of all other jurisdictions in which those games continue to be offered.
“VGW is deeply disappointed at the statement issued and disagrees with its assertions. VGW is committed to working with state legislators to establish modern regulatory structures that safeguard players and provide benefits to state revenue through appropriate taxation frameworks. Similarly, we are also committed to respectful engagement with state authorities or agencies.
“In this situation, at the urging of the Delaware Lottery, DGE demanded that VGW cease operating despite the DGE’s own communications acknowledging that VGW’s activities had caused no harm to Delaware residents. VGW attempted to engage with DGE to understand its concerns, repeatedly requesting the opportunity to discuss these issues with the agency, but were rebuffed. As such, VGW elected to voluntarily withdraw its services from Delaware earlier this month, despite disagreeing with the DGE’s position.”
VGW Ordered To Cease Operations In Eight States
VGW Luckyland offers a platform where users can purchase virtual coins and play casino-style games to win real cash prizes. While VGW operates under a promotional sweepstakes system, the DGE determined that the site’s business model constitutes real-money gambling.
Since VGW offered real-money games to Delaware residents without a license, the platform violated the state’s constitution, the Delaware Penal Code, and the Delaware Gaming Competitiveness Act of 2012.
Delaware becomes the eighth state to halt VGW operations, joining Connecticut, Idaho, Maryland, Michigan, Montana, Nevada, and Washington.
VGW also added in its response that the company “has operated in North America for more than a decade, creating not only great games, user experiences and entertainment but ensuring this is done safely, responsibly and at the highest level of standards.”
The platform works to comply “with all laws and regulations where we operate.”