SGLA Opposes New Jersey Bills Threatening Social Gaming
New Jersey’s latest legislative swing at social gaming has the industry on edge. The Social Gaming Leadership Alliance (SGLA), backed by VGW, B-Two Operations, and the World Poker Tour, fired off testimony this week against bills A5447 and S4282, which could shut down free-to-play online games that use sweepstakes promotions.
A Fight for Free-to-Play Fun
As outlined in a press release, these bills threaten a popular form of entertainment enjoyed by millions, and the SGLA’s not having it. “This isn’t gambling—it’s marketing,” said Jeff Duncan, SGLA’s Executive Director and former Congressman.
The bills, under review by the New Jersey Legislature, slap a $20 cap on sweepstakes-linked purchases and limit prizes to physical goods, effectively kneecapping the promotional models used by social gaming platforms.
Duncan warned that the vague language could mess with more than just games. It might hit everyday promotions at local restaurants or retailers. Even the New Jersey Office of Legislative Services flagged the bills for potential constitutional issues, calling their definitions shaky at best.
Why It’s a Problem
SGLA’s testimony makes it clear: these bills could tank an industry that’s been legally operating for decades. “The current proposal would disrupt our industry and undermine standard tools used by countless New Jersey businesses,” Duncan said. The $4 billion social gaming market, which supports thousands of jobs, could take a hit if these bills pass.
What’s got the SGLA fired up is the lack of nuance. The bills don’t distinguish between regulated, compliant platforms and sketchy offshore operations. SGLA reports that its members already have tight controls: age verification, anti-money laundering checks, self-exclusion options, and partnerships with payment networks like Visa that enforce strict standards.
“Our partners meet or exceed the bar set by top financial and tech companies,” Duncan noted. Instead of a ban, SGLA’s pushing for a seat at the table to craft rules that protect players without killing innovation.
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