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A federal class-action lawsuit filed in Virginia on Wednesday (Dec. 31) is accusing online gambling platform Stake of operating as “one of the largest and most profitable illegal online casinos” in the United States since at least 2022. The lawsuit alleges the site misleads consumers by disguising real-money gambling as virtual currency play.
Plaintiffs LaShawnna Ridley and Tiffany Hines claim Stake intentionally blurs the line between free-to-play gaming and real wagering, encouraging users to spend actual money while believing they are participating in low-risk entertainment. According to the complaint, this practice violates state gambling laws and exploits consumers.
The lawsuit also names Drake and Adin Ross as “zealous” and “paid” promoters of the platform. The filing alleges both received incentives designed to “mask the true nature and extent” of their promotional activities, potentially misleading their audiences about the risks involved.
In a more serious allegation, the complaint claims Stake’s internal “tipping” system was used by Drake, Ross, and a third individual, Nguyen, to move large sums of money. This allegedly includes a public $100,000 tip exchanged between Drake and Ross, which plaintiffs say was used to fund artificial streaming—or “botting”—to generate fraudulent streams of Drake’s music.
At the time of filing, neither Stake nor the individuals named in the lawsuit have publicly responded to the allegations. The case adds to growing scrutiny around online gambling platforms, influencer marketing, and the ethics of digital promotion.
