The Arizona Department of Gaming continued its enforcement actions against apps and websites that it believes are in violation of state gambling laws on Friday, as it sent cease-and-desist orders to multiple parties connected to the activity. Among the recipients are the companies behind ClubWPT and Kutt, which operate as “social” and “sweepstakes” gaming products online.
Arizona has not taken legislative action against sweepstakes casinos to this point, but the correspondence to ClubWPT owners point out that the state has no statutes that govern sweepstakes. That aspect of the situation fuels the regulators’ claim that ClubWPT is misleading players.

The Arizona Department of Gaming (ADG) announced its latest round of cease-and-desist letters targeting suspected illegal gambling websites, stating that the activities in question give “rise to the following felonies: promotion of gambling, illegal control of an enterprise, and money laundering.” ClubWPT Poker may be the most prominent of the five targeted websites in the sweepstakes gaming industry.
On its website, ClubWPT states that “ClubWPT is the official online poker game of the World Poker Tour® and operates under applicable Sweepstakes Laws. VIP, Diamond, and Super SATurdays players pay a monthly subscription fee for exclusive access to member benefits …” The games that the site offers and that claim of compliance with sweepstakes laws are the points of contention in the ADG’s view.
The text pertaining to ClubWPT’s business model is in keeping with the agency’s previous statements on sweepstakes gaming.
The letter to ClubWPT stakeholders from the ADG addresses three main points.
The correspondence states that “'sweepstakes' is not a defined term under Arizona law, there are no 'sweepstakes' laws or rules, and there is no exception from the illegal gambling statutes for conduct labeled 'sweepstakes.'” The ADG adds “the availability of a 'free' method of entry does not exempt the activity from Arizona's gambling prohibitions.”
This language resembles correspondence that the ADG sent to High 5 Casino and Stake.us in June 2025. In similar cease-and-desist orders, the department advised High 5 and Stake that their claims of compliance with sweepstakes regulations were not sufficient to nullify the body’s view that the gaming offered on the sites violated Arizona laws.
Neither the ADG nor Arizona Attorney General Kris Mayes have taken legal action against any sweepstakes casino operators beyond sending the cease-and-desist letters at this time. The compliance of recipients has factored into that situation, as both High 5 and Stake have stopped doing business in Arizona.
ClubWPT has made no announcements regarding the letter from the ADG at this time. Kutt, Inc. also needs to decide how to respond to similar circumstances.
The ADG also announced that it sent a letter to Kutt, Inc. on Friday. The platform, Kutt, labels itself as a “peer-to-peer (P2P) social betting platform.”
The ADG communication orders Kutt to “immediately cease all casino and event wagering (or other) gambling operations and activities in Arizona.” The department clarifies that “the fact that wagers occur between players does not change the illegal nature of your conduct” because Kutt takes “a 3% fee from the total [dollar] amount of every bet.”
Social gaming law in Arizona, the letter claims, “prohibits any third-party benefit, including operating it as a business.” Neither the correspondence to ClubWPT nor Kutt communicate any deadlines for response, merely stating that recipients need to comply with demands immediately to avoid further enforcement.
The ADG’s actions have been adequate to convince a number of social and sweepstakes gaming operators to not do business in the state. ClubWPT and Kutt may soon join that list.
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