InvestigationsGambling & prediction apps
Unlimited losses. Limited wins.
Blueshoe is investigating sports betting apps, online casinos, sweepstakes casinos, and prediction markets. Lawsuits and regulators allege a common pattern: heavy losers get VIP treatment and bonuses, while winners get their accounts limited or shut down. If you lost a significant amount on any of these platforms, you may be eligible to have your potential claim evaluated.
WHAT WE ARE INVESTIGATING
The apps know exactly who is losing. Lawsuits allege that's the business model.
These are the publicly filed allegations and government actions this investigation builds on.
Why do winners get limited while losers get bonuses?
That asymmetry is the heart of this investigation. Lawsuits — including the City of Baltimore's consumer-protection suit against DraftKings and FanDuel — allege the platforms restrict or close accounts that win consistently, while “VIP hosts” shower heavy losers with bonuses, gifts, and personal attention to keep them depositing, even amid clear signs of addiction.
A separate product-liability suit against DraftKings, FanDuel, Genius Sports, and the NFL alleges the apps' data-driven design — including micro-betting — is engineered to create compulsive use. The same data that flags a winner to limit can flag a struggling loser to court.
Were “risk-free bets” actually risk-free?
Class actions allege the promotions were misleading: the “refund” came as restricted bonus credits, not money back. Regulators have acted — Ohio and Massachusetts banned the term “risk-free,” and Massachusetts previously reached a $2.6 million settlement with DraftKings and FanDuel over pre-regulation marketing.
What about sweepstakes and social casinos?
A fast-moving front. Six states have banned sweepstakes casinos; the New York Attorney General sent cease-and-desist letters to 26 operators; Kentucky's AG sued a major operator; and Baltimore sued six social-casino companies in March 2026. Several operators have previously paid settlements under state gambling-loss recovery statutes.
Loss-recovery statutes in some states let players (or in some cases third parties) sue to recover gambling losses from illegal operations — a concrete statutory hook this investigation examines state by state.
Are prediction markets like Kalshi and Polymarket gambling?
Courts are fighting over exactly that. Regulators in at least 11 states have issued cease-and-desist orders over sports “event contracts”; Arizona filed criminal charges against Kalshi (paused by a federal court); Minnesota banned prediction markets outright; and while Kalshi won an appeal in New Jersey, it lost its bid to block New York's regulators. Where these platforms are found to be unlicensed gambling, users' losses may be recoverable under state law.
Unlike licensed sportsbooks, prediction markets generally operate without state responsible-gaming protections — no self-exclusion regimes, no deposit-limit rules — while offering the same sports outcomes to bet on.
WHO MAY QUALIFY
You may be eligible to have your potential claim evaluated if:
Objective criteria — meeting one or more does not mean you have a claim, only that your information fits this investigation. Lost a significant amount but don't see your situation below? Submit anyway — every submission is evaluated, free.
Significant losses on any platform
You lost a substantial amount — on a sports betting app, online or sweepstakes casino, or a prediction market. Many investigations focus on net losses of $10,000 or more, but there is no fixed threshold to submit.
Your winning account was limited
Your account was restricted, stake-limited, or closed after winning — especially if the platform kept marketing to you or courting others to keep betting.
VIP treatment amid addiction signs
You were enrolled in a VIP program or contacted by a host with bonuses and incentives while showing signs of problem gambling — or received marketing after self-excluding or expressing concern.
Sweepstakes casino deposits
You purchased coins or made deposits on a sweepstakes or social casino app — especially in a state that has banned or is enforcing against these operators.
Prediction market losses
You lost money trading sports or event contracts on Kalshi, Polymarket, Robinhood, or similar platforms — particularly in a state whose regulators have ordered them to stop.
Underage gambling
A minor gambled or traded event contracts on any of these platforms — qualifying regardless of the amount lost.
WHAT HAPPENS IF YOU CONTACT US
Four steps. No surprises.
Short questionnaire
You share contact information and basic facts only — no detailed medical records or narratives at this stage.
Conflicts check
We confirm the firm can ethically evaluate your potential claim.
Investigation agreement
If your information meets the criteria, we may offer a limited-scope investigation agreement — an agreement for us to investigate and evaluate a potential claim. Signing it does not mean a lawsuit has been or will be filed.
Next steps, together
If and when a viable claim is developed, we contact you to discuss next steps — which may include associating with a lawyer licensed in your state.
No fee unless you recover
There is no cost to submit your information. If we agree to represent you, representation is on a contingency-fee basis — no attorneys’ fee unless there is a recovery. You may remain responsible for costs in some circumstances; the written agreement controls.
Common questions
Lawsuits have been filed by others — cities, states, public-health advocates, and consumers — but no class has been certified and Blueshoe is at the investigation stage. Signing an investigation agreement with us does not mean a lawsuit has been or will be filed on your behalf.
Legally reviewed by Catherine O’Grady, State Bar of Arizona No. 011647
Managing partner & chief compliance officer · 30+ years in practice · Reviewed July 2026 · Full bio →
Required disclosures
Attorney Advertising. This page is a communication about legal services from Blueshoe Legal Services PLLC, 5227 N 7th St #94743, Phoenix, AZ 85014. Responsible attorney: Catherine O'Grady, licensed in Arizona. Blueshoe's attorneys are licensed only in the jurisdictions listed on this site. This page is not legal advice.
No attorney-client relationship. Submitting information through this page does not create an attorney-client relationship and does not make you a client of Blueshoe. An attorney-client relationship is formed only by a written agreement signed by you and the firm. Do not include confidential or sensitive details in this form — provide only the information requested.
Deadlines. Legal claims are subject to strict time limits (statutes of limitations and repose) that vary by state and may expire soon. Submitting this form does not stop any deadline. If you believe you have a claim, you should promptly consult a lawyer licensed in your state.
No guarantee. Prior results do not guarantee a similar outcome. We cannot and do not promise any particular result. Verdicts, settlements, and case outcomes described on this page are from litigation in which Blueshoe was not counsel of record; they are reported from public sources to describe the litigation landscape, not as results obtained by this firm.
Allegations, not findings. References on this page to the conduct of any company or product describe allegations made in publicly filed lawsuits, regulatory actions, or published research, attributed to their sources. Except where a court judgment or regulatory finding is expressly identified as such, nothing on this page asserts that any named company has been found liable or has violated any law.
Co-counsel. Blueshoe may associate with, or refer your matter to, other law firms, including lawyers licensed in your state. Any fee division will comply with applicable rules and, where required, will be disclosed to you and made only with your written consent at no increase in your total fee.