On this page
PlayStudios Settles Class-Action Lawsuit Tied to Virtual Chip Sales
PlayStudios has agreed to a $3 million settlement resolving a class-action lawsuit alleging that its social casino apps sold virtual chips in violation of state gambling laws, according to gambling.com. The case, White, et al. v. Playstudios US, LLC, was filed in the Circuit Court of Franklin County, Alabama, per gambling.com.
The settlement applies to players in six states — Alabama, Ohio, New Jersey, Massachusetts, Tennessee and Kentucky — who spent money on titles including myVEGAS, Pop! Slots, myKONAMI Slots, MGM Slots Live, myVEGAS Blackjack and myVEGAS Bingo, according to gamblingnews.com. Gamblingnews.com also reports that the class-period start dates vary by state, meaning eligibility windows differ depending on where a player resides.
How the Payout Works
Under the settlement terms described by gambling.com, class members who take no action will receive virtual currency equal to 27% of their qualifying spend. Those who choose to file an election form instead can receive cash worth up to 23% of their spend, though that cash payout is subject to a fund cap, gambling.com reports.
Casino.org reports that eligible players reportedly have until Oct. 21, 2026 to submit an election form if they want to pursue the cash option rather than receive the default virtual currency. Casino.org's reporting also lists the settlement figure as $3.2 million, a slightly higher number than the $3 million cited elsewhere.
ClassAction.org reports that the court granted preliminary approval of the settlement on June 30, 2026, and that eligibility windows differ by state based on specific purchase date ranges. ClaimDepot similarly confirms that eligible class members are tied to state-by-state purchase date ranges relevant to the underlying claims.
Background on the Allegations
The underlying lawsuit centered on claims that selling virtual chips within social casino apps amounted to illegal gambling under the laws of the states involved, since players paid real money for chips used in simulated casino games, according to gambling.com. Social casino apps like those operated by PlayStudios typically do not offer a way to cash out winnings, but lawsuits of this type have argued that the purchase of in-game currency itself can trigger state gambling statutes.
Gamblingnews.com notes that purchases were made across multiple platforms tied to the named titles, and that the settlement is structured to account for the different ways and times players may have spent money across those apps.
What This Means for Players
Who is eligible for the PlayStudios settlement?
According to gamblingnews.com, eligibility is limited to players in Alabama, Ohio, New Jersey, Massachusetts, Tennessee and Kentucky who made purchases in PlayStudios titles such as myVEGAS, Pop! Slots, myKONAMI Slots, MGM Slots Live, myVEGAS Blackjack or myVEGAS Bingo. ClassAction.org and ClaimDepot both indicate that the specific purchase date ranges determining eligibility vary by state.
Do players need to do anything to get paid?
No action is required to receive the default payout. Gambling.com reports that class members who do nothing will automatically receive virtual currency equal to 27% of their qualifying spend. Players who prefer cash instead must file an election form, which gambling.com says can result in a payout worth up to 23% of spend, subject to the overall fund cap.
What is the deadline to request a cash payment?
Casino.org reports that the deadline for submitting an election form is Oct. 21, 2026. Players who want cash rather than virtual currency should take note of this date, though as with any legal settlement, the terms and timeline should be confirmed directly through official settlement notices rather than secondhand summaries.
Does this affect how social casino apps operate going forward?
The digestible reporting available does not indicate that PlayStudios is changing how its apps sell virtual currency going forward, only that it is resolving past claims through this settlement. Players concerned about spending patterns on social casino apps, or who feel their play has become difficult to control, can reach out to resources such as 1-800-GAMBLER or 1-800-MY-RESET for support. These games are intended for players 18+ (21+ in some jurisdictions).
Industry news & legal tracking
Tracks industry changes and keeps time-sensitive coverage clearly dated. Meet the team role and read our editorial process.
Coverage of state laws and regulator actions is editorial information, not legal advice. Bonuses and terms change often — verify current offers on each casino's own site. 18+ (21+ in some jurisdictions). If gambling stops being fun, call 1-800-GAMBLER or 1-800-MY-RESET.
← Back to all news