Nevada Gambling Regulator Orders Cease-and-Desist to Live Gaming Producer

An iGaming company and its affiliate were hit with a cease-and-desist order from the Nevada Gaming Control Board (NGCB), the gambling regulator in the state. The case in question affects Playgon Interactive Inc, as well as its affiliate Bitrate Productions.

Although the NGCB released details regarding the cease-and-desist letter Thursday, it revealed that the companies received the order on July 18, 2024. Per the letter, the Board demanded Playgon and its affiliate Bitrate to discontinue all unlicensed activity by 5 PM on July 26, 2024.

Failure to comply, the board explained, would result in criminal or civil actions. Under Nevada law, the cease-and-desist order grants the NGCB the required powers to “investigate for the purpose of prosecution, any suspected criminal violation” of the state’s Gaming Control Act.

Kirk Hendrick, the NGCB’s chairman, signed the cease-and-desist letter sent to Playgon and Bitrate. In a statement, he reaffirmed the Board’s intentions to investigate the issue and ensure the enforcement and compliance with the gambling laws in Nevada.

“The NGCB will take all necessary actions to enforce Nevada’s gaming laws and regulations.“

Kirk Hendric, chairman at the NGCB

The gambling watchdog revealed that Playgon previously notified it that the actions of Bitrate do not require a license under Nevada’s laws. This happened on two separate occasions back in 2016 when Playgon, representing its affiliate, confirmed to the NGCB that since Bitrate offered social casino gambling, no license was required.

Under the existing gambling regulations, companies that offer content for entertainment purposes, such as social casinos, do not require a license in Nevada. However, the NGCB alleged that at some point “Bitrate’s activities went beyond social gaming.”

In the recently sent letter, the NGCB alleged that Bitrate hosted games with live dealers in Las Vegas who engaged in roulette and baccarat. Those games would allegedly be broadcast to online gambling operators across the globe.

The activity as described isn’t banned per Nevada’s gambling laws. However, the regulator reminded the two companies that in order to conduct the broadcasting of games that are not for entertainment only, a relevant license is required.