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Simone Joyner/Contributor via Getty Images and Dave Kotinsky/Contributor via Getty Images
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Drake and Adin Ross
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Key Takeaways:
- The lawsuit alleges that Drake, Adin Ross, and Stake promoted illegal gambling and manipulated streaming numbers.
- Plaintiffs say Stake’s tipping system enabled crypto transfers and artificial plays of Drake’s music.
- The case seeks over $5 million in damages and follows similar lawsuits filed in Missouri and New Mexico.
Drake, streamer Adin Ross, and Stake were named in a civil RICO class action alleging illegal gambling promotion and inflated streaming of Drake’s music.
As Rolling Stone revealed, the lawsuit, brought on by LaShawnna Ridley and Tiffany Hines, was filed on Wednesday (Dec. 31) in the U.S. District Court for the Eastern District of Virginia. The complaint named Stake’s operator, Sweepsteaks Ltd., along with Drake, Ross, and George Nguyen. It follows similar filings in Missouri and New Mexico.
The plaintiffs argued that Stake’s sweepstakes-style “social casino” setup functions like real-money gambling via a dual-currency system (virtual “Gold Coins” plus “Stake Cash”), which the filing says can be cashed out. They also said Drake and Ross promoted the platform through livestreamed gambling sessions and giveaways.
The suit also targeted Stake’s user-to-user “tipping” feature, which the complaint described as an “unlimited” and unregulated money transmitter. It also claimed the defendants used tips to transfer funds among themselves, then financed artificial streaming (termed as “botting” in some reports), streaming farms, and more. Nguyen was portrayed as a broker and operational facilitator who allegedly handled cryptocurrency flows and coordinated paid “clipping” campaigns and amplification strategies on social platforms, including X.
The court documents cite several examples, including an alleged $100,000 tip transfer between Ross and Drake in 2023, the “Drizzmas” livestream from December 2024, and a $220,000 car Stake reportedly gifted to Ross shortly before the lawsuit was submitted. It also claimed encrypted transfers were presented as giveaways that were not broadly available. Another outlet, Capital Xtra, cited an unproven 2024 streaming spike tied to “No Face.” Notably, the filing was reported after a recent livestream in which Drake reportedly gave away a portion of his Stake earnings.
The lawsuit seeks at least $5 million in damages and aims to represent Virginia residents who lost wagers using Stake Cash within the last three years, while also bringing claims under the Virginia Consumer Protection Act. The allegations have not been proven in court.
As Rolling Stone further explained, the document landed amid growing scrutiny of sweepstakes-style casinos, a model critics call a loophole. Their report referenced a California bill signed by Gov. Gavin Newsom last year that targeted the practice. A representative for Drake declined to comment on the accusations.
