As the proverb goes: As one Drake lawsuit closes, another opens.
Recently, a class-action lawsuit targeted Canadian rapper Drake for his yearslong promotion of the crypto-fueled online casino Stake. At the same time, he fought to revive his dismissed defamation suit over Kendrick Lamar’s diss track “Not Like Us.”
The American subsidiary of the company sued Aubrey Graham, better known as Drake. The lawsuit also names internet personality Adin Ross. They represent a class of Stake.us users. They are accused of promoting the site under deeply fraudulent pretenses. The lawsuit also claims they exposed younger consumers to significant risks of financial loss, psychological distress, and gambling addiction.
Justin Killham, a Stake.us user, previously filed the suit in a Missouri county. The lawsuit also alleges that the social casino site operates as an unlicensed online gambling platform, violating Missouri state laws.
Stake.us promotes itself as a social casino where users gamble with purchased in-game Gold Coins, which have no real monetary value. However, the site also offers bundles of a digital currency called Stake Cash. This currency can be redeemed one-to-one for US dollars and used to wager on its games.
The lawsuit alleges that the defendant claims players are purchasing harmless virtual tokens. However, the pricing structure and gameplay reveal that Stake Cash, not Gold Coins, is the real product. The suit argues that Stake uses this to entice players into real-money gambling. The Gold Coins merely serve to deceive regulators and lure players under the guide of safe entertainment.
The lawsuit also claims that Drake’s long-running promotion of Stake has earned him millions of dollars each year. It further asserts that his promotion played a major role in boosting the site’s popularity. It specifically influenced its appeal among young people.
The rapper has frequently livestreamed himself wagering large sums on Stake games. He has also promoted the site on his widely followed social media accounts. The lawsuit alleges that, on many occasions, Drake and Adin Ross were not using their own money for these bets, but house money provided by Stake. Failing to disclose this, the suit claims, would be an additional violation of Missouri state law.
