Moozi Casino Allegedly Operates Illegal Gambling Site, Lawsuit Claims

Case Overview: A class action lawsuit alleges Moozi Casino, operating as a "social casino," is in fact an illegal gambling site that entices users with virtual coins, which can be redeemed for real-world prizes, amounting to unlicensed gambling.

Consumers Affected: Alabama residents who lost money on Moozi Casino’s platform.

Court: U.S. District Court for the Middle District of Alabama, Eastern Division

Popular online platform Moozi Casino isn’t the harmless “social casino” it claims to be, but an illegal gambling site operating under the radar, a new lawsuit argues. 

An Alabama woman is accusing the casino’s parent company, Moshy Gaming LLC, of exploiting users through deceptive tactics that mimic real-world gambling, causing financial and emotional harm.

The proposed class action lawsuit alleges that Moozi Casino entices users with free virtual coins, but once those run out, encourages them to spend real money to buy more coins—some of which, the lawsuit says, can be redeemed for cash or gift cards, a system that amounts to unlicensed, illegal gambling.

Player Says She Lost Thousands on “Chance Games”

Amy Hurst, a resident of Chambers County, Alabama, filed the lawsuit after she said she began using Moozi Casino in late 2023 and continued through mid-2025. During that time, she says she spent approximately $5,700 buying Moozi’s virtual currency, called Gold Coins and Sweeps Coins, so she could keep playing digital casino games like slots, roulette, and blackjack.

Though the company markets these purchases as part of a free entertainment experience, Hurst alleges the setup is far from innocent. Sweeps Coins, unlike Gold Coins, can be exchanged for real-world prizes, making them almost identical to gambling chips. She says the platform’s design encouraged her to keep spending in the hopes of winning back her losses, like a traditional casino.

Virtual Coin System Allegedly Mimics Real Money Wagering

Moozi Casino bills itself as a social platform to sidestep gambling laws, according to the lawsuit,  but Hurst argues this is just a front. The games rely purely on chance, not skill, and the coin system is allegedly structured to simulate, and profit from, real-money wagering. 

Even though the company says the coins have “no real value,” the lawsuit points out that Sweeps Coins can be cashed out after minimal play, meaning players are essentially betting real currency.

The site’s slick design, real-time live dealers, and brand partnerships create an experience nearly indistinguishable from a standard online casino, Hurst argues. The lawsuit claims that Moozi's operation violates Alabama law, which restricts gambling to licensed venues and operators.

Online Gaming Platforms Face Growing Legal Pushback

Moozi Casino isn’t alone. Other major platforms like DraftKings and Underdog Fantasy are also facing lawsuits for allegedly operating illegal betting schemes under the guise of fantasy sports or legal gaming. 

Tech giants Apple and Google are also in the hot seat for distributing casino-style apps that users claim trick them into spending money on games that function like unregulated gambling. These cases point to a growing legal pushback against the blurred lines between gaming and gambling, especially as digital platforms continue to profit from allegedly addictive designs.

Hurst is suing on behalf of all Alabama residents who lost money on Moozi’s platform. She’s asking for damages, restitution, and a court order barring the company from continuing to operate in the state unless it complies with gambling laws, alleging the company violates the state’s gambling laws.

Case Details

• Lawsuit: Hurst v. Moshy Gaming LLC, D/B/A Moozi Casino
• Case Number: 3:25-cv-00491-ECM-KFP
• Court: U.S. District Court for the Middle District of Alabama, Eastern Division 

Plaintiffs' Attorneys

• David L. Selby, II and Matthew J. Ford (Bailey & Glasser, LLP)
• Scott Edelsberg (Edelsberg Law, P.A.)

Do you use any apps you think operate like a casino? Let us know in the comments below.