TechBay.News

By Michael Phillips | TechBay.News

A newly filed federal lawsuit is pulling together two of the most controversial issues in modern digital entertainment: celebrity gambling endorsements and alleged manipulation of music streaming platforms.

According to a January 5, 2026, report by Music Business Worldwide, a civil class-action lawsuit filed in the U.S. District Court for the Eastern District of Virginia names Drake, streamer Adin Ross, and gambling platform Stake.us as defendants, alongside an Australian individual accused of coordinating bot activity.

The case is in its earliest stages, and all allegations remain unproven.

What the Lawsuit Alleges

Filed on December 31, 2025, by Impresa Legal Group on behalf of two Virginia residents, the lawsuit seeks class-action status and accuses the defendants of running a coordinated scheme that allegedly violated federal racketeering laws and Virginia consumer protection statutes.

At the center of the complaint is Stake.us, which markets itself as a “social casino” offering free play. Plaintiffs argue that the platform operates as an illegal real-money gambling site in Virginia by bundling redeemable “Stake Cash” with paid coin packages—an approach regulators have increasingly scrutinized nationwide.

The lawsuit claims Drake and Ross, as paid promoters, used livestreams, giveaways, and social media endorsements to lure users into gambling while minimizing risks. Drake is alleged to earn roughly $100 million annually through his partnership with Stake, though that figure has not been independently verified in court.

Streaming Bots and Algorithm Manipulation Claims

What makes this case unusual is its attempt to link gambling promotion to alleged manipulation of music streaming platforms.

Plaintiffs claim that Stake’s user-to-user “tipping” system—described in the filing as an unregulated money-transfer mechanism—was used to funnel funds to automated bot networks. Those bots allegedly inflated Drake’s streaming numbers on platforms such as Spotify, artificially boosting chart placement and suppressing legitimate artists by distorting recommendation algorithms and royalty pools.

Examples cited in the complaint include six-figure public tips between Drake and Ross, promotional giveaways, and a luxury vehicle gifted to Ross shortly before the lawsuit was filed. The defendants deny wrongdoing, and Stake has called similar allegations “nonsense” in previous coverage.

Legal and Industry Context

This is the third lawsuit targeting Drake, Ross, and Stake over gambling-related promotions, following earlier class actions in Missouri and New Mexico. Those cases focused primarily on alleged illegal gambling, not streaming manipulation.

Separately, the music industry has faced growing concern over bot-driven streaming fraud. In November 2025, rapper RBX filed a class action against Spotify alleging failure to stop massive volumes of suspicious streams benefiting top artists—claims Spotify has publicly disputed.

From a center-right perspective, the lawsuit underscores a broader policy problem: regulators and lawmakers have allowed legal gray zones to persist around online gambling, influencer marketing, and algorithm-driven platforms. When rules are unclear or selectively enforced, high-profile figures and massive platforms operate with little oversight—until disputes spill into federal court.

What Happens Next

At this stage, no court rulings have been issued, and no defendant has filed a formal response to the Virginia complaint. Civil RICO cases often face early motions to dismiss, and many do not survive without strong evidence of coordinated intent.

If the case proceeds, discovery could shed light on how gambling platforms, influencers, and streaming services interact behind the scenes. If dismissed, it may still accelerate calls for clearer regulation of sweepstakes casinos and celebrity endorsements in the digital economy.

For now, the case remains an allegation-heavy filing—one that sits at the intersection of technology, entertainment, and regulatory uncertainty, with potentially significant implications for all three.