The operator must also surrender $8,204.49 after the DGE found breaches involving prohibited or unapproved events.
A $3.9 million Huff N’ Even More Puff prize topped the operator’s $3.65 million Coin Connect payout 11 days earlier.
Regulators also ordered disgorgement, and one report said the penalty could be the state’s largest online-gambling fine.
Retail slots and table games beat online gambling for the first time this year, even as iGaming set a monthly record and sports betting crossed $100 million.
The ruling held that later gambling outside the state does not erase a voluntary choice made in 2004, and said gambling is not a constitutionally protected activity.
Phil Murphy signed Assembly Bill A5447 after strong legislative votes. The law targets dual-currency models and gives regulators sweeping enforcement powers.
The real-money site enters the state under a Caesars market-access deal as New Jersey reports $1.59 billion in first-half internet gaming win.
FanDuel led June as the market logged its third month above that mark this year
NJ online gambling regulators alleged that FOX Bet Sportsbook accepted illegal wagers on four in-state college basketball games dating back to early 2021.
In a first-of-its-kind initiative, the New Jersey state regulator wants operators to look for signs of problem gambling among their customers.