List Sweepstakes Casinos

Are Sweepstakes Casinos Legal in the US?

By Editorial Team · Last verified:

It depends on the state, and the answer is changing fast. Sweepstakes casinos rely on general sweepstakes law rather than a gambling licence. A growing number of states have passed laws that ban the two-currency model by name, and regulators in others have ordered operators out.

A lottery, legally, needs three things: a prize, chance, and payment to enter. Sweepstakes casinos argue they remove the third, because Sweeps Coins can be had for free. Where a state accepts that argument, or has simply not addressed it, the sites operate. No state licenses them.

Which states have banned it?

The table is generated from our state records. “Banned” means a statute. “Not available” means regulators or the attorney general have acted without a specific statute.

StateStatus
AlabamaNot established
ArizonaNot available
CaliforniaBanned
ConnecticutBanned
DelawareNot available
FloridaNot available
IdahoNot available
IllinoisNot available
IndianaBanned
IowaNot available
KentuckyNot available
LouisianaBanned
MaineBanned
MarylandNot available
MichiganNot available
MinnesotaNot available
MississippiNot established
MontanaBanned
NevadaNot available
New JerseyBanned
New MexicoNot available
New YorkBanned
OklahomaBan enacted
PennsylvaniaNot available
TennesseeBanned
UtahNot established
WashingtonNot available
West VirginiaNot available
WyomingNot available

What happens to players in a state that bans it?

Operators add the state to their excluded list, often weeks before the law takes effect, and give a deadline to redeem. One operator's terms we read carry dated notices of exactly this kind for Maine, Indiana and Iowa in June 2026. Redeem early and do not wait for the deadline.

Our own view, for what it is worth: the direction is one way. Ten states enacted bans between May 2025 and May 2026, and the newer laws reach payment processors and affiliates as well as operators. A player should assume any open state can close with a few weeks' notice.

Check your state