Sweepstakes Laws
by State — 2026 Guide
The complete US sweepstakes regulatory tracker. 16 states have banned or are enforcing against sweepstakes casino operations. 10 more are high risk. Updated as laws change.
Banned — 16 States
States with statutory bans or active enforcement
These states have either enacted explicit sweepstakes casino bans or are enforcing against operators under pre-existing gambling laws. Operating in any of these states exposes companies — and in some cases their vendors, payment processors, and technology suppliers — to serious legal risk.
AB 831 (effective Jan 1, 2026) bans sweepstakes casinos and extends criminal liability to vendors, payment processors, geolocation providers, and media affiliates who knowingly support platforms.
SB 1235 (June 2025) enacted a statutory ban on sweepstakes casino operations.
Idaho enforces sweepstakes casino operations under pre-existing gambling laws.
HB 1052 (signed March 2026, effective July 1, 2026) prohibits sweepstakes casino games with civil penalties up to $100,000.
SF 2289 (signed May 15, 2026, effective July 1, 2026) grants the Iowa Racing and Gaming Commission cease-and-desist authority over unlicensed operators and sweepstakes platforms.
The Louisiana AG issued a formal opinion classifying dual-currency sweepstakes as illegal gambling (July 2025).
SP 825 / LD 2007 (signed April 2026, effective ~July 2026) bans sweepstakes casinos.
Michigan enforces sweepstakes casino operations under pre-existing gambling laws through the Michigan Gaming Control Board.
SB 555 (effective Oct 1, 2025) was the first explicit US statutory ban on sweepstakes casinos.
Nevada enforces sweepstakes casino operations as illegal gambling under pre-existing comprehensive gaming laws enforced by the Nevada Gaming Control Board.
New Jersey has a statutory ban on sweepstakes casino operations.
New York has a statutory ban on sweepstakes casino operations and has been an active enforcement jurisdiction, including $15M and $17.
SB 1589 (veto override May 14, 2026, effective Nov 1, 2026) creates a felony offense for sweepstakes casino operations and extends criminal liability to operators, suppliers, affiliates, payment processors, and geolocation providers.
SB 2136 (enacted May 2026, immediate effect) reclassifies sweepstakes casino operations as unfair and deceptive trade practices under the Tennessee Consumer Protection Act.
Washington enforces sweepstakes casino operations under pre-existing gambling laws through the Washington State Gambling Commission, which takes an aggressive enforcement posture.
High Risk — 10 States
Active enforcement or pending legislation
These states have not yet enacted a statutory ban but have issued cease-and-desist orders, received AG enforcement actions, or have pending legislation that could pass. Operators should closely monitor these jurisdictions.
Regulators have issued cease-and-desist orders to sweepstakes casino operators.
The Arizona Department of Gaming issued cease-and-desist orders to multiple sweepstakes casino operators in 2025 and has taken an aggressive enforcement posture.
The Delaware Gaming Enforcement issued a cease-and-desist to VGW in April 2025, alleging sweepstakes services constituted illegal gambling.
Multiple sweepstakes casino ban bills died in 2026 session.
SB 1705 (Feb 2025) would ban sweepstakes casinos and is pending in the Illinois Senate.
Kentucky regulators have issued cease-and-desist orders to sweepstakes casino operators (mid-2025).
HB 295/SB 112 (Jan 2026) would prohibit dual-currency sweepstakes systems.
The Massachusetts AG sent letters to offshore betting operators and HB 4431 (sweepstakes regulation) has an extended reporting date.
SB 2104 passed the Mississippi Senate 52-0 and would impose $100K fines and 10 years prison for sweepstakes operations.
HB 161/SB 118 (2026 session) would have legalized iGaming and banned sweepstakes.
All 50 States + DC
Complete sweepstakes status by state
Know exactly where you stand
A single opinion covers all 50 states — including the ones that just changed
Apparently's reasoned legal opinions cover all 50 states, DC, and all 574 federally recognized tribal territories in a single document. Every jurisdiction gets full statutory analysis, enforcement history review, and a traffic-light risk classification. Operators, investors, and financial institutions can independently rely on it — without commissioning their own analysis.
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