Is Sweepstakes Casino Bonus Farming Legal? A State-by-State Guide
Federal framing
Sweepstakes-model social casinos operate under a patchwork of federal and state law. The core federal framework is simple: a sweepstakes that requires no purchase to enter is not gambling under federal law. The dual-currency model — Gold Coins (play-money, purchasable) and Sweeps Coins (free-to-obtain, redeemable for prizes) — is designed to satisfy the no-consideration rule. Because players can always obtain Sweeps Coins for free (mail-in requests, daily logins, social promotions), the argument goes, the purchase of Gold Coins isn't consideration for the chance to win.
State law is where things get complex. States regulate gambling under their own statutes, and states vary in how they read the dual-currency model. Some states explicitly allow sweepstakes-style casinos; others have specific statutes that the model brushes up against; a handful have taken enforcement action or passed bills to restrict operators. State-level status is also a moving target: operators voluntarily exit states, attorneys general file suit, and legislatures introduce bills on a regular basis.
This page tracks the current state-by-state picture. Each entry includes a status, a short summary of the legal basis, and citations to the underlying authority (statute, enforcement action, or operator policy). See the disclaimer below — this is not legal advice.
For the math behind why bonus farming has positive EV even with house-edge losses, see our casino math guide.
Status legend
- clear Sweepstakes casinos operate openly with no active restriction.
- gray No explicit prohibition and no explicit carve-out; most operators serve this state.
- restricted Specific statutes, enforcement actions, or widespread operator geo-blocks apply.
- prohibited Explicit state ban on sweepstakes-model casinos.
- unknown We have not independently verified current status for this state.
Jump to a state
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- AlabamaNo explicit ban
- AlaskaNo restriction
- ArizonaActive cease-and-desist
- ArkansasNo ban enacted
- CaliforniaBanned (effective Jan 1, 2026)
- ColoradoNo restriction
- ConnecticutBanned (Oct 2025)
- DelawareEnforcement-driven exit
- FloridaBan pending
- GeorgiaFree-entry permitted
- HawaiiNo specific statute
- IdahoConstitutional ban
- IllinoisRegulator-declared illegal
- IndianaBanned (effective July 2026)
- IowaEnforcement authority pending
- KansasNo specific statute
- KentuckyAG opinion unfavorable
- LouisianaAG-driven shutdowns
- MaineRegulator-declared illegal
- MarylandActive cease-and-desist
- MassachusettsBan pending
- MichiganEnforcement posture
- MinnesotaAG warnings + ban pending
- MississippiBan pending
- MissouriNo specific statute
- MontanaBanned (Oct 2025)
- NebraskaPromotion rules apply
- NevadaStrict gaming enforcement
- New HampshireNo specific statute
- New JerseyBanned (Aug 2025)
- New MexicoNo specific statute
- New YorkBanned (2025)
- North CarolinaFree-entry permitted
- North DakotaNo specific statute
- OhioNo ban enacted
- OklahomaBan pending
- OregonStrict gambling posture
- PennsylvaniaRegulator-declared illegal
- Rhode IslandNo specific statute
- South CarolinaFree-entry permitted
- South DakotaNo specific statute
- TennesseeSenate-passed ban + AG action
- TexasFree-entry permitted
- UtahConstitutional ban
- VermontNo specific statute
- VirginiaBan pending
- WashingtonRegulator-declared illegal
- West VirginiaNo specific statute
- WisconsinFree-entry permitted
- WyomingRegulator warning
State-by-state
Alabama
No explicit banAlabama's criminal code (Ala. Code §13A-12-100 et seq.) broadly prohibits gambling, but no statute specifically addresses dual-currency online sweepstakes casinos. Most operators treat Alabama as a permissible market under the federal no-purchase-necessary framework; no state AG or lottery commission action has targeted online social casinos. The legal grey area persists.
- Ala. Code §13A-12-100 et seq. (gambling prohibition)
Alaska
No restrictionAlaska prohibits most forms of gambling under AS 05.15, but its statutes focus on charitable gaming and bingo rather than online promotional contests. No specific ban, AG opinion, or regulator action addresses dual-currency online sweepstakes casinos. Operators continue serving Alaska residents under the promotional-contest framework.
- AS Chapter 05.15 (charitable gaming)
Arizona
Active cease-and-desistThe Arizona Department of Gaming has publicly treated dual-currency online sweepstakes casinos as illegal gambling unless they are genuine no-purchase promotional contests with identical odds for free entries. In December 2025 the ADG issued cease-and-desist orders to several operators including Stake.us. Most major operators geofence Arizona or explicitly disclaim prize redemption for AZ players.
- Arizona Department of Gaming public guidance
- ADG cease-and-desist orders, December 2025
Arkansas
No ban enactedArkansas has no statute specifically banning dual-currency online sweepstakes casinos. Proposed iGaming legislation (SB 524) failed in 2025. Operators serve Arkansas under the federal promotional-contest framework; no state AG or lottery commission action has targeted social casinos.
- Arkansas SB 524 (2025, failed)
California
Banned (effective Jan 1, 2026)California outlawed dual-currency online sweepstakes casinos via AB 831 (Cal. Chap. 623, 2025), effective January 1, 2026. The law amends B&P Code §17539.1 and adds Penal Code §337o, criminalizing operation, promotion, and support of online sweepstakes games that simulate casino gambling. Violations are misdemeanors punishable by fines up to $10,000 and/or jail. The Los Angeles City Attorney filed suit against Stake.us in September 2025. Major operators have exited California.
- AB 831 (Cal. Chap. 623, 2025)
- Cal. B&P Code §17539.1(a)(12)
- Cal. Penal Code §337o
- People v. Sweepsteaks Ltd. (LA City Attorney, Sep 2025)
Colorado
No restrictionColorado permits promotional sweepstakes subject to trade-practice regulations and has no ban on dual-currency online social casinos. Operators treat Colorado as a permissible market under the no-purchase-necessary model. No known AG action or pending legislation targets online sweepstakes casinos.
- Colorado promotional sweepstakes trade-practice rules
Connecticut
Banned (Oct 2025)Connecticut's Public Act 25-112 (SB 1235), effective October 1, 2025, expressly prohibits non-tribal online sweepstakes casinos. The law makes it unlawful to operate sweepstakes enabling participation in simulated online casino gaming, classifying violations as Class A misdemeanors (professional gambling). Only incidental in-store retail promotions are exempt. Operators have largely exited Connecticut.
- Connecticut Public Act 25-112 (SB 1235, 2025)
- Amendments to Conn. Gen. Stat. §53-250
Delaware
Enforcement-driven exitDelaware's Division of Gaming Enforcement has treated dual-currency online sweepstakes casinos as illegal gambling under the state constitution and criminal code. In April 2025 the DGE ordered VGW's LuckyLand to cease Delaware operations. No sweepstakes-specific statute exists, but regulators use general gambling prohibitions. Most operators have pulled out of Delaware following DGE action.
- Delaware Division of Gaming Enforcement cease order, April 2025
- Del. Const. Art. II §17 (gambling)
Florida
Ban pendingFlorida has no statute explicitly addressing dual-currency online sweepstakes casinos, but legislation (HB 591 / SB 728, 2025) would criminalize online gambling outside the Seminole compact, potentially covering sweepstakes. As of April 2026 these bills remain under consideration. Given enforcement risk, many operators geofence Florida; those that serve FL rely on the promotional-contest exemption.
- Florida HB 591 / SB 728 (2025, pending)
Georgia
Free-entry permittedGeorgia's Fair Business Practices Act permits bona fide promotional sweepstakes with no-purchase entry paths (O.C.G.A. §16-12-36). The state bans electronic sweepstakes machines (targeting internet cafes), but online platforms are not explicitly prohibited. Operators typically require age 21+ and honor the no-purchase entry rule; no state action has targeted online sweepstakes casinos.
- O.C.G.A. §16-12-36 (promotional sweepstakes)
- Georgia Fair Business Practices Act
Hawaii
No specific statuteHawaii's constitution broadly prohibits gambling, but state statutes do not specifically address online dual-currency sweepstakes casinos. A 2026 bill (SB 3281) to clarify the issue was deferred in March 2026. Operators currently serve Hawaiian residents under the promotional-contest framework without state enforcement action.
- Hawaii SB 3281 (2026, deferred)
- Haw. Const. Art. XV (no lottery)
Idaho
Constitutional banIdaho's constitution strictly bans gambling (Idaho Const. Art. III, §24), with narrow exceptions only for charitable bingo/raffles and the state lottery. The constitutional sweepstakes exception does not extend to commercial dual-currency casinos, which are treated as illegal gambling. Major operators geofence Idaho; no legal basis supports commercial sweepstakes casinos there.
- Idaho Const. Art. III, §24 (gambling prohibition)
Illinois
Regulator-declared illegalIllinois law (720 ILCS 5/28-1) bars unlicensed online gambling. The Illinois Gaming Board has publicly treated unlicensed online casino sites including dual-currency sweepstakes as illegal gambling and has instructed operators to exit the state. Operators that continue serving IL face enforcement risk; many have withdrawn.
- 720 ILCS 5/28-1 (Illinois gambling statute)
- Illinois Gaming Board public guidance
Indiana
Banned (effective July 2026)Indiana enacted HEA 1052 (SEA 38, 2026), effective July 1, 2026, expressly banning dual-currency online sweepstakes casinos. The law (IC 5-1-9-12) makes operation of such games unlawful with civil and potential felony penalties. Operators have withdrawn from Indiana in advance of the law's effective date.
- Indiana HEA 1052 / SEA 38 (2026)
- IC 5-1-9-12
Iowa
Enforcement authority pendingIowa has no current ban on dual-currency online sweepstakes casinos. Pending legislation (SF 2289, 2026) would authorize the Iowa Racing & Gaming Commission to issue cease-and-desist orders against illegal sweepstakes. The bill passed the Iowa Senate in March 2026. Operators continue serving Iowa players but monitor the legislation.
- Iowa SF 2289 (2026, passed Senate)
- Iowa Code Chapter 99F (gaming)
Kansas
No specific statuteKansas prohibits unlicensed gambling but has no specific law or regulatory guidance targeting online dual-currency sweepstakes casinos. Operators serve Kansas under the federal promotional-contest framework; no state AG or lottery commission action has targeted social casinos.
- Kansas Parimutuel Racing and Lottery Act
Kentucky
AG opinion unfavorableKentucky's criminal code (KRS Chapter 528) broadly prohibits gambling, and a 2019 AG opinion suggested dual-currency sweepstakes likely violate state law. Several operators voluntarily self-exclude Kentucky following regulator engagement, though no public prosecution has occurred. Legal risk is moderate-to-high.
- KRS Chapter 528 (gambling offenses)
- Kentucky AG opinion (2019)
Louisiana
AG-driven shutdownsLouisiana's Attorney General treats dual-currency sweepstakes as illegal gambling under state statute (La. R.S. 4:24). In December 2024 the LA AG issued cease-and-desist letters to over 40 operators. Major operators have exited Louisiana in response; continued operation there risks criminal prosecution.
- La. R.S. 4:24 (illegal gambling)
- Louisiana AG cease-and-desist letters, December 2024
Maine
Regulator-declared illegalMaine's Gambling Control Unit stated in June 2025 that commercial online sweepstakes sites are illegal under state law. Pending legislation (LD 2007, 2026) would formally amend Titles 17-A and 17-B to criminalize dual-currency sweepstakes. Operators should consider Maine effectively off-limits.
- Maine Gambling Control Unit bulletin, June 2025
- Maine LD 2007 (2026)
Maryland
Active cease-and-desistMaryland's Lottery & Gaming Control Commission has treated dual-currency sweepstakes as illegal under Crim. Law §12-305 and issued multiple cease-and-desist letters in April 2025. Legislation (SB 112 / HB 295, 2026) to formally ban dual-currency sweepstakes passed committee. Operators increasingly geofence Maryland pending enforcement and legislative action.
- Md. Code Crim. Law §12-305
- Maryland LGCC cease-and-desist letters, April 2025
- Maryland SB 112 / HB 295 (2026)
Massachusetts
Ban pendingMassachusetts has no statute specifically targeting dual-currency online sweepstakes casinos; the state currently permits operation under the federal no-consideration framework. Pending legislation (HB 4431, 2026) would simultaneously legalize licensed iGaming and prohibit private sweepstakes casinos. No enforcement action has occurred beyond general gambling statutes.
- Massachusetts HB 4431 (2026, pending)
Michigan
Enforcement postureMichigan broadly prohibits lotteries and gambling (MCL §§750.301, 750.302, 750.310) outside licensed operators. The Michigan Gaming Control Board has indicated it views unlicensed online casinos, including dual-currency sweepstakes, as subject to enforcement. In January 2026 the MGCB reportedly targeted multiple illegal sites. Operators face elevated enforcement risk.
- MCL §750.301, §750.302, §750.310
- Michigan Gaming Control Board enforcement actions, January 2026
Minnesota
AG warnings + ban pendingMinnesota has no current statute banning dual-currency online sweepstakes casinos, but in November 2025 AG Keith Ellison warned 14 operators they were violating state gambling law. Bills in the 2026 Minnesota House and Senate would formally outlaw online sweepstakes games. Pending final enactment, Minnesota is moving toward prohibition; some operators already geofence the state.
- Minnesota AG cease warnings, November 2025
- Minnesota H.F. 2769 / S.F. 2725 (2026)
Mississippi
Ban pendingMississippi has no current ban on dual-currency online sweepstakes casinos. SB 2104 (2026), which would make online sweepstakes unlawful gambling with felony penalties, passed the state Senate unanimously in March 2026 and awaits House action. Operators are withdrawing from Mississippi pending enactment.
- Mississippi SB 2104 (2026, passed Senate)
Missouri
No specific statuteMissouri prohibits unlicensed gambling but has no law specifically addressing dual-currency online sweepstakes casinos. Operators serve Missouri under the federal no-purchase-necessary promotional framework; no state AG or lottery commission action has targeted social casinos.
- Missouri gaming statutes (Chapter 313)
Montana
Banned (Oct 2025)Montana enacted SB 555 in 2025, effective October 1, 2025, explicitly outlawing online casino games under state law (MCA §30-10-105(1)(a)). The amendment covers any online casino-style games regardless of label or currency structure. Violations carry felony penalties up to 10 years. All major operators have exited Montana.
- Montana SB 555 (2025)
- MCA §30-10-105(1)(a)
Nebraska
Promotion rules applyNebraska's prize-promotion statutes (Neb. Rev. Stat. §86-228 et seq.) allow legitimate promotional sweepstakes with required disclosures. No Nebraska law specifically targets dual-currency online sweepstakes casinos, and no state enforcement action has occurred. Operators serve Nebraska players under standard sweepstakes structure.
- Neb. Rev. Stat. §86-228 et seq. (prize promotions)
Nevada
Strict gaming enforcementNevada has no statute expressly banning dual-currency sweepstakes, but its strict illegal-gaming laws would treat any unlicensed online casino game as unlawful. SB 256 (Ch. 337, 2025) increased penalties for illegal gambling operators and empowered regulators to disgorge profits. Major operators geofence Nevada given the strict enforcement posture.
- Nevada SB 256 (Ch. 337, 2025)
- NRS Chapter 463 (gaming)
New Hampshire
No specific statuteNew Hampshire authorizes lottery and pari-mutuel wagering but has no statute specifically addressing dual-currency online sweepstakes casinos. Promotional contests with genuine free-entry paths are generally legal. No state regulatory action has targeted online sweepstakes casinos.
- New Hampshire RSA 287 (gaming statutes)
New Jersey
Banned (Aug 2025)New Jersey enacted A5447 (P.L. 2025, c.128) effective August 15, 2025, banning pay-to-play sweepstakes under N.J.S.A. 52:17B-139.15 through 139.17. Only purely free-entry sweepstakes meeting specific consideration rules are exempt. Violations are Class C felonies; the Division of Consumer Affairs and Casino Control Commission enforce with civil penalties up to $250,000. All pay-to-play operators have exited NJ.
- New Jersey A5447 / P.L. 2025, c.128
- N.J.S.A. 52:17B-139.15 to 139.17
New Mexico
No specific statuteNew Mexico prohibits unlicensed gambling under the Gaming Control Act but has no statute specifically targeting dual-currency online sweepstakes casinos. Free-entry promotional sweepstakes are generally permissible. No state AG or commission action has targeted online operators.
- New Mexico Gaming Control Act (NMSA 1978, Ch. 60)
New York
Banned (2025)New York's 2025 budget bill added Racing, Pari-Mutuel Wagering & Breeding Law §912, prohibiting online sweepstakes casinos including any that simulate gambling. Penalties range from $10,000 to $100,000 per violation. In June 2025 the NY AG sent cease-and-desist letters to 26 operators. Major operators have exited New York.
- NY Racing, Pari-Mutuel Wagering & Breeding Law §912
- New York AG cease-and-desist letters, June 2025
North Carolina
Free-entry permittedNorth Carolina bans slot machines (N.C.G.S. §14-306.1A) and electronic sweepstakes machines targeting internet cafes, but permits bona fide sweepstakes promotions with free-entry paths. Online dual-currency platforms structured as true sweepstakes operate legally in North Carolina. No state AG action has targeted online social casinos.
- N.C.G.S. §14-306.1A (slot machines)
- North Carolina promotional sweepstakes framework
North Dakota
No specific statuteNorth Dakota permits charitable raffles and state lottery, and has no law specifically addressing online dual-currency sweepstakes casinos. Commercial promotional sweepstakes with free-entry paths are permitted. No state enforcement action has been reported.
- N.D. Cent. Code Ch. 53-06.1 (gaming)
Ohio
No ban enactedOhio has no law specifically targeting dual-currency online sweepstakes casinos. HB 298 (2024), which would have banned sweepstakes while legalizing iGaming, stalled. Operators continue serving Ohio under the federal promotional-contest framework. Ohio remains among the larger permitted markets, though class-action litigation against operators has been filed.
- Ohio HB 298 (2024, stalled)
- Ohio Rev. Code Ch. 2915 (gambling)
Oklahoma
Ban pendingOklahoma has no current statute banning dual-currency online sweepstakes casinos. SB 1589 (2026), which would define such games as Class C2 felonies with fines up to $2,000, passed the Oklahoma Senate unanimously in March 2026 and awaits House action. Only tribal gaming is currently authorized. Operators face elevated risk pending final enactment.
- Oklahoma SB 1589 (2026, passed Senate)
- Okla. Stat. tit. 21, §1721
Oregon
Strict gambling postureOregon authorizes only state lottery, pari-mutuels, and video lottery; any game of chance for prize requiring payment is by default a lottery under ORS 167.117. Though no enforcement has targeted dual-currency online sweepstakes casinos specifically, operators often geofence Oregon out of caution given the strict gambling posture.
- ORS 167.117 (gambling definitions)
Pennsylvania
Regulator-declared illegalThe Pennsylvania Gaming Control Board has publicly treated dual-currency online sweepstakes casinos as illegal gambling under 18 Pa.C.S. §13B. In April 2025 the PGCB issued 18 cease-and-desist letters to operators. The legislature is considering amendments to explicitly ban sweepstakes. Virtually all major operators geofence Pennsylvania.
- 18 Pa.C.S. §13B (gaming)
- Pennsylvania Gaming Control Board C&D letters, April 2025
Rhode Island
No specific statuteRhode Island permits sweepstakes under charitable and promotional law. No state law or enforcement action has targeted dual-currency online sweepstakes casinos. Operators serve Rhode Island residents under the federal no-purchase-necessary framework.
- R.I. Gen. Laws Title 11 Ch. 19 (gambling)
South Carolina
Free-entry permittedSouth Carolina's constitution prohibits most gambling and limits exceptions to the state lottery. No state law specifically addresses online dual-currency sweepstakes casinos. Electronic sweepstakes machines are banned, but online platforms structured as genuine sweepstakes are permitted. No state AG action has targeted online operators.
- S.C. Const. Art. XVII §7 (lottery)
- S.C. Code §12-21-2710 (gambling devices)
South Dakota
No specific statuteSouth Dakota permits lottery, pari-mutuel wagering, and tribal casinos. No state law specifically addresses online dual-currency sweepstakes casinos. Promotional sweepstakes with free-entry paths are permitted. No state enforcement action has been reported.
- SDCL Title 42 (gaming)
Tennessee
Senate-passed ban + AG actionThe Tennessee AG sent cease-and-desist letters to nearly 40 operators in December 2025. In March 2026 the TN Senate passed SB 2136, which would make online dual-currency sweepstakes games unlawful under the state's Consumer Protection Act; the companion HB 1885 awaits House action. Operators have largely exited Tennessee.
- Tennessee SB 2136 / HB 1885 (2026)
- Tennessee AG cease-and-desist letters, December 2025
- Tenn. Code Ann. §39-17-501 (gambling)
Texas
Free-entry permittedTexas prohibits most gambling under Tex. Penal Code Ch. 47 but permits genuine sweepstakes with no-purchase-necessary entry paths as a recognized exception. AG opinions have held that commercial sweepstakes meeting this structure are not lotteries. Regulators have not pursued online sweepstakes casinos, though operators still often geofence Texas as a precaution given broad anti-gambling statutes.
- Tex. Penal Code Ch. 47 (gambling)
- Texas AG opinions on promotional sweepstakes
Utah
Constitutional banUtah's constitution broadly forbids gambling, authorizing only pari-mutuel horse racing. Dual-currency sweepstakes casinos constitute illegal gambling under Utah law. HB 160 and SB 246 (2023) expanded state authority to seize profits from illegal wagering. All major operators geofence Utah.
- Utah Const. Art. VI §27 (gambling prohibition)
- Utah HB 160 / SB 246 (2023)
Vermont
No specific statuteVermont authorizes state lottery and charitable gaming but has no law specifically targeting dual-currency online sweepstakes casinos. Promotional sweepstakes with free-entry paths are permitted. No state enforcement action has been reported.
- 13 V.S.A. Ch. 51 (gambling)
Virginia
Ban pendingVirginia has no current statute banning dual-currency online sweepstakes casinos. Pending legislation in 2026 (SB 118, HB 161) would legalize licensed iGaming and simultaneously prohibit unlicensed sweepstakes offering cash prizes. No enforcement has occurred under existing law; operators watch the legislation closely.
- Virginia SB 118 / HB 161 (2026)
- Va. Code Ann. §18.2-325 et seq. (gambling)
Washington
Regulator-declared illegalWashington's strict anti-gambling statutes (RCW 9.46) treat unauthorized gambling devices broadly, and the Washington State Gambling Commission has publicly stated that dual-currency sweepstakes casinos as typically marketed are not legal in Washington. Only narrow exceptions (charitable raffles, defined promotional sweepstakes) apply. All major operators geofence Washington.
- RCW 9.46 (gambling)
- Washington State Gambling Commission public guidance
West Virginia
No specific statuteWest Virginia permits state lottery and charitable gaming and has no law specifically targeting dual-currency online sweepstakes casinos. Operators serve West Virginia under the federal no-purchase-necessary promotional framework. No state AG or lottery commission action has targeted online social casinos.
- W. Va. Code Ch. 29-22 (lottery and gaming)
Wisconsin
Free-entry permittedWisconsin permits promotional sweepstakes with free-entry paths under Wis. Stat. §945.01. No law specifically addresses online dual-currency sweepstakes casinos, and no state enforcement action has targeted operators. Operators serve Wisconsin residents under the federal promotional-contest framework.
- Wis. Stat. §945.01 (gambling definitions)
Wyoming
Regulator warningWyoming's statutes (Wyo. Stat. §6-9-104) allow only limited in-person gambling. On May 22, 2025 the Wyoming Gaming Commission issued a public warning that no sweepstakes casino is licensed in Wyoming and that all are operating illegally in the state. Operators have withdrawn from Wyoming.
- Wyo. Stat. §6-9-104 (gambling)
- Wyoming Gaming Commission public warning, May 22, 2025
How we maintain this page
We review this page quarterly and update individual state entries whenever a statute, enforcement action, or operator policy changes. Each state shows its own last reviewed date so you can audit freshness. Found an error? Email editorial@beatthespin.com.