New York sweepstakes casino ban reshapes US iGaming market

sweepstakes casino ban New York iGaming market state regulation operator adaptation

In summer 2023 New York Attorney General Letitia James issued cease‑and‑desist letters to 26 online sweepstakes casinos, leading to the passage of Bill S5935A which officially prohibited the dual‑currency sweepstakes model and imposed fines up to $100,000. Operators such as Stake.us and Chumba Casino withdrew from the state, cutting a significant revenue stream from the billion‑dollar iGaming sector.

Despite the ban, sweepstakes casinos remain popular in other states. Indiana and Maine enacted their own bans in early 2026, and Florida, Oklahoma and additional states are considering similar measures. Some operators, like Acebet, are adapting by offering legal workarounds such as providing Sweeps Coins through the sale of physical goods.

Sources

Guide on How Sweepstakes Casino Mail-Ins Work - Geek Mamas [geekmamas.com]

about 2 months ago

6 Months After New York Ban, Sweepstakes Casinos Remain Popular in Other States [riverjournalonline.com]

about 2 months ago