In the weeks since our previous reports, many other states are following in footsteps of Mississippi and New Jersey with their own initiatives to curtail unregulated internet gaming and internet sweepstakes.  Recently, New York, Florida, Maryland, and Connecticut have proposed similar bill designed to criminalize internet Gaming. Additionally, West Virginia is beginning their battle by having sent out cease and desist letters to Internet Gaming brands, which prompted many to cease operations in West Virginia.

Mississippi Ban Approved by Senate:

The previously discussed Senate Bill 2510 was approved by a Senate Vote on February 13. As of February 18, 2025, the bill was transferred to the Mississippi House of Representatives who then referred it to the House Gaming Committee. This bill seeks to criminalize Sweepstakes gambling, and other types of games. The proposed penalty for operating Sweepstakes style of gambling is a felony, and the party offending, upon each conviction, be fined in any sum not exceeding $100,000, or imprisoned not exceeding 1- years.

The bill outlaws “Any online, interactive, or computerized version of any game as defined in § 75-76(k) or any other game of chance or digital simulation thereof, including, but not limited to, online race books, online sports pools, and online sweepstakes casino-style games, is hereby declared to be a gambling device, and the offering for play or operating an online or interactive platform that offers for play games within the state of Mississippi shall be deemed unlawful.”

While Mississippi has yet to launch online sports betting within the state, they are already cracking down on Sweepstakes gambling and similar gaming platforms.

New Jersey Bill Stuck in Committee:

Since the last report, New Jersey’s A5196 has not progressed and it remains under consideration of the Assembly Tourism, Gaming and the Arts committee. The Bill defines “online sweepstakes casino” as any mobile platform offering games that mimic authorized gambling games without requiring monetary investment[JC1] .  Additionally, the bill requires online sweepstakes casino operators that become licensed, partner with a casino licensee, and receive an internet gaming permit. These operators will be subject to the same legal requirements and standards of all other internet gaming operators. New Jersey Division of Gaming Enforcement would enforce penalties for unlicensed operations including fines of $1,000 per player per day and $10,000 per advertising violation.

New York Proposal Criminalizes Sweepstakes Operations and Third-Party Support for Operations:

Senate Bill 5935, which is sponsored by Senator Joseph P. Addabbo Jr is currently in the Senate Committee of Racing, Gaming and Wagering Committee and seeks to prohibit, not only the operations, but persons that support the operation. Particularly, this legislation is to prohibit certain persons from operating, conducting, or promoting certain online sweepstakes games or supporting the operation, conducting, or promotion of certain online sweepstakes games. This bill requires the New York State gaming commission and/or New York State attorney general to deny a person from commencing or continuing operations. If a person or an affiliate knowingly accepts revenue derived indirectly or directly from online sweepstakes games penalties shall be enforced.

Online sweepstakes games are defined as “any game, contest, or promotion that is available on the internet and/or accessible on a mobile phone, computer terminal, or similar device. That utilizes a dual-currency system of payment allowing the player to exchange the currency for any prize awarded… A sweepstakes game shall not include a game which does not award cash prizes or cash equivalents.” Additionally, any applicant, licensed entity, gaming employee, key employee, individual investor or investment firm, board member, or any other person or entity found in violation shall be subject to a fine not less than $10,000 and not more than $100,000 for each violation and shall be subject to the loss of a gaming license and/or ineligible for a gaming license. 

This Bill will go into effect immediately upon the approval from all the proper committees.

Florida’s Proposed Amendment to Statute to Outlaw Sweepstakes/Internet Gaming:

Florida House Bill 953 and Senate Bill 1404 have been recently proposed. Florida House Bill 953 is currently in the Industries & Professional Activities Subcommittee, while Senate Bill 1404 was just filed on February 26, 2025. These bills seek to criminalize a number of gambling-related offenses by amending Florida Statute § 849.08 to specifically outlaw Internet Gambling and Internet Sports wagering, making it a third-degree felony for any person to operate, conduct, or promote such activities.

The bills define “Internet Gambling,” as “ means to play or engage in any game in which money or other thing of value is awarded based on chance, regardless of any application of skill, that is available on the Internet and accessible on a mobile device, computer terminal, or other similar access device and simulates casino-style gaming, including, but not limited to, slot machines, video poker, and table games.” Additionally, it defines “Internet Sports Wagering” as “means to stake, bet, or wager any money or other thing of value upon the result of any trial or contest of skill, speed, power, or endurance of human or beast that is available on the internet and accessible on a mobile device, computer terminal, or other similar access device.”

While these bills are seeking to outlaw Sweepstakes gaming and like platforms. It also provides the Seminole Tribe with what seems to be exclusive access to Internet Gaming. Section 5 of the proposed bills state how this statutory section does not apply to gaming activities authorized under the gaming compact between Florida and the Tribe.

Maryland seeking to ban Sweepstakes casinos:

            Senate Bill 860 was filed after Maryland’s gaming regulator sent cease-and-desist letters to illegal online gambling operators, including ones that offer sweepstakes. Currently, this Bill has a hearing scheduled in the Senate on March 5 at 1:00 PM. This bill is attempting to prohibit operating, conducting, or promoting certain online sweepstakes. The bill specifically states that a Person may not operate, conduct, or promote an online sweepstakes game in the State (Maryland).

A violation of this is guilty of a misdemeanor and on conviction subject to imprisonment not exceeding 3 years or a fine between $10,000 and $100,000. Additionally, the bill also outlaws Illegal Interactive Gaming Markets and Interactive Game Contests. SB 860 defines “Online Sweepstakes Game” means a game, contest, or promotion that:

1.     Is available on the internet or accessible on a mobile phone, computer terminal, or similar device.

2.     Utilizes a Dual-Currency system of payment allowing the player to exchange the currency for any prize or award or cash or cash equivalents, or any chance to win any prize or award or cash or cash equivalents; And

3.     Simulates:

A.    Casino-style gaming, such as slot machines, video poker, and Table Games, including Blackjack, Roulette, Craps, and Poker.

B.    Lottery Games, including draw games, instant win games, keno, and bingo; and

C.    Sports Wagering”

As a result, this has prompted multiple Sweepstakes brands have ceased operation in Maryland.

Connecticut’s proposed Bill:

The Connecticut General Law Committee filed SB 1235, law criminalizes many other things, but specifically, the bill adds “Provide that certain persons conducting sweepstakes or promotional drawings shall not allow or facilitate participation in real or simulated online casino gaming or sports wagering” to its list. Additionally, operating sweepstakes gambling in Connecticut will be subject to the penalty for “professional gambling,” which is a proposed class D felony. The last update this Bill received was on February 14, 2025, where it had a Public Hearing.

Connecticut is another state that appears to be cracking down on Sweepstakes gambling. However, the Bill provides an example that retail grocery chains can run sweepstakes, as long as the prize is not redeemed or redeemable for cash and the prize is used as a discount to reduce the price of items purchased from grocery stores.

West Virginia might be joining the fray:

Public reporting indicates that the Attorney General of West Virginia has issued subpoenas to a group of sweepstakes operators. As a result, many sweepstakes brands have ceased operations in West Virginia ahead of any contemplated legislative efforts.

As reported by Eric Raskin of Casino Report, the Attorney General of West Virginia has issued subpoenas to a group of sweepstakes operators. As a result, many sweepstakes brands have ceased operations in West Virginia ahead of any contemplated legislative efforts.

Joe Casole,

VP, Legal and Regulator Affairs

Zacary Williams,
Legal Intern