“I feel confident. I feel bullish. Bet on Queens,” Richards said Sunday, a day before the New York Gaming Facility Location board is set to decide whether to issue up to three downstate casino licenses — with two bidders pitching locations in Queens.

“Why go to Manhattan? You can stay in Queens! Queens becomes a global entertainment hub,” Richards said.

Illustration of Resorts World casino at Aqueduct Racetrack in Queens, New York. AP

New York Mets owner Steve Cohen is leading a group that wants to build a gaming complex near Citi Field while Genting’s Resorts World is bidding for a casino at Aqueduct race track.

Bally’s is also bidding for a casino complex at Ferry Point, President Trump’s former golf course in The Bronx.

The proposed $8 billion Cohen-Hard Rock Metropolitan Park casino complex would be a tourist magnet and an economic multiplier next to the US Tennis Center, new soccer stadium and the Mets home stadium, Richards said.

He said Resorts World, which has operated a slots parlor for more than a decade, can offer live table games within months because they already have the space to do so. The expanded complex with community benefits is worth $7.5 billion.

Both bidders will build concert halls for added entertainment.

“I feel confident. I feel bullish. Bet on Queens,” Richards said. Gabriella Bass

The proposed $8 billion Cohen-Hard Rock Metropolitan Park casino complex would be a tourist magnet. Hard Rock International

Both sites are close to the borough’s two airports — Metropolitan Park near LaGuardia and Resorts World near Kennedy.

Meanwhile, Bally’s $4 billion bid has strong support from the Bronx Democratic Party elected officials, though it has faced some stiff neighborhood opposition.

Bally’s chairman Soo Kim told The Post Saturday he believes his chances of scoring a license “looks pretty good.”

“We put our best effort out there,” he said. “I don’t think we have any weak spots.”

New York Mets owner Steve Cohen (left) is leading a group that wants to build a gaming complex near Citi Field. James Keivom

Bally’s acquired the golf course at Ferry Point from the Trump Organization in 2023, and it’s now called Bally’s Golf Links at Ferry Point. It is on the Bronx side of the Whitestone Bridge that connects with Queens.

As part of the deal, Bally’s agreed to provide the Trump Organization an additional $115 million — if it wins a casino license.

The Gaming Facility Location Board is evaluating each project based on criteria set in state law. Economic activity and business development accounts for 70% of the grade, 10% for location site impact — and 20% combines for workforce enhancement and diversity framework.

Casino applicants each need to pay $500 million license fees to operate – which would go into the cash-strapped state’s coffers — as well commit to at least $500 million in capital investments on their projects.

Some of the proceeds from gaming operators will help fund mass transit.

Bally’s agreed to provide the Trump Organization an additional $115 million — if it wins a casino license. James Messerschmidt

A pool of what was once 11 bidders has dwindled to three – but there’s no guarantee each of the survivors will get licenses because the five-member board doesn’t have to award any.

But many Albany insiders said the immediate cash from the licenses will spur the state to award as many as 3.

The state Gaming Commission will have final say, ratifying or rejecting the awards made by the siting board by year’s end.

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The news comes from a joint action with the United States Treasury and the Government of Mexico. The Department of the Treasury’s Office of Foreign Assets Control (OFAC) and the Financial Crimes Enforcement Network (FinCEN) have been working with their North American counterparts to investigate HOCG’s actions.

Today, Treasury issued sanctions and has taken steps to cut off numerous Mexico-based gambling establishments involved in cartel-related money laundering.

We will continue to target those involved in supporting terrorist drug cartels.

— Treasury Department (@USTreasury) November 13, 2025

Sinaloa Cartel is reliant on HOCG

The Department of the Treasury posted a release regarding a recent diplomatic engagement by Treasury Under Secretary for Terrorism and Financial Intelligence John K. Hurley.

Hurley was commissioned to work with Mexican intelligence agencies to reduce the impact that the cartel had across the globe, which perpetrated money laundering, drug trafficking, and other nefarious activities.

Luftar, Arben, Ramiz, Fatos, and Fabjon Hysa have all been sanctioned as part of a twenty-seven-person action and mass asset seizure by OFAC.

The Treasury statement reads that this action intends to “sever 10 Mexico-based gambling establishments’ access to the U.S. financial system due to money laundering.”

Casino locations under NPRM

FinCEN has also issued a notice of proposed rulemaking (NPRM) to ten casino locations in Mexico under section 311 of the USA PATRIOT Act.

The NPRM seeks to detach these entities from the US financial system, as investigations have shown that the Sinaloa Cartel relies heavily on them to launder money.

The special measure will prohibit these institutions from “opening or maintaining a correspondent account for any foreign banking institution if such account is used to process transactions involving any of the gambling establishments,” said the report.

The second section of the special measure will also require any of these locations or related institutions to apply for special due diligence to “their correspondent accounts that are reasonably designed to guard against the use of such accounts to process transactions involving any of the gambling establishments.”

The entertainment venues under the NPRM are Sonoran locations, including Emine Casino, Casino Mirage, and Midas Casino, as well as locations in Agua Prieta, Los Mochis, Guamuchil, Mazatlán, and Rosarito, Baja California.

Palermo Casino, Skampa Casino Ensenada, Baja California, and Skampa Casino Villahermosa, Tabasco, are also included in the NPRM.

“The United States and Mexico are working together to combat money laundering in Mexico’s gambling sector. Our message to those supporting the cartels is clear: You will be held accountable,” said Treasury Under Secretary for Terrorism and Financial Intelligence John K. Hurley.

Featured image: Adobe Firefly

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After the 32-year-old robbed a bank in Shoreline, Washington, in August, he was arrested by the police. They were already looking for him concerning a few other casino robberies.

At the start of the month, Gonzalez walked into Quil Ceda Creek Casino on the Tulalip Indian Reservation and brandished a silver handgun towards the staff.

Allegedly, he told the cashier that he would “shoot the guards” unless money was handed over to him. Despite this, the cashier refused to do so, and Gonzalez left abruptly.

Just two days later, the Mexican attempted to rob another casino, and this time he came away with $18K from the Silver Reef Casino, located on the Lummi Nation Indian Reservation.

Edgar Gonzalez Barragan is suspected of being behind more crimes

Three surveillance images of an armed robbery suspect at Little Creek Casino. Credit: Mason County Sheriff’s Office

Just under a week after his $18k haul from the Silver Reef Casino, Gonzalez tried his luck once more, this time at Little Creek Casino in Kamilche, Washington.

“On 8/9/2025 at about 11:24 AM, a suspect entered the casino’s supervisor station, displayed a handgun, and demanded money. When told there was no money in the till, he fled on foot,” said the sheriff’s office in a statement following the incident.

Later that same day, Gonzalez managed to steal a hydraulic rescue tool worth $12k from a fire engine. The incident was reported by the Riverside Fire Authority, and these tools can help criminals easily break ATM machines.

After stealing just $1,500 from the US Bank in Shoreline, the 32-year-old was stopped by the police.

Furthermore, Federal agents went on to raid his home, finding clothes that he wore the same day of the Little Creek robbery earlier that month.

Elsewhere, his three phones displayed location data which placed him at the scene of the crime for all robberies and attempted robberies.

Featured image: Centralia, WA Police Department via Facebook

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Working with the Security Cabinet, the Ministry of Finance and Public Credit has identified 13 casinos as part of an investigation into organized crime and money laundering. It uncovered signs relating to cash operations, international transfers, and the use of unsupervised digital platforms that labelled the casinos “high financial risk”.

La Secretaría de Hacienda refuerza acciones institucionales para impedir el lavado de dinero a través del uso de casinos por presuntos grupos de la delincuencia organizada.https://t.co/zH9tCLLe2U#ComunicadoHacienda pic.twitter.com/a29WCtkByD

— Hacienda (@Hacienda_Mexico) November 12, 2025

The findings of the investigation have led to Mexican authorities blocking the casinos to protect users and remove any risk of them being used by organized crime groups.

Multimillion-dollar organized crime transactions spotted

In addition, signs of international money laundering were detected at gaming establishments across various regions, including Jalisco, Nuevo León, Sinaloa, Sonora, Baja California, State of Mexico, Chiapas, and Mexico City. Some of those casinos are alleged to have carried out multimillion-dollar cash transactions, with transfers going to the US, Romania, Albania, Malta, and Panama.

Further suspicion was raised when it was found that apparent users of digital platforms were not in line with the amount of money being transferred. For example, housewives, students, retirees, and the unemployed were seemingly transferring large sums of money to the real recipient in exchange for a percentage fee, in an attempt to make the income appear as though it had come from casino games.

The Ministry of Finance and Public Credit now plans to file the complaints with the Attorney General, as well as notify the tax authorities.

“With this, the Ministry of Finance reaffirms the commitment of the Government of Mexico to strengthen inter-institutional coordination, prevent criminal infiltration in vulnerable sectors, and consolidate joint actions with security and law enforcement authorities to prevent casinos and betting platforms from being used by alleged organized crime groups, as well as to protect users and the population,” reads the official statement from the Ministry.

Featured image: Wikimedia Commons, licensed under CC BY-SA 4.0

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Minnesota Attorney General Keith Ellison said on Wednesday (November 5) that he is demanding that 14 different sites cease activity in the state. He reasons that while sweepstakes casinos and similar sites might disguise themselves behind the virtual currency system in place, it’s still effectively illegal and unregulated gambling:

“Online platforms offering sportsbooks and casino games run by out-of-state and overseas operators may make it look as though online gambling is legal and safe in Minnesota, but let me be clear: it is not.”

“Trying to rebrand poker chips as virtual currencies does not change the fact that these online gambling operations are unlawful.”

SGLA takes aim at Minnesota with ex-congressman

The SGLA has reared its head as Minnesota took action against the sites in question. In its own press release, the SGLA argued that the AG’s office should “reconsider its mischaracterization of online social games with sweepstakes promotions.” Again, as with other states, it argues that sweepstake casinos are “lawful, free-to-play social games enjoyed by millions of Americans.”

Sweepstake casinos operate on a dual currency system. This can be bought in bundles, but oftentimes, there’s no protection for gamblers in place. As the sites also often operate out of state or offshore, it can also lead to players losing out over technicalities, with no backing of the state to fall back on.

Jeff Duncan, Executive Director of SGLA and a former Republican congressman, said:

“While the popularity of Social Plus games has attracted some bad actors, SGLA partners maintain strict age verification standards, industry-leading responsible gameplay tools, and best-in-class financial crime safeguards.”

However, despite their efforts, Minnesota lawmakers have found it difficult to purge the state of these “social casinos”. The AG points to the fact that it’s actively difficult to police companies that aren’t even located in the US.

Minnesota Department of Public Safety commissioner Bob Jacobson criticized the sweepstakes casino model in a press release:

“There’s no accountability, no protection for players and no way to know if the betting will be run fairly.

“Through our Alcohol and Gambling Enforcement division, we will work with the Attorney General to hold these operators accountable, protect Minnesotans and ensure the integrity of Minnesota’s gaming industry.”

Featured image: Lorie Shaull (Wikicommons), SGLA

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While the traditional approach has long worked, the need to adapt to changing interests is creeping up quickly. Especially as the younger generation, Gen Z, will soon represent a larger share of global spending power.

Like with every generation, the interests, new trends, and the economy all influence how people spend their time and money. While casinos have previously relied on the perceived glitz and glamor that has been shown off in countless films and TV shows, they may now need to change approaches.

With this in mind, we’re looking at how the casinos will change and what they could look like in the future.

What has previously worked for casinos around the world?

Showboat Hotel and Casino, seen in 1961. Credit: Wikimedia Commons

During the 50s and 60s, casinos were perceived as being the ultimate signal of glamor and prestige, with the baby boomers tying exclusivity and wealth to places like Las Vegas and Monaco.

At this time, the classic table games like poker and roulette ruled the roost, with entertainment becoming a component of these areas too.

In the 60s – 80s, the ‘Vegas experience’ was bolstered even further as large commercial companies began to open up. The most popular performers of the time made their way to Vegas, including Elvis Presley who had a seven-year-long residency at the International Hotel.

A casino security guard watches the players in Nevada, USA, 1960s. pic.twitter.com/937ZpMHKkh

— Historic Vids (@historyinmemes) June 6, 2025

This excitement at the time trickled into the industry in general too, with casinos becoming of greater interest to the public.

Over time, however, the rise of technology appears to have diluted some of the previous attractions to casinos as it’s now possible to gamble on mobile phones. However, millennials have played into the broader experience of casinos with many now offering pool parties, concerts, luxury experiences, and more.

The future of casinos may see the merging of the digital with the physical world

People are no longer strangers to the digital world, with social media integrating itself into daily routines and even life admin being completed online.

It’s not a new world in today’s society, but is something that could be expanded upon even further on the casino floor. The use of apps and devices could play a larger role, with smart integrations. This could include using apps to pre-book casino tables, reap rewards and loyalty points, and cross-playing across an app and then continuing at a real casino table.

In a world where people can access different worlds and games at the tap of a button, brands need to be able to keep up and show that they’re able to retain the attention of potential customers.

The younger generation especially, has been raised on state-of-the-art video games, with digital platforms now offering top-notch digital platforms. For casinos, a simple QR code linked to a website may no longer cut it. Instead, an introduction of more interesting digital approaches could be seen as a go-to in the future.

AI-driven experiences and immersive technologies

According to a Deloitte report, 29% of Gen Zs and Millennials would be interested in using a VR headset to travel and explore virtually. And around 40% say they have used VR technology in some way, from gaming to attending a concert or sporting event, or for work or school.

With this in mind, the casinos of the future could include metaverse integrations. For those looking to go all in, a gamified environment could be built by casino brands. While this is yet to come to fruition, the current growth of AI and immersive experiences could see a growing preference for this type of technology.

Entertainment hubs merging into the gambling section

Casino brands are already beginning to understand the importance of entertainment, alongside the gambling aspect. In an interview with the Las Vegas Review Journal, Jonathan Jossel, CEO of the Plaza hotel-casino said non-gaming amenities are “really important” to operators.

Cliff Atkinson, the president of Virgin Hotels Las Vegas, also told the publisher that millennials and Gen-Z visitors are seeking ‘well-rounded experiences.’

This thirst for something different could see brands integrate entertainment into the casino floor, as well as throwing events that blend different aspects.

Featured Image: AI-generated via Ideogram

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The updated language makes it clear: “(a) It is unlawful for any person or entity to operate, conduct, or offer an online sweepstakes game in this state.”

News: California bill to prohibit online sweepstakes casinos (AB 831) has been amended by CA Senate on 3rd reading to specify that it would not criminalize state lottery games or traditional sweepstakes promotions conducted on "limited and occasional" basis. pic.twitter.com/H8p8IsedWY

— Daniel Wallach (@WALLACHLEGAL) September 4, 2025

It also declares: “(b) It is unlawful for any entity, financial institution, payment processor, geolocation provider, gaming content supplier, platform provider, or media affiliate to knowingly and willfully support directly or indirectly the operation, conduct, or promotion of an online sweepstakes game within this state.”

Some of the Senate’s tweaks were more about wording than substance. For example, “gambling-themed games” got trimmed down to just “gambling,” “casino-style table games” was simplified to “table games,” and the phrase “and willfully” was added after “knowingly.”

The bill also explains that these rules will not interfere with legal gambling operations such as casinos licensed under the Gambling Control Act or with the California State Lottery.

It goes on to clarify: “The bill would specify that these provisions do not make unlawful game promotions or sweepstakes conducted by for-profit commercial entities on a limited and occasional basis as an advertising and marketing tool that are incidental to substantial bona fide sales of consumer products or services and that are not intended to provide a vehicle for the establishment of ongoing gambling or gaming.”

Following these updates, the measure has progressed to a second Senate reading.

AB 831 not expected to outlaw traditional sweepstakes promotions in California

Both of those arguments were specious. The Starbucks-type promotions were already protected by Section 17539.1's existing "limited and occasional" language. And state lottery games could not be criminalized since they are specifically authorized by the CA Constitution and CA law.

— Daniel Wallach (@WALLACHLEGAL) September 4, 2025

Sports betting attorney Daniel Wallach said the updated language resolves misconceptions about the bill’s reach. “This language addresses the false contentions that AB 831 would outlaw traditional sweepstakes promotions like those offered by Marriott, Microsoft and Starbucks, as well as the California Lottery’s ‘2nd Chance Program’ online games,” he wrote.

He continued: “Both of those arguments were specious. The Starbucks-type promotions were already protected by Section 17539.1’s existing ‘limited and occasional’ language. And state lottery games could not be criminalized since they are specifically authorized by the CA Constitution and CA law.”

Featured image: Canva

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In a new press release, the SGLA cites a new survey that it calls a “nationwide poll with an oversample of California voters,” while reiterating its points from previous reports about the potential ban of sweepstakes casinos.

The survey is produced in part by the SGLA and claims a positive outlook on social casinos, with an overwhelming majority of people asked, at 89%, agreeing that “games should continue operating”.

However, there are concerns with how the survey questions are framed, particularly in the way sweepstakes casinos are compared with video games. For example, games like Candy Crush and Fortnite do not award monetary prizes. Instead, they provide in-game rewards tied to player actions. One of the questions reads:

“What is your opinion of online social games or games where users can win prizes without making in-game purchases, like Candy Crush or Fortnite?”

This raises issues of comparability. Sweepstakes casinos are designed around chance-based gameplay that simulates casino environments, while titles such as Fortnite and Candy Crush, though they may include random elements, are primarily skill-based.

The reference may instead be to optional in-game purchases, such as cosmetic skins or items. However, these are not “prizes” in the traditional sense, but rather products purchased directly by the player.

SGLA “disappointed” in current AB 831 status

Speaking in the press release, Jeff Duncan, Executive Director of the Social Gaming Leadership Alliance, said:

“SGLA is extremely disappointed that the Senate Appropriations Committee has decided to move AB831 forward instead of listening to the California tribal nations that oppose the bill, the legitimate California businesses that will be threatened with criminal liability for providing routine services, the California constituents who have made it clear they prefer commonsense regulation over banning online social games and the California players who love the games.”

The bill has been passed every stage unanimously so far, with every vote in favor, and has the backing and opposition of tribal leaders in the state. However, it has until September 12 to pass, or it’ll be mothballed until a future date.

Featured image: Social Gaming Leadership Alliance

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On Wednesday (July 16), the California Public Safety Committee voted 6-0 to approve the bill in its current form. As we’ve reported before, several groups from the “social gaming” space have unexpectedly teamed up with organizations like the American Civil Liberties Union (ACLU) and others to push back.

Opponents of the bill argue it could have unintended consequences, potentially hurting legitimate promotional practices and slowing innovation. On the other hand, local tribal leaders believe sweepstakes casinos could eventually disappear entirely in California, and possibly nationwide.

So what’s going on with sweepstakes casinos in the US? And are they actually legal?

Are sweepstakes casinos legal in the US?

As it stands, sweepstakes casinos are legal in states where online gambling is banned for one simple reason: they are not considered gambling sites.

At a traditional online casino, you play games by wagering real money. At a sweepstakes casino, it’s different. You use virtual currencies, usually Gold Coins (GC) and Sweeps Coins (SC), instead of cash.

Another important point is that no purchase is required. Sweepstakes casinos are legally obligated to offer free play. Most of them do this by giving out free Gold Coins and Sweeps Coins in various ways.

One big reason sweepstakes casinos have become so popular is that traditional online casinos are still banned in all but six states. Even though online sports betting is now legal in more than 30 states, it’s still off-limits in some of the country’s biggest markets.

Which states have not banned sweepstakes casinos?

Sweepstakes casinos are legal in 48 states, but that doesn’t mean every provider operates in all of them.

States like California, Texas, and Florida are great examples. Even though traditional online casinos are banned there, sweepstakes platforms are allowed to run under local laws. That said, each state still has its own rules to make sure these sites comply with gambling regulations and promotional standards.

California

In California, sweepstakes casinos are able to operate legally thanks to the state’s general promotion laws. As long as these platforms follow the rules, like making sure players are at least 18, they can offer a wide range of games to adults. Even so, platforms like Stake.us have been hit with lawsuits from people who argue the site is really promoting gambling. The company, however, strongly denies those claims.

What surprises many people is that California, despite its progressive reputation, has yet to legalize traditional online gambling. Since 2019, there have been multiple attempts to bring it to the table, but each effort has faced strong resistance, especially from tribal casino groups worried about losing business to online competition. They are the only groups that are legally allowed to run gambling operations in the state, hence they’ve thrown their support behind AB 831.

What a week. Sweepstakes gambling will still die an ugly death. That’s not up for debate. As for DFS, I see this as an opportunity to redefine the industry on our terms.

— Victor Rocha (@VictorRocha1) July 4, 2025

Victor Rocha, conference chair of the Indian Gaming Association, has previously said: “After California, they’re not going to have much oxygen left.

“I think Texas is coming right behind us, especially when it’s this egregious exploitation.”

For now, sweepstakes casinos and daily fantasy sports are still fully legal and continue to fill the gap for Californians looking for online gaming options. However, in recent days, the state’s attorney general, Rob Bonta, voiced his disapproval of draft and pick’em-style daily fantasy contests, arguing that they amount to betting on sporting events.

Texas

Texas is another major market where sweepstakes casinos are booming, even though the state hasn’t legalized sports betting or real money online casinos. The legal landscape here has made it easy for these platforms to gain traction and attract plenty of players.

Known for its conservative stance on gambling, Texas has been slow to embrace change. While there’s been some movement toward expanding land-based casino options, legal online gambling still isn’t on the horizon. For now, sweepstakes casinos remain one of the few legal ways Texans can enjoy casino-style games online.

Georgia

Georgia has some of the strictest gambling laws in the country, and honestly, it’s hard to imagine the state ever approving traditional online casinos or sports betting. As of now, the only forms of gambling allowed are the state lottery, bingo, and charity raffles.

That said, Georgia does make room for social gaming and promotional sweepstakes. This means sweepstakes casinos can operate legally, giving players in the Peach State a way to enjoy online games. If you’re over 18 (or 21 for certain platforms), you can sign up and play at a social casino without breaking any laws.

Florida

Florida has its own set of rules for sweepstakes promotions, but they still leave room for platforms like Chumba, Hello Millions, and Pulsz to operate. These sites avoid the restrictions on traditional online casinos by using the sweepstakes model, which keeps them within legal boundaries.

In May, online sweepstakes casinos supporters scored another win after two proposed bills were pulled and set aside indefinitely in the Florida legislature.

Louisiana

Sweepstakes casinos were on the verge of being booted out of Louisiana until Governor Jeff Landry stepped in and vetoed the bill in June.

Governor Jeff Landry spoke about his decision to veto the proposed sweepstakes casino bill. Credit: Gage Skidmore / Creative Commons

Senate Bill 181 sailed through the legislature with no resistance, passing 99-0 in the House and 38-0 in the Senate. But it came to a halt when critics argued the bill was too broad and would sweep up more than just sweepstakes casinos.

In his veto letter, Landry explained that SB 181 was unnecessary because Louisiana already has strict laws against online gambling. He pointed out that the existing framework makes additional legislation redundant.

Even so, Louisiana does not offer much when it comes to legal online gambling. Casino-style games, online poker, bingo, and most forms of online betting remain banned. The only exception is sports wagering, which became legal in 2021. For now, anyone looking to gamble has to stick to in-person casinos, which are scattered throughout the state.

Which states have banned sweepstakes casinos?

Connecticut became the second state after Montana to ban sweepstakes casinos. The ban is set to take effect on October 1, 2025. Other states where sweepstakes casinos are currently unavailable for various reasons include Arizona, Washington, Idaho, New York, New Jersey, Nevada, Michigan, Delaware, Maryland, Montana, Utah, and West Virginia.

Governor Ned Lamont signed Senate Bill 1235 (SB 1235) into law back in June, officially putting an end to sweepstakes casinos in the Constitution State.

According to SB 1235, “no person shall conduct or promote a sweepstakes or a promotional drawing” or “facilitate participation in any real or simulated online casino gaming or sports wagering.” Violating the law could lead to a $5,000 fine and up to five years in prison.

There is one exception to the new rules. Grocery stores can still run sweepstakes, but the prizes are limited to discounts on store products instead of cash rewards.

Since it was signed into law, SB 1235 has faced pushback from groups opposing the crackdown on sweepstakes platforms.

Many sweepstakes casinos have also already pulled out of New York as the state steps up its crackdown efforts. The push has led several operators to leave the market entirely.

Senator Joseph Addabbo Jr.’s bill has made many sweepstakes casinos leave the state. Credit: www.nysenate.gov

In May, VGW, the company behind popular platforms like Chumba Casino and LuckyLand Slots, told ReadWrite that it had informed players about its decision to start phasing out the platform. The company added that it planned to fully exit the New York market by the end of August.

The developments come as Senator Joseph Addabbo Jr.’s SB 5935 bill continues making its way through the New York legislature.

Why are states banning sweepstakes casinos?

Many states argue that sweepstakes casinos are really just another form of gambling, even if players are not directly wagering cash. Officials say these platforms have been flying under the radar and avoiding the kind of regulation traditional gambling faces.

In early July, Louisiana Attorney General Liz Murrill declared online sweepstakes casinos illegal in the state, despite Governor Landry saying otherwise. When asked by State Senator Rick Edmonds whether these platforms comply with Louisiana’s gaming laws, Murrill answered no.

She explained that sites using “Gold Coins” and “Sweepstakes Coins” are designed to mimic real gambling. By charging fees, keeping part of the funds, and offering cash prizes, they cross the line into illegal territory under Louisiana law. She also pointed out that Louisiana does not allow online casino gaming unless it is approved by legislation or a public vote.

“Online sweepstakes casinos are illegal, dangerous, and can seriously ruin people’s finances,” said Attorney General James. “I thank the NYS Gaming Commission and Senator Addabbo for partnering with my office on this issue to protect New Yorkers.” https://t.co/NlFxT2eW4O

— Daniel Wallach (@WALLACHLEGAL) June 6, 2025

Murrill added that these sites are not like legitimate sweepstakes run by brands such as Marriott, which are temporary promotions. Instead, sweepstakes casinos operate year-round with the goal of making a profit.

New York officials have voiced similar concerns. Attorney General Letitia James warned, “Online sweepstakes casinos are illegal, dangerous, and can seriously ruin people’s finances.” New York State Gaming Commission Chairman Brian O’Dwyer echoed this, describing them as “unscrupulous, unsecure, and unlawful.”

Featured image: Canva

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The proposal has sparked a heated debate with groups like the Social and Promotional Games Association (SPGA) arguing it could stifle “innovation,” while some tribal leaders worry it could harm communities that have already faced historic challenges.

BACKROOM BAN: CALIFORNIA’S GUT-AND-AMEND MOVE RISKS JOBS, INVESTMENT, AND CONSUMER CHOICE pic.twitter.com/i5ewk3jEhi

— theSPGA (@theSPGA) June 23, 2025

California is still one of 10 states that haven’t legalized sports betting. At the same time, daily fantasy sports have been running online in the state for over a decade. Sweepstakes casinos, however, have become a headache for regulators across the country. While tax concerns are part of the issue, the bigger challenge is how difficult these platforms are to regulate.

In June, AB 831 was rewritten from the ground up by Assembly member Avelino Valencia with support from the California Nations Indian Gaming Association. The updated version is designed to close every loophole and remove sweepstakes casinos from the state completely.

NEW: The California anti-sweepstakes bill gets its 2nd legislative hearing on July 15th at 9 am PT before the Senate Public Safety Committee. AB 831 would ban online sweepstakes casinos and impose criminal penalties on operators, suppliers, promoters and media affiliates. pic.twitter.com/N5G7aTzDbK

— Daniel Wallach (@WALLACHLEGAL) July 11, 2025

Here’s what you need to know about AB 831 and how it could impact sweepstakes casinos in California.

Is sweepstakes legal in California?

Yes, sweepstakes are generally legal in California as long as they follow certain rules. Entry must be free and based purely on chance, with no purchase or payment required to enter or claim a prize. The state also has strict transparency and consumer protection requirements. Companies have to clearly disclose the rules, who’s eligible, and the odds of winning.

But California Attorney General Rob Bonta isn’t a fan of how some platforms have been operating. He recently released a scathing opinion about them, saying these types of games have often been used to scam consumers.

In a 33-page document published earlier this month, Bonta criticized draft and pick ’em-style daily fantasy contests. He argued they cross a line “because they involve betting on sporting events.”

On the State of California Department of Justice website, Bonta had already warned: “Thousands of companies use sweepstakes cards, letters, and calls—or the promise that you have won a prize—to entice consumers to send money, give up their personal information, or listen to a persuasive sales pitch. Often, consumers give the company their personal information, time, or money, only to get nothing back at all.”

The SGLA urged lawmakers to reject AB831 during today’s California Senate Governmental Organization Committee hearing on the bill. Why?

AB831 would:
Ban online social games that offer legal “freemium plus sweepstakes” options
Override longstanding legal precedents that… pic.twitter.com/lXnE5rxcKT

— Social Gaming Leadership Alliance (SGLA) (@SGLeadership) July 8, 2025

DraftKings and Underdog are among the companies pushing back. Underdog has said it will keep offering fantasy sports in California and even tried to block Bonta’s opinion from being released. That effort didn’t work and a California state judge ruled the opinion doesn’t change existing state law and allowed it to be published.

Jeff Duncan, the Social Gaming Leadership Alliance (SGLA)’s executive director and former Congressman, stated: “This bill isn’t about protecting players. It is about protecting incumbents from competition.”

The SGLA has now launched a dedicated website. So far, the site shows 21,577 actions taken, including writing, calling, and posting to X, formerly known as Twitter, all aimed at local lawmakers.

What a week. Sweepstakes gambling will still die an ugly death. That’s not up for debate. As for DFS, I see this as an opportunity to redefine the industry on our terms.

— Victor Rocha (@VictorRocha1) July 4, 2025

On his webcast “New Normal,” Victor Rocha, conference chair of the Indian Gaming Association, said it’s “only a matter of time before the controversial dual currency form of gaming is eradicated.”

How do I find legitimate sweepstakes?

Bonta has some advice for spotting legitimate sweepstakes and avoiding scams.

For one, don’t pay to enter a sweepstakes or for the chance to win a prize. Real sweepstakes are free and based on chance. It’s illegal for companies to make you buy something, pay a fee, or do anything to increase your odds of winning. They must give you a way to enter without spending money, though that information is sometimes buried in the fine print.

Also, never pay to claim a prize. If you get a surprise notice saying you’ve won, be cautious. Legitimate prizes don’t require you to cover “taxes,” shipping fees, or any other charges.

Avoid calling 1-900 or 900 numbers to enter sweepstakes or collect prizes. These “pay-per-call” numbers can rack up huge charges and are a common trap.

“Don’t pay to enter a sweepstakes or for the chance to win a prize. Legitimate sweepstakes are free and by chance. It is illegal to require you to buy something or pay to enter or increase your odds of winning a sweepstakes.” – Attorney General Rob Bonta, State of California Department of Justice

Be careful if you’re asked to call a number, attend a webinar, or join an event to learn more about a sweepstakes or prizes as this is often a tactic to get you to listen to a sales pitch for an overpriced product, a trial offer, or even a donation.

Don’t hand over your personal information like your phone number, home address, or email. Entering a shady sweepstakes could result in a flood of telemarketing calls, junk mail, and spam because your details might be sold to other companies.

Watch out for impressive-sounding names, official-sounding titles, and prizes that seem too good to be true. Scammers often rely on these tricks to appear credible and lure people into handing over their money or information.

It’s also worth knowing the rules about raffles. If you’re paying for a chance to win, that’s a raffle, not a sweepstakes. In California, raffles are only legal if run by a charitable organization registered with the Attorney General’s Office, and at least 90 percent of the money raised must go to charity. You can check if a raffle is registered by searching the Attorney General’s Registry of Charities and Fundraisers.

If you think you’ve come across a scam, you can report it directly to the California Attorney General’s Office.

What states require sweepstakes registration?

In the United States, only Florida, New York, and Rhode Island require sweepstakes registration under certain conditions. In Florida and New York, this applies if the total retail value of all prizes is more than $5,000. Whilst in Rhode Island, the threshold is $500, but it only applies to retail store promotions. In some cases, bonding is also required.

In every other state, sweepstakes and contests follow general promotion laws without any extra state-specific requirements.

Similar to California, many states make it clear that winners cannot be asked to pay or buy something in order to claim their prize. For promotions tied to alcoholic beverages, there are also rules in place.

In states like Alabama, Arizona, Indiana, and Vermont, sweepstakes cannot require people to visit a licensed location to enter, and all such promotions must be open to residents across the entire state.

As for tobacco-related promotions, these are completely banned in Massachusetts, Michigan, and Virginia.

Featured image: Canva

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