Sweepstakes casinos have revolutionized online gaming across the United States by offering a legal alternative to traditional gambling sites in states where real-money online casinos remain prohibited. Operating under a unique business model that utilizes virtual currencies instead of cash wagers, these platforms have managed to establish themselves in nearly every corner of the country.
Unlike traditional online casinos that are legal in just seven states (Connecticut, Delaware, Michigan, New Jersey, Pennsylvania, Rhode Island, and West Virginia), sweepstakes casinos have found a way to operate legally in 48 states by following sweepstakes regulations. These regulations allow social casinos to offer games of chance and cash prizes as long as there's no purchase necessary to enter.
The key to their legality lies in their two-currency system: Gold Coins (for entertainment only) and Sweeps Coins (redeemable for cash prizes). This distinction, combined with free methods to obtain Sweeps Coins, allows these platforms to operate where traditional online gambling remains illegal.
However, navigating the sweepstakes casino landscape can be challenging, as availability varies significantly by state and operator. Some states have imposed restrictions, others have pending legislation that threatens future access, and certain operators have proactively withdrawn from markets where scrutiny has increased.
This comprehensive guide will help you understand exactly where sweepstakes casinos are legal, which operators serve your state, and what special restrictions might apply to players in your region.
Looking at the map in the image above, you will see each state broken down into one of 3 categories: full availability (all operators active), partial availability (some operators active), and no availability (no operators active).
Full Availability States (Dark Green on Map)
States where all major operators are available
Examples include Texas, Florida, California, and most midwestern states
Most operators have 100+ sweepstakes casinos available in these markets
Partial Availability States (Light Yellow on Map)
States where some operators have chosen to restrict service
Includes New York, Pennsylvania, Ohio, Kentucky, Wyoming, Montana
Reasons for limited availability:
Ongoing legal challenges
Similar restrictive state gaming laws
Proximity to regulated online gambling markets
Restricted States (Gray on Map)
Michigan: Recently banned following cease-and-desist orders from the Gaming Control Board
Washington: Long-standing prohibition under the Washington Gambling Act
Nevada: While technically legal, most operators avoid the state
Other states with significant operator restrictions: Tennessee, Idaho
It is important to note that operator policies will vary significantly by state. Some operators are much more aggressive when it comes to remaining active in a market until the last possible second, which is typically a cease-and-desist letter from an attorney general.
The most aggressive sites are available in as many as 47 states (sites like Chumba Casino). Meanwhile many smaller operators, such as Mega Bonanza, take a much more cautious approach. Here is an operator-by-operator breakdown:
Here are some examples of the types of differences we see between operators:
McLuck doesn't operate in Alabama, West Virginia, Maryland, Montana, Nevada, and Kentucky
Many operators have exited Montana despite no explicit ban
VGW brands (Chumba, LuckyLand) have withdrawn from states like Connecticut following regulatory pressure
Some operators avoid states with regulated real-money online casinos to prevent legal conflicts
In addition to the relatively small list of states that have banned sweepstakes casinos, several have limited the size of prizes available or have pending legislation that could ban sweeps in the state.
Florida and New York: Maximum prize capped at $5,000 (prizes above are voided)
States with pending legislation or increased scrutiny:
Florida, Maryland, New York, and West Virginia
Connecticut and Arkansas with ongoing bills