The sweepstakes casino industry has been under plenty of pressure from US lawmakers over the last couple of years, with states introducing bills to ban or restrict the dual-currency model used by brands like Stake.us, McLuck, and Chumba.
Some bills succeeded and some failed, but will the trend continue into 2027?
There are certainly some obvious states to watch. Maryland, Florida, and Mississippi all had sweepstakes-related bills in both 2025 and 2026, for example.
But at the same time, sweepstakes casinos aren’t quite the new political target they were a couple of years ago – prediction markets like Kalshi are increasingly taking up space in gambling debates, and there’s only so much manpower available in state legislatures.
Either way, let’s look at which states are worth watching for possible sweeps casino banning bills in 2027?
States with Sweeps-Related Bills That Didn’t Pass into Law in 2025
Six states had sweepstakes-related bills that failed to become law in 2025:
- Florida: SB 1404 / HB 1467
- Mississippi: SB 2510
- Maryland: SB 860
- Arkansas: HB 1861
- Louisiana: SB 181
- Illinois: SB 1705
These bills didn’t all fail in the same way though. Maryland’s SB 860, for example, passed the Senate but didn’t make it through the House. Mississippi’s SB 2510 made it through both chambers but ultimately died in conference after disagreements over amendments. Louisiana’s SB 181 actually made it through the legislature, only to be vetoed by Governor Jeff Landry.
States with Sweeps-Related Bills That Didn’t Pass into Law in 2026
Then this year:
- Maryland: SB 112 / HB 295 / SB 652 / HB 1226
- Florida: HB 591 / HB 189 / SB 1580
- Virginia: HB 161 / SB 118 / SB 579
- Mississippi: SB 2104
- Massachusetts: HB 4431
- Hawaii: SB 3281
- Minnesota: SF 4474 / HF 4410
These bills essentially failed to make it through the legislature, but Virginia is a slightly different case. There, lawmakers replaced the proposed ban with a study of the sweeps industry, potentially setting the stage for further action in 2027.
Another State to Note
There’s also another state worth keeping an eye on even though it doesn’t fit neatly into the failed-bill lists above: Illinois.
The Illinois Gaming Board sent more than 60 cease-and-desist letters to online casino and sweepstakes operators in 2026, arguing that these platforms are offering gambling without the required licences.
It also had SB 3439 in 2026 which mentioned “sweepstakes”, but we didn’t include it in our list above because it was looking at banning physical devices which offer “a person entry into any contest, competition, sweepstakes, scheme, plan”.
New York Attorney General Letitia James went after sweeps casinos in NY with C&Ds in 2025
But Illinois clearly has gambling restrictions on its mind, and New York provides an interesting example of how legislation can follow enforcement. In 2025, the Attorney General sent cease-and-desist letters to 26 sweepstakes operators there, before the legislature successfully passed a ban later that year.
Will Sweepstakes Casinos Still Be a Big Issue in 2027?
Whether sweepstakes casinos will even be top of the gambling agenda is also an important question. The last two years have produced plenty of legislation aimed at sweepstakes casinos, but the political conversation is already shifting.
Prediction markets like Kalshi and Polymarket have become a major new battleground, with the National Conference of State Legislatures (NCSL) reporting that at least 15 states addressed prediction-market legislation in 2026.
This isn’t just a few isolated bills. Prediction markets are now the subject of a much bigger fight over whether states or the federal government should regulate event contracts. The NCSL has described the issue as a new frontier in state regulatory authority, while several states have already taken action.
That could have an effect on sweepstakes legislation. Lawmakers only have so much time and political attention, and prediction markets are presenting a newer and arguably more urgent question. If that issue carries on dominating gambling debates, we may see fewer states introducing sweepstakes-specific bills in 2027.
Incidentally, we’ve also seen some sweeps casino brands make moves towards running prediction markets (including Fliff, Onyx Odds, and Novig), offering further credence to the idea that the winds of popularity could be changing.
So Which States Should We Watch?
If we had to make a shortlist for states to watch next year, Maryland, Florida, and Mississippi would be the starting point, with all three attempting sweepstakes-related legislation in both 2025 and 2026.
Florida Attorney General James Uthmeier has brought suits against sweeps operators in 2026
Florida is particularly notable too because Attorney General James Uthmeier filed lawsuits against two of the biggest sweepstakes operators in the US (VGW and Stake) in August this year.
These lawsuits allege that the dual-currency model amounts to illegal online gambling under existing Florida law, so the state is clearly trying to tackle the industry through the courts rather than simply waiting for another ban attempt.
Sweepstakes casinos are now a major target in the Sunshine State, but another legislative ban isn’t necessarily the only way this could develop, because if existing laws prove sufficient, there may be less need for a new sweepstakes-specific bill. However, that didn’t stop New York from introducing their ban in 2025, despite being confident state law already covered the issue.
The FL cases are still in their very early stages, so we’re monitoring them for developments.
Any of the other states mentioned could also be in the running. Virginia is interesting as lawmakers replaced its proposed sweeps ban with a study, with the findings due in December 2026. But we wouldn’t be surprised if there were fewer sweepstakes bills in 2027 overall due to the influence of prediction markets.
Author: Jon Ridehalgh
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