Legal Sweepstakes Casinos: Top Platforms and Available States

The 10 biggest U.S. states where sweepstakes casinos are legally available are listed below.

1. California
2. Texas
3. New York
4. Illinois
5. Florida
6. Mississippi
7. Kansas
8. Oklahoma
9. Arkansas
10. North Dakota

In California, the largest state where sweepstakes casinos operate legally, regulations under "California Business and Professions Code (BPC § 17539.15)" govern their activities strictly, as confirmed by Sweepsio research for compliance analysis.

The law requires that all promotional materials clearly state that no purchase is necessary to enter or win, ensuring compliance with legal standards.

Misleading statements, such as falsely claiming someone has won or was "specially selected," are prohibited. Sweepstakes promotions cannot simulate official documents, ensuring transparency and fairness.

Additionally, entries without purchases must have equal chances of winning, preventing any disadvantage for participants.

Sweepstakes casinos are legal in Texas under the guidelines set by "Chapter 622 of the Texas Business and Commerce Code".

This law regulates mail-based sweepstakes, ensuring fairness and banning any requirement for purchases tied to sweepstakes entries.

All participants must be given an equal chance to win, and no purchase can be required. Sweepstakes materials must not falsely suggest that making a purchase increases the chances of winning.

The Texas Attorney General enforces these regulations, with civil penalties ranging from $5,000 to $50,000 per violation.

The law ensures that no purchase is required for entry, and all participants must have an equal chance to win.

The state of New York allows sweepstakes casinos to operate under stringent regulations enforced by the New York Department of State, ensuring compliance with state gaming and consumer protection laws.

Sweepstakes with prizes over $5,000 must file a Games of Chance Registration form 30 days before the promotion starts.

Additionally, operators must submit a Certification of Winners form within 90 days of the sweepstakes end, detailing winners and prizes over $25.

As a result of these regulations, sweepstakes casinos in New York cap prize pools at $5,000 to avoid the extensive filing process.

Illinois permits sweepstakes casinos, regulating them under the "Illinois Prizes and Gifts Act (815 ILCS 525)", which governs the offering of prizes in promotions and games of chance to ensure legal compliance and consumer protection.

The law forbids requiring payment for entry and mandates that all promotional offers disclose prize values, the odds of winning, and that no purchase is necessary.

In Illinois, sweeps casinos must deliver prizes within 30 days, and misrepresentation of prizes or winning chances is strictly prohibited.

The Illinois Attorney General oversees these regulations under the “Consumer Fraud and Deceptive Business Practices Act”.

According to our Sweepsio research, sweepstakes casinos are legal in Florida. The Florida Department of Agriculture and Consumer Services (FDACS) regulates them under its Game Promotions/Sweepstakes Rules to ensure compliance with state guidelines.

In Florida, sweepstakes casinos limit their maximum prize to $5,000 due to legal requirements.

These requirements state that promotions offering prizes over $5,000 must file with the FDACS at least seven days before the promotion begins.

Additionally, operators must provide a surety bond or a trust statement unless exempt. Such legal requirements encourage sweepstakes casinos to limit prizes to $5,000, helping operators avoid additional compliance burdens.

Sweeps casinos are allowed in Mississippi since they are not explicitly prohibited under the “Mississippi. Code Ann. § 97-33-1” as per the Sweepsio research.

Although the law does not specifically mention sweepstakes casinos, it explicitly prohibits internet sweepstakes cafes and unlicensed gambling.

In Kansas, sweepstakes casinos are legitimate, provided they follow the rules from the "Kan. Stat. Ann. § 50-692 (2006)".

These rules prohibit requiring any payment or purchase for entry into sweepstakes casinos, ensuring fairness in participation.

According to them, sweepstakes casinos must disclose terms clearly, including the odds of winning and the retail value of prizes.

Sweepstakes casinos can legally operate in Oklahoma as long as they comply with the “Consumers Disclosure of Prizes and Gifts Act (21 §§ 996.1 – 996.3)”.

Sweepstakes casinos must ensure no purchase is required for entry, and all terms, including prize details and odds of winning, are clearly disclosed.

Sweepstakes casinos are legal in Arkansas, provided players are not required to pay or offer anything of value to enter. The Arkansas 'Dominant Factor Doctrine' classifies games based on whether skill or chance predominates.

If chance dominates, the game may be considered illegal gambling. Sweepstakes casinos in Arkansas must provide a free entry option, while skill-based contests are permitted.

Sweepstakes casinos are permitted in North Dakota if they adhere to contest prize notice regulations under the "Chapter 53-11 of the North Dakota Code", as verified by Sweepsio. These rules mandate a free entry option, clear odds disclosure, and retail prize value transparency.

No purchase or payment can be required for entry, ensuring compliance with state laws. Prizes must be awarded within 30 days once a winner is declared.

Violations of these regulations can result in penalties, with intentional breaches classified as a Class C felony.

The following states have banned sweepstakes casinos due to their strict gambling regulations.

1. Washington
2. Michigan
3. Idaho

In Washington, sweepstakes casinos are banned and classified as unauthorized gambling activities under state law. The Washington State Gambling Commission enforces this ban, while the "Promotional Advertising of Prizes Act (RCW 19.170)" regulates sweepstakes promotions, requiring clear disclosures about odds, sponsor details, and prize terms.

According to these regulations, any sweepstakes resembling gambling, especially those implying that a purchase is required, are strictly prohibited.

The only legal chance-based activities in Washington are nonprofit raffles and certain promotional contests for businesses, reinforcing the illegality of sweepstakes casinos.

Sweepstakes casinos are illegal in Michigan due to the broad interpretation of gambling laws by the state. Michigan law defines gambling as any activity involving prize, chance, and consideration, and sweepstakes casinos often meet these criteria.

The Michigan Gaming Control Board (MGCB) enforces strict regulations, classifying sweepstakes with any element of consideration as illegal lotteries.

An example of this enforcement occurred on September 1, 2023, when the Michigan Department of Attorney General shut down Golden Hearts Games sweepstakes casino.

Despite receiving a cease-and-desist letter in 2022, Golden Hearts continued operating without a license, leading the Attorney General to take legal action under the Michigan Consumer Protection Act. The sweeps casino eventually signed an Assurance of Discontinuance, agreeing to halt its operations in Michigan.

Idaho has banned sweepstakes casinos from offering real prizes as part of its strict gambling regulations. Players in Idaho can participate in sweepstakes casinos using virtual Gold Coins for entertainment, but these coins cannot be exchanged for real-world prizes under Idaho law.

Idaho law strictly prohibits gambling involving the exchange of real money or prizes, ensuring sweepstakes casinos operate solely for entertainment without financial incentives.

To ensure you are playing in the best sweeps cash casinos legally in the U.S., follow these key steps below.

1. Check for a "No-Purchase-Necessary" Option: ensure the sweepstakes casino offers a 'No-Purchase-Necessary' option, as this is legally required for participation.
2. Verify State-Specific Compliance: confirm that the sweepstakes casino complies with state regulations on prize awards, disclosures, and entry methods.
3. Review Terms and Conditions: carefully read the sweepstakes' terms and conditions to ensure compliance with federal laws, such as FTC regulations.
4. Avoid Restricted States: do not participate in sweepstakes casinos in states where they are banned, including Washington, Michigan, and Idaho.