Governor of Connecticut Implements Prohibition of Sweepstakes Casinos, New York Legislation Advances in Process
Article:
Sweepstakes Casino Crackdown: States Taking Action
By: Grant M. - 06/13/2025 - Featured Image Source: Pix4Free, Public Domain List
Save for a select few, states across the nation are taking action against online sweepstakes casinos. In a recent shakeup, Connecticut and Montana have instituted bans, with New York upping its game by cracking down on illegal operators in its borders.
Sweepstakes Casino Crackdown: States Taking Action
Connecticut and Montana lead the charge with bans on online sweepstakes casinos.
Connecticut made history this June with Governor Ned Lamont signing Senate Bill 1235 into law, branding the operation or promotion of online sweepstakes casinos illegal within state lines. The New England state joins Montana which made headlines as the first to ban such platforms.
These bans zero in on sweepstakes that are not linked to the sale of goods, services, or property, criminalizing those using simulated gambling devices or tied to online casinos and sports betting. The only exception lies with retail grocery chains offering sweepstakes tied to grocery sales, with cash-redeemable prizes out of the picture.
Connecticut's ban marks a shift from minor infractions to Class A misdemeanors and takes effect on October 1, 2025. Montana's legislation, too, reflects heightened enforcement, punishing violators with felony charges and hefty fines.
Credits go to bipartisan approvals in the Connecticut House, while Montana was the first state to follow suit.
New York Steps Up: Cracking Down on Illicit Sports Betting Operators
New York Attorney General Letitia James wasted no time in acting against illicit sports betting operators in the state. Recent moves saw the issuance of cease-and-desist letters to 26 online sweepstakes casino operators in New York.
Following these enforcement actions, the New York Senate approved a bill banning online sweepstakes contests mimicking casino-style games, pending further Assembly consideration. Given the recent crackdown, several online sweepstakes operators have opted to leave the state.
The Industry's Response
The move towards banning online sweepstakes casinos is not without criticism. The Social and Promotional Games Association (SPGA) argues that these legislative bans conflate lawful promotional sweepstakes with illegal gambling, potentially stifling innovation and limiting consumer choice.
The battle lines between states, operators, and industry players will be drawn as this regulatory crackdown in the sweepstakes casino space continues.
Sources:
- Connecticut General Assembly
- Montana Legislative Services Division
- Yahoo Finance
- Grayscale
- Casino.org
- Newsday
Written by Grant Mitchell, Credentials View Profile, a veteran in the sports betting industry with a reputation earned by working with prestigious organizations such as Forbes and VSiN.
Related News
- New York Senate Approves Online Sweepstakes Casino Ban
- Connecticut Senate Approves Online Sweepstakes Casino Ban
- Montana Senate Approves Bill to Ban Online Sweepstakes Casinos
- Montana, with Connecticut following suit, has introduced bans on progressive jackpot online casinos that are not linked to the sale of goods or services.
- The Connecticut Attorney General has signified a crackdown on illicit sports betting operators, targeting 26 online casino platforms.
- The Social and Promotional Games Association (SPGA) is critical of legislative bans on online casinos, arguing they may restrict future innovation and consumer choice.
- The financial landscape of the industry awaits further developments as states continue their crackdown on online casinos and sports betting platforms.
