Oklahoma Is Banning Sweepstakes Casinos. What State is Next?

Oklahoma’s ban on sweepstakes casinos takes effect on November 1. It adds to a growing list of markets where operators can no longer operate.

Oklahoma will not be the last to ban sweepstakes casinos. Several states have introduced or are likely to introduce legislation targeting sweepstakes casinos, while others are using existing gambling laws to pressure operators into leaving.

With lawmakers preparing for their 2027 legislative sessions, five states stand out as potential candidates for the next major crackdown.

Oklahoma Becomes the Latest State to Ban Sweepstakes Casinos

Oklahoma's SB 1589 takes effect November 1, 2026, after lawmakers successfully overrode Governor Kevin Stitt's veto in May.

Some operators have already left the state. Ace, Jackpota, and Baba Casinos have already ceased operations, while High 5 Casino and Stake.us will close a couple of days before the deadline. McLuck and its sister sites have updated their terms, notifying users that the site will be inaccessible after November 1.

Oklahoma is the last state to enact a ban in 2026, and multiple states are likely to pursue bans in 2027, including several that made significant progress toward a ban this year.

Pennsylvania: A New Ban Proposal Could Gain Traction

Pennsylvania is one of two states with active proposals targeting sweepstakes casinos.

HB 2801 was introduced September 24 and would prohibit online sweepstakes games as part of a broader package of gambling reforms that primarily targets skill-based gaming regulation. The PA Supreme Court classified skill-based games as slot machines earlier this year.

The proposal remains in the House Gaming Oversight Committee, awaiting a vote. However, time is running out in the current legislative session, likely meaning the state will have to address the matter again next year. 

Even if legislation fails, Pennsylvania regulators have a history of targeting unauthorized gambling operators, so action against sweepstakes casinos remains possible.

2027 Outlook: Expect a new bill targeting skill-based regulation, including a sweepstakes ban.

Expected Outcome: If the new bill gets traction, PA could be among the next states to ban sweepstakes casinos.

Illinois: Enforcement May Make New Legislation Unnecessary

Illinois shows how regulators can target sweepstakes casinos without waiting for lawmakers.

In February, the Illinois Gaming Board and Attorney General's Office issued more than 60 cease-and-desist letters to online casino and sweepstakes operators. Regulators maintain that the sites offer unlicensed illegal gambling.

Lawmakers also introduced legislation that would ban dual-currency gambling. However, the bill never advanced out of the Senate Assignments Committee.

With its “possible” inclusion in the fall veto session, odds are it's dead in its current form. A new bill would need to be submitted next year.

However, the state's enforcement efforts have already had the desired impact, as several top sites have already withdrawn from the state. Stake.us, WOW Vegas, Zula Casino, Fortune Wins, and American Luck are among the states that no longer service Illinois.

2027 Outlook: Expect another bill along with possibly another round of regulatory enforcement.

Expected Outcome: Gambling legislation has historically moved slowly in Illinois. However, if enough states pull out due to regulatory enforcement, lawmakers may not see a “ban” as necessary.

Virginia: My #1 Pick to Ban Sweepstakes Casinos

Virginia almost banned sweepstakes casinos in 2026 as part of broader legislation to regulate online gambling. 

SB 118 and HB 161 both passed, but lawmakers could not agree on a final bill. Disagreements centered on the regulatory framework, implementation, and tax structure. Time ran out before lawmakers could agree, and the bills died.

A separate bill, SB 579, addresses sweepstakes casinos and was carried over into 2027. Lawmakers are also considering turning this bill into an industry study.

While lawmakers haven't announced replacement bills, it is likely only a matter of time before they do. The clock is ticking on sweepstakes casinos in Virginia.

2027 Outlook: Expect lawmakers to focus on regulating online gambling and to include a clause banning dual-currency casinos. 

Expected Outcome: Sadly, I predict my home state will ban sweepstakes casinos as part of regulating online gambling. The good news – provided proposed legal gambling legislation passes – is that Virginians would have options for real money online casinos and online poker.

Maryland: Lawmakers Came Close in 2026

Maryland made significant progress toward banning sweepstakes casinos in 2026. 

HB 295, a bill that restricted certain online gambling activities, including sweepstakes casinos, passed the House of Delegates 105–24. The proposal then stalled in the Senate Budget and Taxation Committee.

The main issue with the bill was that it was passed too close to the legislative deadline. Given the overwhelming support for the measure in the House, expect another bill early in 2027.

2027 Outlook: Expect a new bill early in 2027, similar to HB 295.

Expected Outcome: If the Senate supports a new bill similar to what we’ve already seen in the House, Maryland is a strong contender for a ban, provided it stays on task.

Minnesota: Strong Senate Support Signals Another Attempt

Minnesota is another case where it acted too late to pass a bill. 

SF 4474, which targeted online sweepstakes games, passed the Minnesota Senate 62–3 on April 30, 2026.

However, the legislative session ended on May 18, 2026, and the House did not fast-track it. 

This bill came after an initial regulatory attempt to drive out some operators. In November 2025, Attorney General Keith Ellison’s office sent letters to 14 gambling website operators, including sweepstakes casinos, demanding that they stop offering illegal gambling services in Minnesota.

With overwhelming bipartisan support in the Senate, expect another bill in 2027. If the House shows similar support, expect a ban to go to the next governor’s desk.

2027 Outlook: Expect the Senate to submit another bill

Expected Outcome: If they don’t wait until the end of the session to address the matter, I see a bill possibly getting to the next Governor’s desk. 

Why Are States Cracking Down?

The crackdown on sweepstakes casinos is two-fold. First, regulators and lawmakers see sweepstakes casinos as “multi-step illegal gambling.” States don’t see tax revenue, and players don't get the same protections as they would with regulated gambling.

One-fifth of the country has banned sweepstakes casinos, and we may be seeing a bandwagon effect. With multiple bans in place, states now have a playbook. Political and regulatory pressures may be influencing lawmakers to take a stance so their state doesn’t look like a haven for “illegal gambling.”

Is the Sweepstakes Casino Industry Running Out of Places to Operate?

With 10+ states now banning sweepstakes casinos and others pursuing enforcement actions, the sweepstakes casino industry is shrinking.

Each new ban represents a substantial revenue loss. Operators must regularly reconsider their business model. Some sites, like The Win Zone, have already shut down, likely due to market restrictions. 

2027 won’t improve matters for operators. We’ll likely see multiple bans enacted, with Virginia and Minnesota on my short list. We'll likely see additional regulatory action that could force brands out before a ban is enacted.

Oklahoma may be the latest state to prohibit sweepstakes casinos, but it won’t be the last.