Where Are Sweepstakes Casinos Legal in the US in 2025

Don’t live in Michigan or the six other states that support real money online casinos? That’s where the meteoric rise of sweepstakes casinos continues to make headlines and dominate discussions among state legislatures like Massachusetts and California who are seeking to ban them. Running a play-for-free model, sweeps casinos are thriving in over 40 states. 

This guide takes you into the current and complicated landscape of sweeps casinos. After learning about how Gold and Sweepstakes Coins work, you will learn why sweepstake casinos are legal, despite the opposition from states like New Jersey and Michigan.

Since 2020, the rise of sweepstakes casinos, led by Pulsz and Wow Vegas, has spread across more than 40 states, including those that haven’t legalized real-money casinos. Without a formal state agency license, sweepstakes casinos thrive in over 40 states, like Oregon, because they don’t accept direct cash bets. 

However, states like Michigan have formally banned sweeps casinos citing the lack of oversight and the popularity of free gameplay as gambling in disguise. Even though sweeps casinos don’t carry a formal American gaming license, they are indeed governed and regulated by reputable foreign agencies like eCOGRA. Organizations like eCOGRA audit game results to ensure gaming fairness.

The strategic use of Gold and Sweepstakes Coins in place of direct cash bets is why sweepstakes casinos are legal. Gold Coins are how players play free games, including any social live dealer games that are available. Please note that sites like Wow Vegas and Crown Coins use proprietary Gold Coins, but they also work for playing free casino games. 

So, if social casinos don’t accept cash bets, do sweepstakes casinos pay real money? No. However, they offer cash prizes, such as gift cards, in exchange for Sweepstakes Coins. A sweepstakes casino no deposit bonus usually offers free Sweeps Coins along with Gold Coins. Purchasing Gold Coin packages is 100% optional to pick up Sweepstakes Coins.

Even though states like New York have completely banned sweepstakes casinos, and others, like California, are trying to pass banning legislation, most states still support sweepstakes casinos. For a quick overview of which states support legal sweepstakes casinos, please consider the table below.

While some states like California are pushing legislation to ban them, the pushback from the public and even organizations continues to grow. For example, while the California Nations Indian Gaming Association strongly supports AB831, other tribes, such as the Sherwood Valley Rancheria of Pomo Indians, oppose AB831. 

One of the reasons Michigan and New Jersey instituted full bans is that the threshold to join most sweepstakes casinos is 18 or 19, compared to 21 for legal real-money casinos. However, popular sweeps casinos like PlayFame and High 5 have pushed the minimum age to 21. As of today, these four states have completely banned sweepstakes casinos:

• Michigan
• New Jersey
• New York
• Pennsylvania

For the past few years, New York has been attempting to legalize real-money casinos to offset tax revenue losses. In preparation for that bill, AB 6745 was passed in March

In many ways, California will set the tone for the future of sweepstakes casinos. Governor Newsom has until October 12th to sign or veto the bill. However, the future of sweepstakes casinos, for many, remains bright. They fill a much-needed void for states that can’t or won’t legalize traditional online casinos, especially strictly conservative states like Alabama and Tennessee that don’t even offer land-based casinos.

Perhaps the compromise is to have some state oversight and a tax revenue plan. The seven states that support real money casinos pay their respective states lucrative tax revenue to fund state projects and critical infrastructure. However, the best sweepstakes casinos have formed organizations, such as the Social Gaming Leadership Alliance (SGLA), to help champion favorable regulation and foster a better understanding.

Even with the controversy surrounding sweepstakes casinos, there’s no denying that their innovation is impacting the traditional casino gaming experience. Because of heavyweights like Crown Coins, it’s in vogue for more real money casinos to have exclusive games that you won’t find anywhere else, as well as some daily rewards to compete for. 

Playing free games with Gold Coins continues to be a stepping stone to better master casino games like roulette and Texas Hold’em. And while players wait for their states to pass legal real money casinos, having a sweepstakes app or playing through the mobile browser has you playing from coast to coast.