What Maryland Is Actually Trying to Ban
At the center of the push is Senate Bill 112, which proposes a ban on what it calls “interactive games.” That sounds vague, until you read the definition.
Under the bill, an interactive game is an online platform that uses multiple currencies, allows players to trade those currencies for cash or prizes, and offers casino-style games like slots, table games, or video poker.
That description lines up almost perfectly with the sweepstakes casino model.
More importantly, this isn’t a ban on every online game. Platforms that only award non-cash prizes are left alone. Social games, loyalty-style rewards, and pure entertainment products aren’t the target here.
This isn’t an attempt to ban everything online. It’s a targeted move aimed squarely at sweepstakes casinos.
The Penalties Are No Joke
Under SB 112, anyone found operating or promoting a banned sweepstakes casino could face serious consequences — including up to three years in prison and fines ranging from $10,000 to $100,000.
The bill also gives the Maryland Lottery and Gaming Control Commission broader authority. Regulators could deny license applications or pull existing licenses from anyone who violates the rules.
And that power doesn’t stop at the casino operators themselves.
The Quiet Part That Should Worry the Industry
One of the most important pieces of the bill has nothing to do with the games themselves, it’s about who’s behind the scenes.
SB 112 would require license applicants to disclose any business ties to companies connected to interactive games. That includes payment processors, geolocation services, and content providers.
Fail to disclose those relationships, and a license can be denied or pulled altogether.
This time Maryland isn’t just pressuring sweepstakes platforms, it’s putting their entire support ecosystem on notice.
The Law Applies Even Outside Maryland
The bill also takes aim at where gaming revenue comes from.
Maryland regulators would be required to deny licenses to any applicant (or affiliate) that accepts revenue tied to online casino gaming in jurisdictions where that activity is prohibited. There are also strict rules around revenue linked to so-called high-risk jurisdictions.
Breaking those rules wouldn’t be a slap on the wrist. Violations could bring additional fines and even jail time.
It’s an unusually aggressive approach and a clear signal that Maryland wants distance from anything that looks like regulatory loopholes.
The House Is on Board Too
This isn’t just a Senate idea. The House Ways and Means Committee has prefiled House Bill 295, a companion measure that mirrors SB 112’s core goals. That matters, because last year’s sweepstakes ban made it through the Senate but died quietly in the House.
This time, both chambers are moving in sync.
Why Maryland Is Doing This Now
Last year, Maryland regulators sent 11 cease-and-desist letters to unlicensed sweepstakes operators. Only six responded. Most kept operating anyway.
From lawmakers’ perspective, that approach didn’t work. When warnings fall flat and enforcement drags, legislation becomes the next tool. These two bills are the result of that lesson.
A Familiar Pattern
Maryland isn’t blazing a new trail here. It’s following a path other states have already taken.
Across the country, lawmakers have moved against sweepstakes casinos in different ways; through outright bans, attorney general enforcement, or waves of lawsuits aimed at operators.
Maryland’s approach has its own twist, but the direction is the same: growing impatience with gaming models that live in legal gray areas.
What sets this effort apart is how wide the net is cast. The focus isn’t just on the casinos themselves, but on everyone connected to them.
What This Means for Players
For players, the takeaway is pretty straightforward: uncertainty.
If either bill becomes law, sweepstakes casinos could pull out of Maryland fast. That often means frozen accounts, rushed withdrawals, or suddenly tighter redemption rules.
Players in other states have seen this play out before. It’s rarely a smooth exit.
What Comes Next
Both bills are still early in the legislative process, but the intent is clear. Maryland lawmakers aren’t trying to “clarify” sweepstakes gaming anymore. They’re trying to end it.
After years of circling the issue, Maryland looks closer than ever to drawing a hard line — and this time, it’s doing so with penalties, licensing leverage, and coordinated legislation.
Blaise Luis
