A Proper Sweeps Ban
The new law kicks in on October 1, 2025, and it’s a big deal for an industry that’s been skating by in a legal gray zone. Until now, sweepstakes casinos leaned on “no purchase necessary” disclaimers and virtual currency models to mimic online gambling, all without falling under traditional gaming laws.
But with this law, Montana just shut the door on that.
What the Law Actually Says
Senate Bill 555 doesn’t pull punches. It’s broad, tough, and written in a way that leaves zero room for creative interpretation. Here’s what it bans:
- Any website, app, or platform that transmits gambling data
- Bets or wagers made with any type of currency, including real money, crypto, or even digital tokens
- Any system that pays out winnings, whether in dollars, crypto, or tokens
So if you’re running a site where users can spin digital slots using coins, and those coins can turn into real-world cash or prizes, you’re officially on the wrong side of Montana law. Violators face felony charges, fines up to $50,000, and up to 10 years in prison per offense. Even though the bill doesn’t specifically name sweepstakes casinos, the language is so comprehensive that it sweeps them right up in its net by design.
Some Operators Already Bounced
It didn’t take long for the industry to react. Virtual Gaming Worlds (VGW), the company behind big-name sweepstakes platforms like Chumba Casino and LuckyLand Slots, quietly exited Montana before the ink was even dry.
Other operators like High 5 casino and McLuck have started geoblocking Montana users or prepping shutdown notices to stay ahead of enforcement. With felony charges and massive fines on the table, nobody’s sticking around to test the boundaries.
SPGA Fires Back: “This Law Is Reckless”
The Social and Promotional Games Association (SPGA) didn’t hold back in its response. The trade group which represents many sweepstakes platforms, warned that the law is dangerously vague:
“Montana just criminalized everyday digital promotions with a law so broadly written it fails to name what it bans. It’s a dangerous precedent that could undermine consumer trust, business innovation, and long-standing legal marketing practices.”
They argue that this kind of broad legal language could accidentally outlaw common digital promotions run by hotels, airlines, and retailers, not just online casinos.
Why Now?
Montana lawmakers cited rising concern over:
- Unregulated platforms operating with little to no age verification
- Legal loopholes that let sites mimic gambling without a license
- Growing tension with tribal and state-regulated gaming, who argue these platforms undercut the rules they have to follow
Senate Bill 555 passed both chambers in April, and Gianforte’s signature sealed the deal. It’s part of a growing national trend to bring order (or a full stop) to a chaotic and confusing online gambling landscape.
The National Ripple Effect
This isn’t just about one state drawing a line in the sand. Montana’s move adds serious momentum to a broader enforcement action already heating up across the country. It’s a call to lawmakers everywhere: the time to act is now and here’s how to do it.
Here’s where else the fire is burning:
- Louisiana: SB 181 is gaining real traction and could be the next major ban to land.
- Connecticut: SB 1235 just cleared the Senate and is now headed to the House before the session ends.
- New York: A string of operator exits (VGW, High 5 Casino, Funzpoints) shows the pressure is already working, even without a signed bill.
- New Jersey: Lawmakers are holding early talks around digital gambling reform that could include sweepstakes platforms.
Other states, including Florida, Mississippi, Arkansas, and Maryland, tried to ban sweepstakes casinos but couldn’t get the job done. But now that Montana’s crossed the finish line, you can bet those lawmakers are watching closely.
This might be the moment the floodgates open.
What Montana Players Need to Know
If you’re in Montana, the window is closing:
- Many operators have already cut off access
- If you still have access to Sweeps Coins or a balance, now’s the time to cash out. Redeem what you can, and don’t assume access will last through the fall.
- After October 1, even logging in to play could technically be illegal
This isn’t just a policy change. It’s a hard legal line. So if you’re a Montana player, get your ducks in a row now, before enforcement begins and the door slams shut.
Blaise Luis
