“Sweepstake casinos should be illegal”: BetMGM CEO

Adam Greenblatt, the CEO of BetMGM, has taken a strong stance against online sweepstakes sites. He believes that “sweeps should be illegal iGaming”. 

He also claims they are “bad for the regulated sector”, referring to both economic and legal issues in his interview. 

This comes after a steady rise in the number of states banning online sweepstakes games. 

Why is Greenblatt so concerned? 

In a recent interview, Greenblatt argued that sweepstakes casinos are not only harmful to the regulated market but also undermine the integrity of the industry. 

He cited both economic and legal reasons, saying these operators bypass licensing requirements, avoid taxation, and don’t uphold responsible gambling standards.

“These platforms compete with licensed operators without playing by the same rules. They’re bad for the sector and for players.”

Why the sudden regulatory shift? 

At the heart of the issue lie three main concerns, which Greenblatt touched upon. 

These include legal, economic and moral, with each touching a different nerve in the ongoing public debate. 

• Legal: These unregulated sweepstakes take players away from casinos, which are correctly following the laws and regulations surrounding online gambling. This touches a nerve because the licensed casinos put money and effort into paying taxes and putting provisions in place for the players. 

• Economic: These companies are causing economic concerns as they usually don’t pay as much tax as they should, due to not being classified as gambling. They can earn a profit in the billions, but when they don’t pay tax, this creates a loss for the Government and the economy. 

• Moral: Without being classified as a gambling operation, the sweepstakes sites aren’t required to implement responsible gambling tools. These tools usually include self-exclusion, cooling-off periods or loss limits. They are designed to prevent addiction or financial damage. 

Sweepstakes casinos legal timeline (2024–2025)

Date	State	Event
Late 2024	Nationwide	Popularity of sweepstakes casinos surges due to limited real-money options
Mar 27, 2025	Mississippi	SB 215 dies in committee; regulation attempt fails
Early May 2025	Texas	SB 517 fails in committee; sweepstakes casinos remain legal
April 2025	Maryland	SB 860 passes Senate but fails overall; legal status maintained
May 23, 2025	Montana	SB 555 signed; bans sweepstakes casinos effective Oct 1, 2025
Jun 18, 2025	New York	Governor signs S5935/A6745; ban enforced with cease-and-desist orders
Jun 30, 2025	New Jersey	A5447 passes both chambers; awaiting Governor’s signature to ban
Jun 14, 2025	Louisiana	Governor vetoes SB 181; ban prevented
July 2025	Louisiana	VGW, Wow Vegas, Chanced Casino exit due to regulatory pressure
July 2025	Louisiana	Hacksaw Gaming and Pragmatic Play pull games
Mid-August 2025	Arizona	Stake.us and High 5 Casino announce market exits
August 2025	California	AB 831 advances to Senate Appropriations; aims to ban sweepstakes casinos

What’s been done so far?

Lawmakers have been making changes for a few months now. New Jersey and Montana have made these sweepstakes casinos illegal.

New York has already banned 26 brands from operating in the state, stating they are “illegal, dangerous, and can seriously ruin people’s finances”. 

What’s happening now?

The newest movement is coming from California, which is currently trying to pass a bill which would ban sweepstakes casinos. The State’s Attorney General is keen to “bring an end to illegal sweepstakes gambling operations in California”. 

The bill is still being amended and going through each Committee, the latest one being the Government Organization Committee. 

These new laws are being put in place because the lax regulations make it difficult to ensure responsible gambling. 

These States are concerned because unregulated sites “skirt state licensing requirements, offer no player protection, and siphon revenues from state governments”. 

Where’s the pushback coming from?

However, there is opposition from the Social Gaming Leadership Alliance (SGLA), the Association of National Advertisers and sweepstake operators. 

A representative from the SGLA claimed that there had been: 

 “No consumer backlash…since sweepstakes gaming entered the market in 2012”. 

How this affects your options

If you live in one of the above states where sweepstake casinos are banned, or if the ban spreads, then you’ll find you can’t access these games anymore. 

This means that what you can access will be redefined by state-specific laws. 

Will sweepstakes sites adapt or disappear?

The future of sweepstakes casinos is changing rapidly due to the altered state laws that challenge their very existence. 

Greenblatt claims to be “delighted to see…legislation against the sweeps industry”. His comments reflect the growing desire to tighten the rules surrounding these online sweepstakes casinos.

With multiple states moving swiftly and vocal opposition from major industry leaders, sweepstakes casinos may soon be facing a reckoning. The big question is will they change their model or fade away entirely?