Sweepstakes Casino Legality by State: Where Can You Play in 2026?

Updated February 25, 2026

Why Sweepstakes Casinos Are Legal in Most US States

Sweepstakes casinos operate under sweepstakes promotion law, not gambling law. This is a crucial legal distinction that allows them to offer casino-style games with redeemable prizes in the vast majority of US states. Under the sweepstakes model, players are not wagering money on games of chance. Instead, they are participating in a promotional sweepstakes where prizes are awarded based on game outcomes.

The legal foundation rests on three pillars that separate sweepstakes from gambling: no purchase is necessary to enter and win, an alternative free method of entry must always be available, and prizes are awarded to winners. As long as these conditions are satisfied, the promotion falls outside the legal definition of gambling under both federal law and most state statutes.

This is the same legal framework used by household-name sweepstakes promotions for decades. Companies from fast food chains to magazine publishers have run sweepstakes with real prizes for years. Sweepstakes casinos simply apply this model to casino-style gaming entertainment.

States Where Sweepstakes Casinos Are Available

As of February 2026, sweepstakes casinos are accessible in approximately 45 to 47 US states, depending on the specific platform. The large majority of Americans can legally sign up and play at platforms like Sweeps Royal, Fortune Coins, and Jackpota without any legal concerns.

Platforms make their own risk assessments about which states to serve. Some are more conservative and block a few extra states out of caution, while others operate in every state that does not explicitly prohibit them. This means availability can vary slightly from one sweepstakes casino to another.

States That Restrict Sweepstakes Casinos

A small number of states have laws or regulatory interpretations that make sweepstakes casinos unavailable or restricted. The most commonly excluded states are:

Washington

Washington state has the broadest restrictions on sweepstakes casinos. State law classifies online gambling very broadly, and regulators have taken the position that sweepstakes casino games fall within that definition. Virtually all sweepstakes casino platforms block Washington state residents. Players in Washington should not attempt to use VPNs or other methods to circumvent these restrictions, as doing so may violate state law.

Idaho

Idaho's sweepstakes and gambling statutes create legal uncertainty for the sweepstakes casino model. Most platforms choose to exclude Idaho residents rather than risk a regulatory challenge. The state has historically taken a conservative stance on all forms of online gaming.

Michigan

Michigan presents an unusual situation. The state has a fully regulated real-money online gambling market, and Michigan regulators have taken the position that sweepstakes casinos operating in the state should be licensed through the existing iGaming framework. As a result, several sweepstakes platforms have opted to exclude Michigan rather than pursue a state gambling license. Some platforms do still accept Michigan players, so availability depends on the specific casino.

Other Occasionally Excluded States

Beyond the three most commonly restricted states, individual platforms may also exclude one or more of the following based on their own legal assessments:

Nevada: Some platforms exclude Nevada due to its strict gambling regulatory environment, though the sweepstakes model is not explicitly prohibited there.
Montana: Occasionally excluded by certain platforms due to sweepstakes law interpretations.
Georgia and South Carolina: A small number of platforms exclude these states as a precaution.

It is important to check each platform's terms of service for the most current list of restricted states, as these can change as laws evolve and platforms update their legal assessments.

Age Requirements

The minimum age to participate at sweepstakes casinos varies by state and platform:

18 years old: This is the minimum age in most states and at most platforms. If your state does not have a higher requirement and the platform's terms say 18+, you are eligible at 18.
21 years old: Some states require participants to be 21. Additionally, certain platforms set their own minimum at 21 across all states regardless of state law. Always check the specific platform's age requirements.

Age verification is enforced during the KYC (Know Your Customer) process that every player must complete before redeeming prizes. You will be asked to provide a government-issued photo ID that confirms your date of birth.

California's Evolving Landscape in 2025-2026

California has been one of the most closely watched states for sweepstakes casino regulation. With the largest population in the US, it represents a massive market. As of early 2026, sweepstakes casinos remain accessible to California residents, and the state has not passed legislation specifically targeting the sweepstakes casino model.

However, California's regulatory environment is dynamic. The failure of Proposition 27 (online sports betting) in 2022 left the state without a comprehensive online gambling framework. Tribal gaming interests and commercial operators continue to push for various legislative approaches, and any future online gambling bill could potentially address sweepstakes casinos. For now, California players can participate freely at most platforms, but this is a space worth monitoring as new legislation is proposed.

How the Sweepstakes Model Differs from Real-Money Gambling

Understanding the legal distinction requires looking at what defines gambling under US law. Gambling typically requires three elements: consideration (a wager), chance, and a prize. Remove any one of these elements, and the activity is not legally considered gambling.

Sweepstakes casinos remove the consideration element by ensuring that no purchase is necessary to enter the sweepstakes. When a player buys Gold Coins, they are purchasing virtual entertainment currency. The Sweeps Coins that come as a free bonus represent the sweepstakes entry, which is provided at no cost. Because the sweepstakes entry is free, there is no consideration, and therefore no gambling.

This contrasts sharply with real-money online casinos, where players deposit cash directly and wager it on games. Real-money online gambling is legal only in states that have passed specific enabling legislation: New Jersey, Michigan, Pennsylvania, Connecticut, West Virginia, and Delaware as of 2026. Sweepstakes casinos, operating outside the gambling framework entirely, do not need such state-by-state authorization.

Federal Law Considerations

At the federal level, the primary laws relevant to online gambling are the Wire Act (1961) and the Unlawful Internet Gambling Enforcement Act (UIGEA, 2006). The Wire Act restricts certain types of interstate wagering, while UIGEA prohibits financial transactions related to unlawful internet gambling.

Neither of these laws applies to legitimate sweepstakes promotions. Because sweepstakes casinos do not involve wagering (no purchase necessary for entry), they fall outside the scope of both the Wire Act and UIGEA. This federal legal clarity is a major reason the sweepstakes casino model has been able to scale nationwide.

Tips for Players

Always verify that your state is eligible on the specific platform you want to join. Do not rely on general lists, as each casino makes its own determinations.
Never use a VPN to access a sweepstakes casino from a restricted state. This violates the platform's terms of service and could have legal consequences.
Keep an eye on legislative developments in your state. The sweepstakes casino landscape is evolving, and new laws could change availability.
Only play at platforms that clearly display their sweepstakes rules, including the no-purchase-necessary disclosure and alternative method of entry details.
If you travel between states, be aware that some platforms use geolocation technology to verify your physical location. You may not be able to play while visiting a restricted state, even if your home state is eligible.

Frequently Asked Questions

Is it legal to play sweepstakes casinos in the US?

Yes, sweepstakes casinos are legal in most US states. They operate under sweepstakes promotion law, not gambling law. The key legal distinction is that no purchase is necessary to enter and win prizes. However, a few states including Washington, Idaho, and Michigan restrict or prohibit sweepstakes casino platforms.

Why are sweepstakes casinos banned in Washington state?

Washington state has some of the broadest anti-online gambling laws in the country. State regulators classify sweepstakes casino games within their definition of online gambling, making it risky for platforms to operate there. Virtually all sweepstakes casinos block Washington residents as a result.

Can I play sweepstakes casinos if I live in a state with legal online gambling?

In most cases, yes. Living in a state like New Jersey or Pennsylvania that has legal real-money online casinos does not prevent you from also playing at sweepstakes casinos. The exception is Michigan, where some sweepstakes platforms have chosen not to operate due to regulatory pressure from the state's iGaming framework.

Do I have to pay taxes on sweepstakes casino winnings?

Sweepstakes prizes are generally considered taxable income under federal law. If you redeem prizes above certain thresholds, the platform may issue a 1099 form. It is your responsibility to report sweepstakes winnings on your tax return. Consult a tax professional for guidance specific to your situation.

Will sweepstakes casinos become illegal if my state legalizes online gambling?

Not necessarily. States that have legalized real-money online gambling (like New Jersey and Pennsylvania) have generally not banned sweepstakes casinos. However, individual states could choose to regulate or restrict them. Michigan is the only state so far where iGaming regulation has led some sweepstakes platforms to exit the market.