If signed, these laws will shut down all unlicensed sweepstakes operations and prevent any new ones from opening in those states. This marks a significant shift for operators who have relied on sweepstakes casinos to offer casino-style games without traditional gambling licenses.
Connecticut’s Path to a Ban
In early June 2025, the Connecticut legislature passed Senate Bill 1235. It passed the Senate first and then the House with a 146-0 vote. This shows that lawmakers from both parties agreed on the need to act. The bill bans any company or person from running a sweepstakes that is not clearly tied to selling goods or services. It also bans simulation of online casino games and even sports betting ads if they are not part of legal operations.
Under SB 1235, anyone caught breaking these rules could face serious penalties. Violators could be charged with a Class A misdemeanor, which can carry up to a year in jail or fines. The law also has exceptions for some small contests, like grocery store sweepstakes that offer prizes strictly related to buying food. Stores can still hold these if they do not let people win cash prizes outside of buying groceries.
The bill included several changes before final approval. Lawmakers first wanted to ban lottery ticket couriers, but that part was removed. They also dropped a measure that would let state-run casinos work with other states for online games.
This made the bill simpler and more focused on shutting down unlicensed sweepstakes sites. Once Governor Ned Lamont signs SB 1235, Connecticut will join Montana as states that fully ban sweepstakes casinos. If he does not act within 15 days, the bill becomes law without his signature.
Louisiana’s Sweeping Measures
At almost the same time, Louisiana lawmakers approved Senate Bill 181 with unanimous votes in both chambers. The Senate voted 39-0 in April, and the House passed the bill 99-0 in May. Now, Louisiana needs Governor Jeff Landry’s signature to make the ban official. SB 181 aims to close the so-called “loophole” that allows sweepstakes casinos to operate without regular gambling licenses.
Sweepstakes casinos in Louisiana use two types of credits: “Gold Coins” for free games and “Sweeps Coins” that let players earn cash prizes. Because they call themselves “sweepstakes,” these sites claim they are not gambling.
But state officials see this as a trick to avoid paying taxes and following gambling rules. In Senate hearings, lawmakers said these sites can encourage problem gambling and take money from people who do not understand the risks.
If SB 181 becomes law, operators, advertisers, and even affiliate marketers could face fines up to $100,000 per violation. The bill also adds the possibility of five years in prison for those who run or promote these sites.
Unlike most laws, this one gives both the Louisiana Gaming Control Board and the State Police the right to enforce the ban. That means law enforcement can act quickly to shut down illegal operations without waiting for the state attorney general.
Louisiana’s move comes after several states, including New York and New Jersey, have debated similar bans. But Louisiana’s penalties are among the toughest. When lawmakers discussed SB 181, they stressed that the state needs to protect residents from unregulated gambling.
They also noted that other states have struggled to tax or regulate sweepstakes casinos, so a clear ban is a simpler solution.
