Indiana Moves to Restrict Online Sweepstakes Casinos
Indiana lawmakers have introduced new legislation aimed at curbing online sweepstakes casinos, as US states intensify efforts to regulate lightly supervised gambling models. House Bill 1052, introduced by Representative Ethan Manning, targets dual-currency platforms that offer casino-style games while operating outside traditional gambling licences.
These platforms typically allow users to purchase one form of virtual currency to access games, while a second currency can be redeemed for cash prizes. Lawmakers argue that this structure closely mirrors real-money gambling and enables operators to bypass established regulatory frameworks. Under the proposed bill, companies that knowingly operate sweepstakes casinos in Indiana, or facilitate transactions involving state residents, could face civil penalties of up to $100,000.
The legislation would also give regulators broader authority to suspend or deny licences, raising compliance risks for operators active across multiple gambling verticals. Oversight would be led by the Indiana Gaming Commission, supported by law enforcement agencies, with expanded disciplinary powers granted to stewards and judges under state gaming rules.
Beyond sweepstakes enforcement, HB 1052 includes a responsible gambling provision that would expand Indiana’s voluntary self-exclusion programme to cover sportsbook wagering certificate holders. Individuals who enrol would be barred from placing bets with licensed sportsbooks and from entering gambling venues under the commission’s authority. Operators would also be required to halt marketing activity and deny credit or cheque-cashing services to excluded players.
Indiana’s move follows similar actions in other states. New York recently enacted a full ban on dual-currency sweepstakes casino games, while Maine has proposed civil penalties for sweepstakes operators. With several US jurisdictions tightening restrictions in 2025, regulators appear increasingly focused on closing perceived loopholes and bringing all online gambling activity within established legal frameworks.
