Gov. Phil Murphy signed Assembly Bill A5447 into law, immediately banning sweepstakes-based gaming in the state. The legislation, passed in June, defines and outlaws the “sweepstakes model of wagering,” ending operations that tied casino-style gameplay to promotional entries or virtual currency. New Jersey now joins Connecticut, Montana, and Nevada in banning the practice, while states like Louisiana and Mississippi continue to address the issue through regulatory enforcement rather than legislation.
Industry reaction has been divided. While regulators and licensed operators see this as a step toward consumer protection and industry clarity, the Social Gaming Leadership Alliance (SGLA) criticized the move as “draconian,” warning it could stifle innovation and economic growth.
This decision places New Jersey at the forefront of regulatory intervention in emerging gaming models and signals a trend other states may soon follow.
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