Montana has passed SB 555, becoming the first U.S. state to ban sweepstakes casinos outright, with violators facing steep fines and up to 10 years in prison.
Montana Becomes First State to Fully Ban Sweepstakes Casinos
Montana has made history as the first U.S. state to enact a full legal ban on sweepstakes casinos. The newly passed Senate Bill 555 (SB 555) takes effect on October 1, 2025, and prohibits any operator from offering sweepstakes-based casino-style games to Montana residents.
The law makes it a felony to operate or promote platforms offering any type of prize redemption tied to gameplay or coin purchases. Violators could face up to 10 years in prison and $50,000 in fines.
This law targets the “dual currency model” used by platforms like Chumba Casino, where players can purchase Gold Coins and receive bonus Sweeps Coins that are redeemable for prizes.
Why This Is Big:
Montana’s action sets a precedent that other states may follow. It’s a clear sign that the legal gray area surrounding sweepstakes casinos is closing fast.
