Maryland Moves Closer to Banning Sweepstakes-Based Social Casinos

Maryland lawmakers have advanced a bill aimed at banning social casinos that use sweepstakes-based prizes. On March 7, the Senate’s Budget and Taxation Committee unanimously approved SB 860, which seeks to prohibit the operation, promotion, or support of online sweepstakes games in the state.

Senator Paul Corderman introduced the bill to curb unregulated gaming platforms that offer real-money prizes under sweepstakes laws. The proposal now moves forward in the legislative process, signaling strong support for stricter regulations on these platforms.

Regulatory Action Targets Sweepstakes Casinos

Maryland authorities have already taken steps to crack down on these platforms. Earlier this year, the Maryland Lottery and Gaming Control Agency issued cease-and-desist letters to 11 sweepstakes-based casinos and sportsbooks, declaring them illegal and ordering them to restrict access to state residents.

While the agency did not publicly disclose the names of these operators, industry reports from The Closing Line identified Stake.us and Rebet among six companies that responded. However, none of them agreed to comply with Maryland’s directive at the time.

As SB 860 progresses, Maryland may soon join other states in tightening restrictions on online sweepstakes gaming. The legislation could reshape the state’s approach to social casinos, pushing unregulated operators out of the market.