What's Next for Minnesota Following Sweepstakes Casino Bill

Progress on sweepstakes casino legislation has slowed in the United States. Fewer states are legalizing these apps, which offer the casino and poker games that most Americans want. But following bans in several states in 2025 and 2026, Minnesota did something curious.

Minnesota lawmakers ignored a bill that would have effectively banned sweeps casino play in that state. Senate File 4474 had passed through a committee in April, but subsequent committees refused to fast-track the bill to potentially come to a vote.

Where do we go from here in Minnesota? Sweepstakes casinos seem unwelcome there, or are they? It remains to be seen whether the failure of the sweepstakes casino ban indicates some support for these apps in the state, or whether it just means lawmakers want more time to discuss the issue.

Two committees in the Senate gave unanimous approval of SF 4474: the Senate Judiciary and Public Safety Committee, and the State and Local Government Committee. But, ultimately other agendas became more important. The governor has not seen it necessary to call a special extended session for consideration of the issue, which is his privilege.

Minnesota does not have legal online casinos, or so-called iGaming. That's the case despite native tribes expressing some concerns that such a product is needed to help them increase revenue. Through compacts with state and federal governments, Minnesota tribes have the rights to implement online gaming, a right they have argues for.

But, sweepstakes casinos, which have stuck their toes in the water in Minnesota, threaten the native tribes opportunities for online casinos, critics claim.

Minnesota AG ordered sweepstakes casinos to halt operation in the state

Last November, Minnesota Attorney General Keith Ellison issued letters to more than a dozen sweeps casino operators, ordering them to cease business in his state. Those letters said that the operation of "online social sweepstakes casino in Minnesota may also violate State laws prohibiting fraud, unfair or unconscionable practice[s], false pretense, false promise, misrepresentation, misleading statement or deceptive practice."

According to the MN AG office, sweepstakes casino websites "offer casino-style games such as slots, poker, and roulette, and use a two-coin system of virtual currency." As state regulators see it, "consumers can buy virtual currency in packages that include coins that can be used for free game play," These so-called "sweeps coins" can be redeemed for cash or prizes, such as gift cards, which in the opinion of the state, constitutes gaming.

Some critics of a ban on sweepstakes say the laws are already on the books that prohibit such operators. But, whether that is an opinion shared by lawmakers seems spurious.

Lawmakers would need to propose a new bill to ban sweepstakes in next session

Minnesota is somewhat allergic to law-making. Their legislative session runs from January to May, then the elected officials take nearly seven months off from lawmaking. That means, the next time a ban can be submitted is in January of 2027.

Other states that addressed sweepstakes casinos in 2026

The efforts to ban sweepstakes games in Minnesota doesn't necessarily mean the country is trending to prohibition of these mobile apps. Six states: Indiana, Iowa, Louisiana, Maine, Oklahoma, and Tennessee, passed bills banning the controversial apps. But just as many states rejected bills to ban sweepstakes casinos: Florida, Hawaii, Maryland, Massachusetts, Mississippi, and Virginia.