Maine committee approves sweepstakes casino ban bill
Legislators in Maine advanced LD 2007, a bill that would outlaw internet casinos with sweepstakes. The committee’s vote, which was eight in favour, two against, and three not present, indicates that there is strong support for limiting these platforms on 18 February. With regard to online sweepstakes platforms, the bill opens a new chapter in Maine’s gaming legislation. Rather than regulating them, it places these games under the state’s criminal prohibition on unlawful gambling, making clear that the intent is outright prohibition.
Committee vote on LD 2007
LD 2007, “An Act Regarding the Prohibition of Online Sweepstakes Games,” was referred to the Veterans and Legal Affairs Committee by the Department of Public Safety via Senator Craig Hickman. LD 2007 was advanced by an 8-2-3 vote of the Joint Committee on Veterans and Legal Affairs. While this does not finalise the bill, it moves the proposal forward for further consideration in the 2026 legislative session.
LD 2007 takes a broad approach in defining online sweepstakes games. It applies to any internet-based platform accessible through phones, computers, or similar devices. If the game resembles traditional casino formats—such as slots or table games—it falls under the bill’s scope. The language is deliberately wide, leaving little room for operators to argue that their platforms fall outside the prohibition.
The Gambling Control Unit of Maine is also empowered under LD 2007 to establish and revise regulations pertaining to dual-currency systems. The measure makes the framework more flexible over time by enabling regulators to modify definitions through legislation, ensuring enforcement can keep up with emerging models and practices.
Direct vs. indirect consideration explained
LD 2007 goes further by addressing both direct and indirect forms of payment in sweepstakes casinos. Players who buy virtual tokens outright are said to be engaging in direct consideration. When sweepstakes entries are combined with non-redeemable currency or even unrelated goods, this is known as indirect consideration. By including both, the bill closes the gap that operators have used to argue their platforms fall outside gambling laws, making clear that these practices will be treated as unlawful gambling in Maine.
Civil penalties and financial consequences
LD 2007 lays out strict measures against operators involved with sweepstakes casinos. Those found participating would lose eligibility for future gambling licences in Maine, and existing licence holders—such as casinos, horse racing operators, fantasy sports providers, or charitable gaming groups—could face mandatory licence revocation.
Additionally, the measure imposes monetary sanctions that range from $10,000 to $100,000 for each infraction, with the proceeds going to the Gambling Addiction Prevention and Treatment Fund in Maine. LD 2007 modifies the state’s penal code to categorise sweepstakes gaming operations as unlawful gambling, enabling prosecutors to pursue criminal charges under current statutes, in addition to the civil and administrative ramifications. These clauses taken together make sweepstakes casinos subject to both financial and criminal culpability, rather than just a regulatory concern.
Warning that sparked legislative action
Maine’s Gambling Control Unit advised the public in June that the state did not have any licenses for online casinos, iGaming, or sweepstakes sites. Dual-currency sweepstakes casinos were particularly named as illegal types of iGaming in the notification, which also cautioned users that utilising such sites was done at individual risk. By formally enacting it into law, LD 2007 expands on that caution and makes the advice a legally binding law.
Another proposal, LD 1164, would allow Maine’s four federally recognised tribes to partner with commercial operators to offer online casino games, with an 18% tax rate. The Legislature passed the measure, but Governor Janet Mills neither signed nor vetoed it before adjournment, meaning it carries over to the 2026 session.
When lawmakers reconvene, the governor will have three days to act, and if no action is taken, the bill automatically becomes law. This creates an interesting contrast: while Maine is moving to ban sweepstakes casinos through LD 2007, it is also considering legalising tribal-controlled online casinos under LD 1164.
Maine in national context
In 2025, several states—including California, Montana, Connecticut, New Jersey, Nevada, and New York—passed laws specifically prohibiting sweepstakes casinos. In 2026, other states, including Massachusetts and Ohio, are thinking about taking comparable actions. Legislators may take up the topic again in the upcoming year, even in states like Mississippi and Maryland where bills failed. When combined, these measures demonstrate a larger national trend towards limiting or outlawing gambling in the style of sweepstakes.
Be part of the action! Join the world’s biggest iGaming community with SiGMA’s Top 10 News countdown. Subscribe HERE for weekly updates, insider insights, and exclusive subscriber-only offers.
