Louisiana Advances Bills Targeting Sweepstakes Casinos

By | March 4, 2026

As the 2026 legislative session in Louisiana approaches, lawmakers have prefiled multiple gambling bills aimed at sweepstakes-style platforms, prop bets, racketeering expansions, and online lottery legalization. The measures reflect a continued effort to reshape the state’s gaming laws and strengthen enforcement across all forms of online and mobile gambling.

HB883 Targets Dual-Currency Sweepstakes Systems

House Bill 883 updates Louisiana’s “gambling by computer” statute to include games that:

“…utilize a dual-currency system of payment allowing the player to exchange the currency for any prize or award, cash, or cash equivalents… and simulates any form of gambling…”

The bill expands enforcement beyond operators to cover platform providers and financial intermediaries. It authorizes the attorney general to issue cease-and-desist orders, temporary restraining orders, and other injunctions. Penalties for violations increase from $20,000 to $100,000 per infraction, while the potential imprisonment term remains five years.

HB883 follows a 2025 legislative attempt to ban sweepstakes casinos, which Governor Jeff Landry vetoed, stating authorities already had sufficient enforcement powers. Since that veto, over 40 cease-and-desist letters from the Attorney General and gaming regulators prompted most operators to withdraw or suspend dual-currency gaming options.

The bill preempts ambiguity by not using the term “sweepstakes” directly, instead referencing a “dual-currency system of payment,” which covers the Gold Coin/Sweeps Coin ecosystem commonly employed by sweepstakes casinos. Gold Coins are in-game tokens with no real-world value, while Sweeps Coins can be redeemed for cash, a model that previously allowed operators to avoid classification as real-money gambling.

Additional Legislative Proposals

Senate Bill 354 seeks to remove prop and micro bets from the list of permissible wagers at Louisiana sportsbooks. It introduces definitions for “proposition bet” and “sports micro-bet,” targeting side wagers unrelated to final game outcomes or tied to individual plays, with an effective date of August 1, 2026.

House Bill 53 expands racketeering statutes to include gambling offenses such as:

  • Gambling by computer
  • Gambling by electronic sweepstakes device
  • Bribery of sports participants

This approach allows regulators to treat sweepstakes operators as part of broader criminal enterprises, applying RICO-style enforcement and enabling potential asset forfeiture.

Measures HB 643 and SB 119 aim to legalize online lottery sales while ensuring age and geolocation verification. Other prefiled bills, including SB 325, SB 294, SB 339, and HB 513, focus on expanding protections against athlete harassment, adjusting promotional tax deductions, strengthening background checks, and regulating high school NIL deals tied to gambling activities.

Implications for the State

The prefiling of HB883 and related legislation signals Louisiana’s intent to close legal loopholes around dual-currency sweepstakes systems. By codifying enforcement mechanisms and expanding criminal liability under racketeering laws, the state is seeking a comprehensive framework that could eliminate regulatory ambiguity and strengthen oversight of online gaming platforms, both large and small.

These efforts mirror broader trends in other states, where lawmakers increasingly address unregulated sweepstakes and dual-currency gambling through precise statutory definitions and expanded enforcement provisions.

Source:

“Daniel Wallach post”, x.com “Daniel Wallach”, March 1, 2026

The post Louisiana Advances Bills Targeting Sweepstakes Casinos first appeared on RealMoneyAction.com.

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