Maine legislators are advancing measures to restrict online sweepstakes casinos with the introduction of Legislative Document 2007 (LD 2007). Sponsored by Senator Craig Hickman, the bill seeks to prohibit the operation and promotion of dual-currency sweepstakes sites in the state, giving the Maine Gambling Control Unit (MGCU)authority to establish rules governing these platforms.
LD 2007 defines an online sweepstakes game broadly as any game, contest, or promotion accessible online that uses a dual-currency system of payment to simulate casino-style gaming, lottery, bingo, or sports betting. The dual-currency system includes direct consideration, which refers to coins or tokens purchased or received through bonuses, and indirect consideration, which is provided for free through promotions or linked products.
The legislation targets systems that prevent direct purchases of redeemable tokens or encourage players to buy non-redeemable tokens while linking them to redeemable gameplay. “A person that operates or promotes an online sweepstakes game or supports the operation or promotion of an online sweepstakes game commits a civil violation,” the bill states, underscoring its wide applicability to operators and affiliates alike.
Penalties and Regulatory Enforcement
LD 2007 imposes fines ranging from $10,000 to $100,000 per violation, with proceeds directed to the Gambling Addiction Prevention and Treatment Fund. License revocation is mandatory for individuals or entities found in violation, whether they hold a license with the MGCU or the state’s Gambling Control Board. Furthermore, violators are barred from obtaining new licenses under the provisions of the bill.
The measure grants the MGCU authority to issue additional rules defining compliance, reporting requirements, and investigation procedures. This framework allows regulators to adapt to changes in product design and emerging online gaming trends, ensuring that unregulated sweepstakes operations cannot exploit loopholes.
Dual-Currency Models Under Scrutiny
Dual-currency sweepstakes casinos have become increasingly common, offering non-redeemable tokens for play alongside redeemable tokens provided through bonuses or promotions. These games have operated in a grey area, allowing participants to simulate traditional casino experiences without technically engaging in gambling. LD 2007 closes this loophole by encompassing systems where redeemable and non-redeemable coins interact to facilitate prizes or cash equivalents.
By including both operation and promotion in the scope of the bill, Maine’s legislation could affect marketing affiliates, content creators, and partners involved in sweepstakes-style gaming. Even licensed operators may face revocation if their platforms fall within the bill’s definitions.
State Context and Related Measures
LD 2007 follows warnings from the MGCU categorizing online sweepstakes casinos as illegal interactive gaming, grouping them with unlicensed online casinos and offshore operators. The state allows certain regulated activities, such as licensed sports wagering and fantasy contests, but treats dual-currency sweepstakes as unlawful unless specifically authorized.
Separately, Legislative Document 1164 proposes regulated online casino gaming in Maine under exclusivity for the federally recognized Wabanaki Tribes. While LD 1164 passed both legislative chambers, Governor Janet Mills did not act before adjournment, sending the measure into the next session for reconsideration. The state is thus pursuing a dual strategy: eliminating unregulated sweepstakes through LD 2007 while exploring a regulated, tribally anchored market via LD 1164.
Source:
“132nd MAINE LEGISLATURE Legislative Document 2007”, resources.sbcamericas.com, December 5, 2025
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