Montana’s SB 555 to Ban Sweepstakes Casinos Awaits Governor’s Signature
Montana is one signature away from becoming the first state to ban sweepstakes casinos, as Senate Bill 555 cleared major hurdles.
A Big Step Toward a Ban
The Senate passed the bill on April 5, followed by a solid 88-11 vote in the House on April 23. Unless Governor Greg Gianforte vetoes it, SB 555 will take effect, making Montana a trailblazer in cracking down on these online platforms.
The bill is a part of a wave of anti-sweepstakes efforts, with Montana as the eleventh state in 2025 to target such games.
SB 555 tweaks Montana’s gambling laws to pinpoint illegal online gambling, focusing on platforms, websites, or apps that handle gambling info, let users bet with any form of currency, and pay out in any currency.
While it doesn’t name sweepstakes outright, its language takes aim at the dual-currency systems used by these platforms, where players use virtual coins to play for prizes.
Sweeping Out Dual-Currency Games
The bill’s broad wording, especially “any form of currency,” is key to its scope, according to gaming law expert Daniel Wallach. “The use of the phrase ‘any form of currency’ is broad enough to cover sweepstakes casino games,” Wallach said.
He argues that when players use sweepstakes currency, like Sweeps Coins or Sweeps Cash, to play casino-style games for prizes, it counts as a bet or wager. “The ‘bet’ or ‘wager’ occurs when a player uses the sweepstakes currency to play casino-style games for prizes,” he added, noting that this setup lets players chase real money, landing it squarely in the bill’s crosshairs.
Wallach sees Montana’s move as groundbreaking, stating, “Montana is on the verge of becoming the first state to ban online sweepstakes casinos.”
He believes the bill clearly signals that sweepstakes casinos taking payments and offering prizes aren’t welcome in the state, despite some debate over the term “bet or wager.”
“The bill drafters did themselves no favours by using the nomenclature ‘bet or wager,’ which is always susceptible to debate,” Wallach noted, but the currency clause seals the deal for targeting these platforms.
Why Target Sweepstakes?
SB 555 aims to tighten Montana’s grip on online gambling, closing gaps that let unregulated platforms operate. Sweepstakes casinos, often using virtual currencies to skirt traditional gambling rules, have thrived in legal gray areas.
By defining bets with any currency, the bill pulls these games into the illegal gambling bucket, aiming to protect consumers and keep gambling under state control.
Montana already allows sports betting, tribal casinos, bar gaming machines, and a state lottery, but online sweepstakes have dodged oversight.
For now, SB 555 sits on Governor Gianforte’s desk, poised to make Montana the first state to explicitly ban sweepstakes casinos. With strong legislative backing, a veto seems unlikely, but it’s the final hurdle. If signed, the law will reshape Montana’s online gaming scene, setting a precedent for other states.
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