Maryland Targets Sweepstakes Casinos with SB 860
Lawmakers in Maryland are pushing forward Senate Bill 860 (SB 860) to ban sweepstakes casinos and penalize businesses that support their operations. Introduced on January 28, the bill is currently under review by the Senate Budget and Taxation Committee.
What SB 860 Proposes
SB 860 defines sweepstakes casinos as online games, contests, or promotions that use a dual-currency system. The system allows players to exchange virtual currency for cash, prizes, or equivalents, making these games similar to casino gambling, lotteries, or sports betting.
However, the bill does not apply to online games that do not offer monetary rewards.
The legislation would make it illegal to operate, promote, or facilitate sweepstakes casinos in Maryland. It also targets businesses that provide support to these platforms.
Financial institutions, payment processors, geolocation service providers, game content suppliers, and media affiliates could face penalties if they assist unregulated gaming sites.
Strict Penalties for Violations
The bill includes severe penalties for those involved in sweepstakes casinos. Anyone found violating the law could face:
- Up to three years in prison
- Fines between $10,000 and $100,000
- Loss of gaming licenses
Additionally, all license applicants and current license holders must disclose any revenue from unregulated gaming markets. The Maryland Gaming Control Commission would have the authority to deny or suspend licenses for companies linked to blacklisted jurisdictions, sanctioned countries, or regions where online gambling is illegal.
Unlike many states, Maryland is not just going after sweepstakes operators but also targeting the companies that enable their business.
Recommended