Louisiana Pulls the Trigger Against Sweepstakes Casinos

Sweepstakes casinos are now officially banned in Louisiana, after Gov. Jeff Landry signed legislation that blocks sweepstakes-style betting and gaming websites from operating in the state. The change took effect August 1, 2026.

The new law comes via HB 883 and a companion measure, HB 53, after what the state described as a long campaign against the sweepstakes casino sector. In practical terms, sites using the sweepstakes model can no longer legally do business in Louisiana.

The bills target activities that simulate “any form of gambling” and rely on dual-currency systems where players can exchange currencies for prizes, awards, cash, or cash equivalents. That dual-currency cash-out structure is the core mechanic Louisiana is now treating as prohibited.

This is not Louisiana’s first attempt to tighten the rules. A prior proposal in 2025 did not advance after Landry argued it was too broad and could inadvertently affect other activities or be misinterpreted beyond sweepstakes casinos. Even so, the state still sent cease-and-desist letters to multiple operators, including Global Poker, LuckyLand, Stake, Chumba, Modo, and others.

Some smaller brands reportedly kept operating despite those notices, but HB 883 gives Louisiana stronger footing to pursue alleged violations. The framework also outlines harsh penalties for operators and individuals involved in facilitating sweepstakes gambling, including potential criminal cases and prison sentences of up to 50 years.