Maine Anti-Sweepstakes Casino Bill Targets Dual-Currency Model

Maine lawmakers have introduced new legislation that would ban online sweepstakes casinos in the state, targeting the dual-currency payment systems commonly used by these platforms. Filed on Dec. 3, the bill defines and restricts the use of currencies such as Gold Coins and Sweeps Coins. It grants the Maine Gambling Control Unit broad authority to determine what qualifies as a prohibited dual-currency system. The proposal marks a significant step toward tighter regulation of sweepstakes-style gaming in Maine.

Maine Bill Takes a Detailed Approach to Defining Dual-Currency Model

Unlike sweepstakes legislation in some other states, Maine’s proposal goes beyond simply labeling dual-currency gaming as illegal and instead outlines how these systems function in precise terms.

The legislation establishes a formal definition for this type of payment system. It describes it as a model that blocks users from directly buying anything that can be exchanged for money, while simultaneously steering them toward purchases of non-redeemable products or virtual items as a pathway to obtaining redeemable currency. In doing so, the bill seeks to classify these transactions as a form of indirect payment for gambling activity.

The proposal also spells out what qualifies as “indirect consideration,” noting that redeemable tokens may be distributed at no cost through promotions, bonuses, or alongside the purchase of another product or service. Because these tokens can ultimately be converted into cash or prizes, the bill treats them as part of the underlying wagering mechanism rather than as a purely free-to-play feature.

Why the Bill’s Language Matters

By spelling out how dual-currency systems work in practical terms, the Maine bill aims to close potential legal loopholes that sweepstakes operators have historically relied on. Rather than focusing only on whether players are directly buying cash-redeemable currency, the language targets the broader structure. One that encourages spending on non-redeemable products in order to gain access to currency with real-world value.

This approach gives regulators a stronger legal foundation to classify these platforms as gambling operations, even when companies argue that the redeemable currency is only a “bonus” or promotional feature. It also limits the ability of operators to redesign their systems in minor ways to avoid enforcement.

What This Means for the Sweepstakes Casino Industry

If enacted, Maine’s legislation would directly challenge the core business model used by most sweepstakes casinos by targeting the dual-currency systems that allow these platforms to operate outside traditional gambling laws. By redefining how indirect payment is identified, the bill could effectively eliminate the legal distinction operators rely on to separate promotional gaming from real-money wagering.

Beyond the immediate impact on access to the Maine market, the bill’s detailed language could also serve as a template for other states considering similar action. That creates broader risk for the industry, as small structural changes to currency systems may no longer be enough to avoid regulatory enforcement.

Over time, this could force sweepstakes casinos to alter their platforms significantly, shut down in additional states. There have already been outright bans in California and New York.