Mississippi's Senate is the very first legislative body in the United States to ban online sweepstakes casinos outright. Although numerous states have taken some form of action against illegal sweepstakes, Mississippi is the first state to approve a ban to prohibit sweepstakes casinos online, with the Senate voting 44-1. With this, the bill will now head to the House of Representatives.

In a historic move, the Mississippi Senate has become the first governmental body in the United States to approve a ban on online sweepstakes casinos. The legislation, Senate Bill 2510, was overwhelmingly passed with a 44 to 1 vote and is now headed to the House of Representatives in Mississippi for further consideration.

Bill moves to the House of Representatives

The bill, introduced by Senator Joey Fillingane, seeks to amend existing state laws to classify online sweepstakes casinos as illegal gambling activities. Specifically, the legislation expands the definition of prohibited gambling devices to include any "online, interactive, or computerized version of any game as defined in section 75-76-5 or any other game of chance or digital simulation thereof." This includes sports pools, online race books, and sweepstakes casino games.

"Many Mississippians have no idea when they're on their device that they're even breaking the law because it looks completely legitimate," Fillingane stated during the hearing in the Senate. "They look just like legal online betting sites."

Stronger penalties for illegal operators

If passed by the House, the bill will impose stricter penalties on online sweepstakes operators. Under the proposed law, operating an online sweepstakes casino in Mississippi would be elevated from a misdemeanor to a felony offense. Violators could face fines of as much as $100,000 per offense or imprisonment for up to 10 years.

Additionally, the legislation allows the state to seize and forfeit "assets, rights, and privileges" related to illegal gaming activities. These measures aim to deter operators from continuing their services in Mississippi and strengthen the enforcement of gaming laws.

Crackdown on illegal gaming platforms

Fillingane emphasized that the bill does not target individual users who unknowingly participate in illegal gaming activities but rather focuses on the operators who run these platforms. "That is in fact the need for this legislation," he explained. "The legislation does not target people who are on their devices mistakenly playing an illegal game. We're only targeting online operators, the people who put the platforms up, not the end user."

The senator also highlighted the presence of illegal online sportsbooks and casinos, such as Bovada, that continue to operate within the state despite regulatory efforts. The Mississippi Gaming Commission has previously issued cease-and-desist orders to five of the biggest illegal gambling operators, but none have complied.

Increasing enforcement power

With the failure of cease-and-desist efforts, lawmakers believe SB 2510 will give the state additional authority to enforce gaming regulations. By implementing severe penalties and asset forfeitures, the bill aims to eliminate the presence of unauthorized online casinos and protect consumers from potentially deceptive gambling platforms.

If approved by the House and signed into law, Mississippi will set a precedent for other states considering similar measures against online sweepstakes casinos. The upcoming vote in the House of Representatives will determine the fate of the bill and whether Mississippi will officially become the first state to outlaw these platforms.

What's next?

The bill now moves to the House of Representatives, where lawmakers will debate its wider implications and its potential impact on the state's gaming industry. Supporters argue that the legislation will provide much-needed clarity on legal gambling while protecting consumers and enforcing existing laws. However, opponents may raise concerns about restricting access to online gaming options.