Sweepstakes casino operators are removing Indiana from their markets before the state’s ban on dual-currency casino-style games takes effect on July 1. The new law allows the Indiana Gaming Commission to impose civil penalties of up to $100,000 on operators or individuals who knowingly offer prohibited games in the state.
Indiana’s law covers online games, contests and promotions that use dual or multi-currency systems for casino-style or lottery-style play. It also applies to platforms based outside Indiana when they accept users located in the state.
Restricted lists start to grow
Pulsz, Carnival Citi and Ruby Sweeps had already added Indiana to their restricted-state lists in May. Other operators have also started limiting access as the deadline approaches.
High 5 Games told customers that Indiana players could no longer create new accounts or make purchases from June 16. The restriction also applies in Iowa, where a separate law gives regulators stronger enforcement powers against illegal sweepstakes and unlicensed gambling.
Baba Casino lists Indiana among the states where its platform is unavailable. Modo Casino has also added Indiana to its excluded jurisdictions.
Some major brands remain available
Several operators had not yet updated their terms to block Indiana users as of late June. VGW brands Chumba Casino, LuckyLand Slots and Global Poker did not list Indiana among their restricted locations. McLuck, Stake.us and WOW Vegas had also not added Indiana to their exclusion lists. Their position may change before July 1, when Indiana’s new law takes effect.
Some platforms have restricted registrations and purchases before the deadline. Others have continued to accept Indiana players until the law comes into force.
Law targets dual-currency model
Sweepstakes casinos usually offer two types of virtual currency. One is used for free play, while the other can be obtained through promotions or purchases and redeemed for prizes.
Indiana lawmakers treated that model as gambling when used with casino-style or lottery-style games. The law does not create a licensing system for sweepstakes operators. Instead, it bans covered games for Indiana residents. The Indiana Gaming Commission can take action against platforms that continue operating after July 1.
Iowa introduces new enforcement rules
Iowa’s law also takes effect on July 1. It allows the Iowa Racing and Gaming Commission to issue cease-and-desist orders against companies offering illegal sweepstakes, games of chance, gambling or unlicensed sports wagering.
Iowa has not introduced the same direct sweepstakes ban used in Indiana. However, its new enforcement powers have encouraged platforms to add Iowa to their restricted lists alongside Indiana.
