New York Passes Anti Sweeps Bill
New York is just closer to becoming the latest state to shut down online sweepstakes casinos. Bill S5935A, which would outlaw dual-currency sweepstakes gaming statewide, has officially passed both the Senate and the Assembly.
Now, it’s headed to Governor Kathy Hochul’s desk. If she signs it, the bill will take immediate effect.
Why This Bill Matters
S5935A has targeted any online game or contest using a dual-currency system that lets users win real cash or cash equivalents while simulating casino-style play. That includes slots, poker, blackjack, and even sports betting.
It gives the State Gaming Commission the final say on what counts as “dual currency,” cutting off any wiggle room for operators trying to claim technical exceptions or alternate interpretations.
While the bill doesn’t impose criminal charges, it can impose fines of up to $100,000 per violation, as well as the loss of a gaming license or eligibility to apply in the future. The regulations are broad enough that gaming providers could also be snared in this net.
Attorney General Already Cleaning House
Ahead of the bill’s passing, New York Attorney General Letitia James issued cease and desist letters to 26 sweepstakes operators, who reportedly complied. They included Chumba Casino, McLuck and a number of major players. So enforcement is already well underway, and the new law gives it even more muscle.
S5935 names three agencies responsible for cracking down:
- The State Gaming Commission
- The State Police
- The Attorney General’s Office
This mirrors tactics used in states like Florida and Connecticut to sideline unlicensed sweepstakes operations.
Industry Pushback, But Does it Matter?
Not everyone is on board, of course. The Social and Promotional Games Association (SPGA) issued a public call for Hochul to veto the bill, but that’s unlikely to change anything at this stage.
It said, “This is a backward bill that stifles investment and innovation and hands massive power to an unelected regulatory body.”
They’re particularly upset about the vague language and the discretion given to regulators to define what counts as a prohibited sweepstakes game.
However, the SPGA’s track record on halting legislation has been weak so far. And with major operators already folding their tents, the writing’s on the wall.
Addabbo Wants Legal iGaming
Senator Joseph Addabbo introduced the bill and has been blunt: It’s about paving the way for fully regulated online casinos.
“Until we legalize online gaming in New York, we don’t want the illegal market to expand,” he said on the Senate floor. “It’s not a matter of if. It’s when.”
What It Means for Players
- If you’re in New York and playing at a sweepstakes casino — you’re likely out of luck soon.
- Most big names are already gone
- More exits are coming
- If you’ve got Sweeps Coins, Gold Coins, or pending prizes, it’s time to cash out while you still can