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Read Full BioPennsylvania’s gaming regulator has sent 18 cease-and-desist letters to sweepstakes casino operators doing business in the state.
On April 7, the Pennsylvania Gaming Control Board (PGCB) told attendees at a Gaming Oversight Committee that none of the operators have permits to operate in Pennsylvania.
It noted that most of the operators are based overseas. However, a few are US-headquartered, with some operating out of offices in Pennsylvania.
The media outlet Play Pennsylvania reported that “all 18 recipients have complied with the order so far.”
Pennsylvania Regulator Closing in on Sweepstakes Operators
The PGCB Chief Enforcement Counsel Cyrus Pitre told the hearing that new sweepstakes brands continue to appear in PA, obliging the regulator to play a game of “whack-a-mole.”
As sweepstakes casino operators make use of virtual currencies, regulators like PGCB do not have the authority to launch legal action against them under federal laws.
As such, regulators across the US have resorted to sending sweepstakes operators warning-type cease-and-desist letters.
Steve Cook, the PGCB Chief Counsel, said that the body needed new legal amendments to help close loopholes.
This would help the Pennsylvania regulator stave off the rise of unregulated operators, Cook explained. He said: “Unfortunately, in the area of interactive gaming, we are significantly hamstrung by the specific language of our enabling statute. Specifically, Chapter 13B of the Gaming Act includes sections that appear to ban online gaming by unlicensed operators. These prohibitions ultimately come into conflict, however, with the definitions found in the act.”
Cook noted that a Commonwealth Court ruling on skill games from December 2023 has limited the number of tools the PGCB has at its disposal.
Cook claimed that the language used in the ruling serves to “make clear that the Gaming Board only has control and authority over people licensed by it, not outside entities doing something that is arguably illegal.”
Regulator: Sweepstakes Casinos ‘Pose Threat to Legal Sector’
The PGCB said there was now a “stark contrast” between sweepstakes casinos and regulated online operators.
It noted that the law does not require sweepstakes platforms to prove their “fairness to the patron.” It also claimed that sweepstakes sites have no obligation to provide responsible gaming services or age verification checks.
Pitre claimed that the rise of sweepstake operators now poses “a threat” to the legal industry in Pennsylvania.
He claimed that the regulator remains committed “to maintaining the integrity of Pennsylvania’s legal gaming industry.”
Pitre explained that sweepstakes casinos, “despite their misleading presentation,” were in the PGCB’s “assessment,” a form of “illegal online gambling.”
The online casino segment grew rapidly in PA last year. According to official documents released in January 2025, Pennsylvania reported figures of around $2.2 billion in 2024.
