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Photo by Ukiyo Hayashi on Unsplash

ACE Casino and several competitors have reopened access in multiple states, signaling a measured comeback for sweepstakes casinos as the industry braces for California’s ban on dual-currency sweepstakes platforms.

The re-entries underscore how operators are racing to replace potential revenue losses from newly restricted markets, creating a fragmented landscape shaped by legal uncertainty and opportunity.

Operators Expand Eligible States

Ace Casino recently became active again in Alabama, Georgia, Maryland, and Tennessee. The operator is not alone in reversing the trend of sweepstakes casinos exiting states due to regulatory or legislative scrutiny.

In September, Baba Casino relaunched in six states: Arkansas, Georgia, Iowa, Kentucky, Ohio, and Tennessee. The move was notable as Baba is one of the platforms with the most excluded territories. Following the relaunch, it remains unavailable in 17 states.

A month prior, B-Two Operations’ platforms McLuck, Hello Millions, SpinBlitz, and PlayFame returned to Georgia and Alabama. Around the same time, the two states also welcomed back Spree Casino.

Meanwhile, A1 Development LLC, which operates platforms like NoLimitCoins, Fortune Wheelz, and Tao Fortune, lowered its minimum age back to 18 months after raising it to 21.

Notably, two states appear in all of these operators’ return: Alabama and Georgia. Some reasons could include that VGW has won three lawsuits in Georgia. That could give others more confidence in their ability to withstand legal challenges.

Meanwhile, Alabama is home to at least a dozen class-action lawsuits. Still, this has not resulted in a mass exodus from the state. So far, sweepstakes casinos’ arbitration clauses have withstood legal challenges. Operators are mostly exiting states where they face enforcement actions by gaming regulators or legislative bans.

California: A Turning Point

California’s recent ban is likely to drive more operators to follow suit. According to a report by Eilers & Krejcik Gaming, the state represents 17.3% of the total sweepstakes casino revenue in the US. With the ban set to take effect January 1, 2026, operators face a looming revenue cliff and will likely seek new markets to offset the loss.

Some platforms are choosing to play the waiting game. WOW Vegas has already announced plans to continue operating until the ban comes into effect.

Several others—mostly smaller operators—have already decided to leave California. Those include Carnival Citi, Dara Casino, Grand Vault Casino, High 5 Casino, Lucky Slots, PeakPlay, Ruby Sweeps, and Vegas Gems.

The contrast highlights a divided industry: some opt for early compliance, while others maximize their presence in the country’s largest market until the final day of legality.

Patchwork of Rules & Reactions

The re-entries and withdrawals across the US illustrate the volatile landscape for sweepstakes casinos. While they’ve built their model on federal sweepstakes laws, more and more states are starting to interpret the law differently and view the platforms as illegal gambling.

That leaves operators to navigate an increasingly complex maze of definitions surrounding “consideration,” “chance,” and “prize.”

As more states target sweepstakes casinos through legislative or regulatory enforcement, those that don’t could see a renewed surge in activity as operators recalibrate their footprints.

Chavdar Vasilev

Chavdar Vasilev is a journalist covering the casino and sports betting market sectors for CasinoBeats. He joined CasinoBeats in May 2025 and reports on industry-shaping stories across the US and beyond, including...