What to make of Pragmatic Play pulling out of US sweepstakes
iGaming supplier Pragmatic Play will no longer have licensing available to sweepstakes casino operators in the United States, leaving those in and around the betting and gaming industry to wonder what the next steps might be as the sweeps landscape continues to evolve in the US.
At the time of the announcement, Pragmatic Play already wasn’t providing its games in the United States, which has brought some to question why the company would make this move to remove licensing opportunities completely. It could actually be a sign of Pragmatic looking to get further involved in betting business around the country, a way of complying with casino operators that are licensed in the United States for future partnerships.
The company has publicly reinforced its interest in meeting standards and compliance and transparency wherever it chooses to operate, which doesn’t give any specific indication of its next steps, but would be in line with a more strict alignment with thoroughly licensed and regulated operators in the US.
What’s next for sweeps in the US?
Sweepstakes casinos are a type of online casino that offer the ability to play slots and other games for free using fake currency, but most of these sweeps operations also have their own coins that players that buy and win that amount to real cash prizes. Sweepstakes casinos have become a subject of debate in the United States as gambling and betting legislation continues to be reshaped across the nation and its diverse states.
While some US states have proven broadly friendly to gaming operators, other states are actively considering efforts to limit sweeps operations within their boundaries. Only Washington, Michigan, and Montana have outright banned all sweepstakes operations, but some other states have explored their own restrictions. For example, Idaho allows sweeps casinos to operate in the state, but cash prizes are prohibited. In New York and Florida, sweeps are allowed and some cash prizes are permitted, but they’re limited in nature.
Most recently, the city of Los Angeles brought a lawsuit against Stake.us, potentially setting up a high-profile confrontation with one of the largest and most public-facing sweeps providers. California already has laws that restrict gambling in the state, and the state of California as a whole has now targeted sweepstakes casinos specifically with Assembly Bill 831, which is currently heading to the state Senate floor for a vote. If this bill were to be passed, sweepstakes operators could be criminalized, though the bill’s exact language has already been modified to soften its targeting and could see further revisions even if it does eventually become law.
Citizens petition against sweeps restrictions
Many disagree with the passage of strict laws against sweepstakes casinos in different states across the US, or with restrictions on gambling and betting in general. There is currently a petition against Bill 831 stating that accuses California’s government of overstepping in an effort to “dictate digital experiences” to the state’s residents.
“[The bill] fails to recognize that adults are capable of making responsible decisions regarding their digital interactions. The proposed restrictions are not only obsolete in acknowledging technological developments, but they are also an affront to personal liberties,” the petition reads.
Much remains to be sorted as states continue to set up patchwork guidance regarding sweeps play and operators are forced to react to a diverse variety of enforcement conditions. Some, such as Pragmatic Play, may choose to cut sweepstakes play entirely. Others may see this as an opportunity to take on a larger market position as potential competitors bow out of the field.
Olivia has worked in media ever since graduating from college, with her coverage ranging from traditional newspaper reporting to digital coverage of all things gaming, online betting, and nerd culture. She has traveled around the world pursuing that coverage, from the far coasts of the United States to the busy downtown core of Tokyo, Japan. Olivia’s favorite games include Overwatch and Super Smash Smash Bros, and she has been published at Esports Illustrated, Inven Global, EsportsInsider, Upcomer, and elsewhere.
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