DraftKings Joins Maine's Fight: Sweepstakes Casinos Face Imminent Ban

Maine’s campaign to ban sweepstakes casinos is off to a hot start after completing its scheduled hearing on January 14th, before the Joint Veterans and Legal Affairs Committee. Legislative Document 2007, or “An Act Regarding the Prohibition of Online Sweepstakes Games” has been the subject of intense debate, with passionate appeals from both side of the aisle. 

Milton Champion of the state’s Gambling Control Unit was joined by DraftKings in testifying for the ban, while Social Gaming Leadership Alliance (SGLA) and VGW offered their dissenting views.

Filed last December 5th, 2025, at the Senate, LD 2007 “clarifies that operating or promoting an online sweepstakes game constitutes unlawful gambling”, and it specifies additional civil penalties for violators.

DraftKings Partner with Maine’s GCU to Push for Sweepstakes Casino Regulation

Maine’s Gambling Control Unit (GCU) is one of the vocal supporters of LD 2007. According to Milton Champion, passing the bill will create a ripple effect as more states will follow. He explained that the bill affects contests and games that run on the dual-currency model, and stimulates casino-style gameplay, such as slots, lottery, bingo, or even sports wagering.

He further explained that the biggest issue now is that sweepstakes casinos operate without regulatory oversight, with no framework for responsible gambling.

Last June 2025, the Gambling Control Unit issued a warning to Maine residents regarding “illegal interactive gaming sites”. In the same press release, the agency clarified that “no online casino, iGaming, or sweepstakes site is licensed by the Gambling Control Unit”.

In the same hearing, Maine lawmakers and the Gambling Control Unit found an ally in DraftKings. According to Kevin Cochran of DraftKings, the passage of LD1164 and the consideration of LD2007 help in prioritizing consumer protection. He added that unregulated platforms put players at risk and undermines the intent of the law.

SGLA and VGW Issue Opposition to the Bill

The hearing, which was conducted at State House, Room 437, was attended by other stakeholders, including Social Gaming Leadership Alliance (SGLA) and VGW. Sean Ostrow, SGLA’s Managing Director, argued that the bill would criminalize the industry, and affect even law-abiding operators.

Ostrow argued that sweepstakes games are similar to free-to-play social games, but with an opportunity to real prizes.

VGW’s Lloyd Melnick was in attendance too and added his voice against the ban. He explained that the planned ban could stifle innovation and deprives local players with a safe form of entertainment.

What’s Next for LD 2007?

The bill remains with the Veterans and Legal Affairs Committee, and it’s expected that debates and sessions will continue. It’s expected that more resource persons may be invited, and some sections of the bill may be amended.

Once it goes out of the committee, the bill moves to the Legislature for another hearing later in the 2026 session.

REFERENCES

• LD 2007

• SGLA