Indiana Makes History: First 2026 State to Ban Sweepstakes Casinos’ Dual-Currency Model

It’s official- Indiana becomes the first state in 2026 to outlaw sweepstakes casinos and the use of the “dual-currency model”.

Filed by Rep. Ethan Manning (R-Logansport), the legislation explicitly defines and bans online contests that simulate online gambling, which rely on the dual or multi-currency system. Under the law, all online games, contests and promos that offer or simulate lottery, casino, and betting products using the dual/multi-currency model will be illegal in the state effective July 1st, 2026.

A Look at the Key Details of Indiana’s Latest Legislation

By approving the bill, Governor Mike Braun made Indiana the first state to officially ban sweepstakes casinos and the dual-currency model this year. Rep. Manning’s HB1052 easily passed both chambers, receiving bipartisan support.

Last month, Indiana’s House and Senate heard and debated the bill, delivering an 87-11 and 37-8 votes, reflecting its massive support across the aisle. Regulators, including the Indiana Gaming Commission (IGC), argued that current state laws “weren’t enough” to stop the operations of these gaming platforms.

With the state’s full backing, players and industry stakeholders can expect plenty of changes, including:

• Online games, contests, and promos simulating lotteries, casinos, and sports betting built on a dual-currency model are now banned

• Indiana Gaming Commission leads the enforcement; it’s authorized to impose up to $100k in civil penalties per violation on sites targeting Indiana residents

• Effective July 1st, giving operators ample time to wind down their operations

For players, now’s the best time to use their remaining Gold Coins (GCs) and start redeeming their Sweeps Coins (SCs) balances. We expect the top sweepstakes casino operators to start informing their players through emails, with updated timelines.

REFERENCES

• HB1052