Indiana Opens Debate on Sweepstakes Casinos With a Hearing Last January 6

Indiana isn’t wasting time with its efforts to ban sweepstakes casino gaming. As scheduled, the House Public Policy Committee convened at 8:30 AM in Room 156-B last January 6th to open the debate on House Bill 1052 (HB 1052), a bill that aims to sweepstakes casinos, or those that use the dual-currency model.

As expected, splits were noted, and a few talking points emerged.  

Indiana’s hearing was the first in a series of state-level actions targeting sweepstakes casinos in 2026. Maine’s Legislative Document 2007 is scheduled on January 14th, while Florida’s joins the conversations with its own proposal, which had already been assigned to a committee, but with no hearing date yet.

Regulators Call for Closing a “Legal Loophole” and Protecting Consumers

HB 1052 was filed to target online sweepstakes gaming or platforms that operate using the “dual-currency model”, with Gold Coins (GCs) and Sweeps Coins (SCs). In addition, the bill also features reforms on horse racing licenses, exclusion programs for sports betting, and e-cigarette/tobacco licensing.

The initial hearing exposed diverging opinions and recommendations for the popular sweepstakes casino industry. For supporters, HB 1052 can benefit through the following:

• Close a legal loophole and protect consumers. Representatives from the Indiana Gaming Commission (IGC) argued that these platforms operate illegally since they exploit the dual-currency model. The ban will help clarify the law and close the legal loophole.
• Reduce unregulated gambling activity. Proponents say that these sites operate without oversight and may put consumers at harm and engage in unfair practices.
• Aligns with national trend. Nine states, including California and New York, have banned the games, and others are drafting their bills.

Regulation Might Be More Effective, Says Supporters

Sweepstakes casino games have plenty of supporters too, including VGW and the Social Plus Gaming Association (SGLA). For industry advocates, here are the reasons why the bill must not pass:

• Sweepstakes games aren’t “currently illegal”. Some legislators, like Rep. Jim Lucas, argued that current laws don’t classify these sites as illegal gambling.
• Ban could push players to offshore sites or unregulated platforms. Banning these sites may potentially increase the risks and put players on harms way.
• Regulation is effective. “Regulation instead of a ban” is the battle cry for most supporters. Regulation is a win-win for all- it generates revenues, players play safe, and operators continue with their business.

The hearing was just a procedural step—committees will continue debating, and the industry stakeholders are expected to lobby. At this stage, the enforcement language and penalties are unclear, and no specific criminal penalties have been mentioned.

REFERENCES

• HB 1052