Lawmakers Advance LD 2007

Lawmakers in Maine have taken a decisive step toward outlawing online sweepstakes casinos.

On 18 February, the Joint Committee on Veterans and Legal Affairs voted 8–2 to advance LD 2007, titled “An Act Regarding the Prohibition of Online Sweepstakes Games.” Three members were absent. The proposal had previously been discussed but stalled without a vote earlier in the session.

If enacted, the measure would make explicit what regulators have long argued: sweepstakes casinos are not authorized under Maine law.

Targeting the Dual-Currency Model

LD 2007 introduces a dedicated definition into Maine’s gaming statutes aimed squarely at the dual-currency casino model.

Under the bill, a sweepstakes game is defined as:

  • An internet-based game or promotion
  • Using a dual-currency system
  • Producing casino-style outcomes

Operating or promoting such platforms would be classified as unlawful gambling.

Civil penalties would range from $10,000 to $100,000 per violation, significantly raising the stakes for operators active in the state.

Regulator Issues Stark Warning

Milton Champion, director of the Maine Gambling Control Unit, told lawmakers that roughly 60 sweepstakes casinos are currently accessible to Maine residents, citing industry sources.

Rather than issuing cease-and-desist letters, the state has relied on public warnings. In June, regulators published a notice stating that sweepstakes platforms are not authorized in Maine.

Champion drew a sharp contrast with licensed operators such as DraftKings.

“If you’re in Maine and you go to DraftKings, immediately it pops up and says authorised by the Maine Gambling Control Unit,” he told the committee. “And if it doesn’t say that… you go at your own peril.”

For regulators, the issue is clarity: licensed products display approval. Sweepstakes platforms do not.

National Crackdown Expands

Champion also noted that scrutiny of sweepstakes casinos is spreading beyond Maine. Legislative or regulatory efforts are underway in multiple states, including:

  • Ohio
  • Michigan
  • Virginia
  • Pennsylvania
  • Georgia
  • Louisiana
  • Mississippi
  • North Carolina
  • Iowa
  • Maryland
  • Florida

When asked whether these initiatives were focused on regulation rather than prohibition, Champion responded that most aim to eliminate the model altogether.

VGW Pushes for Regulation Over Prohibition

Not everyone supports a blanket ban.

VGW, operator of Chumba Casino and LuckyLand Slots, urged lawmakers to consider regulation instead.

Executive product advisor Derek Brinkman argued that sweepstakes prizes stem from promotional mechanics rather than traditional gambling activity. He suggested Maine could impose a dedicated tax framework, creating a new revenue stream rather than driving the sector underground.

Lawmakers Weigh the Path Forward

The committee hearing revealed that consensus is not guaranteed.

Representative David Boyer acknowledged he initially leaned toward supporting the ban. However, after hearing VGW’s explanation, he indicated his understanding of the model had shifted.

The debate is now less about whether sweepstakes casinos exist in Maine — regulators say they do — and more about whether the state should prohibit the model outright or attempt to bring it under formal oversight.

Summary

Maine lawmakers have advanced LD 2007, a bill that would formally outlaw online sweepstakes casinos and impose steep civil penalties. Regulators warn that unlicensed platforms leave consumers unprotected, while operators like VGW argue for taxation and regulation instead of prohibition. As other states weigh similar moves, Maine’s decision could signal whether the sweepstakes model faces containment — or expansion — in 2026.