A new bill was filed in the state senate last week, seeking to ban sweepstakes casinos in Maryland. Senate Bill 860, spearheaded by Senator Corderman, seeks to ban sweepstakes casinos and impose new limits on offshore companies starting from 1 July 2025.
The proposed bill seeks to ban any internet-based contest that simulates iGaming or sports betting and distributes prizes using a dual-currency system. It would also stop financial institutions, payment processors, gaming content suppliers, and affiliates from working with sweepstakes casinos.
In addition to taking down sweepstakes casinos, the bill also seeks to ban the issuing or renewal of licenses of entities that accept black market revenue. This includes jurisdictions blacklisted for money laundering by the Financial Action Task Force and countries the US government designated as state sponsors of terrorism.
It would also forbid all companies that derive revenue from online casino gaming in jurisdictions where that is illegal.
What Does This Mean for Marylanders?
If the bill passes, it means the end of sweepstakes casinos for residents of Maryland. The websites would close their doors to players residing in the state. Even if some websites attempt to skirt the rules, the bill bars payment processors and financial institutions from working with them.
The wording of the bill may also impact some larger European operators and suppliers. Companies with exposure to grey and black markets will have a harder time getting a license from the state going forward.
Interestingly, this bill comes after discussions have already started around legalizing iGaming in the state. House Bill 17 seeks to authorize the State Lottery and Gaming Control Commission to license and oversee online gambling operations. However, the proposed bill faces pushback from the state’s land-based casinos. They argue legalizing online gambling will eat into their revenue, which will mean fewer jobs and less support for the local economy.
A bill similar to House Bill 17 was already attempted once and was shot down by Maryland lawmakers. Between that and the move to ban sweepstakes casinos, it doesn’t seem like legalized iGaming is on the cards for the Old Line State. However, you can rest assured we’ll keep you up to date with any changes as they come up.
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