Indiana's HB 1052 sweepstakes ban takes effect, prompting a wave of exits

Indiana's prohibition on online sweepstakes casinos took effect July 1. HB 1052, authored by Rep. Ethan Manning, cleared the House 87-11 and the Senate 37-8 in February before a conference committee reconciled the two versions, and Gov. Mike Braun signed it in mid-March. Indiana was the first state to enact such a ban in 2026.

The law covers internet games that simulate casino or lottery products or sports betting and use a dual- or multi-currency system in which currency can be exchanged for prizes or cash equivalents. The Indiana Gaming Commission can impose civil penalties of up to $100,000 on an operator or individual who knowingly runs such a game; criminal penalties in earlier drafts were dropped. Indiana Lottery promotions and peer-to-peer skill-based poker are exempt.

Operators moved before the deadline. Deadspin listed exits or major changes by MyPrize, High 5 Casino, McLuck, Hello Millions, Jackpota, Mega Bonanza, PlayFame, SpinBlitz, Baba Casino, Pulsz, Cider Casino, Lavish Luck and Blazesoft brands such as Zula Casino and Sportzino. Sites run by Utech Solutions, including VegasWay, Mr.Goodwin, DexyPlay and SweepShark, stayed online by removing redeemable Sweeps Coins for Indiana players, and game studio Hacksaw Gaming pulled its titles from affected platforms in the state.

The Social Gaming Leadership Alliance, which had pushed lawmakers to regulate rather than ban the products, said it was "disappointed that HB 1052 has become law." An amendment that would have created a regulated framework was rejected during the session.

Because of the poker exemption, sweepstakes poker sites can keep serving Indiana players as long as they switch off casino-style games, PokerFuse reported.