EnforcementAnnounced
Tennessee AG orders nearly 40 sweepstakes casinos to stop serving the state
Attorney General Jonathan Skrmetti announced cease-and-desist letters to almost 40 online sweepstakes casinos, arguing the dual-currency model is an illegal lottery under the Tennessee Constitution.
- Agency
- Tennessee Attorney General
- Announced
- Dec. 29, 2025
- Letters
- Nearly 40
- Legal basis
- Constitutional lottery ban; gambling and consumer protection laws
- Outcome
- Recipients blocked Tennessee or set wind-down dates
Tennessee Attorney General Jonathan Skrmetti announced on Dec. 29, 2025 that his office had sent cease-and-desist letters to nearly 40 online sweepstakes casinos. The office said the sites use dual-currency systems, including a currency that can be redeemed for cash or prizes, to disguise real-money gambling.
The letters relied on the Tennessee Constitution's prohibition on lotteries as well as state gambling and consumer protection laws. Covers reported that recipients included Chumba Casino, Modo, McLuck, High 5 Casino, Stake, NoLimitCoins and Crown Coins Casino.
Every operator that received a letter either restricted access from Tennessee or committed to a date to stop operating there, according to the attorney general. Skrmetti said such sites "avoid any oversight that could ensure honesty or fairness" and warned other platforms active in or eyeing the state that they were also on notice.
The crackdown set the stage for SB 2136, which Gov. Bill Lee signed in May 2026 to write the prohibition into statute and expand the attorney general's investigative powers.
What it means for players
- Major sweepstakes brands no longer accept Tennessee players for prize play.
- Sites that still serve Tennessee are operating against the attorney general's position and, since May 2026, state law.
Sources
This summary is for information only and isn't legal advice. Laws and operator policies change; check the primary sources above and each casino's current sweepstakes rules.