Bonus TL;DR
- Wyoming’s Select Committee on Gaming has unanimously backed draft legislation that would explicitly classify online sweepstakes casinos as illegal gambling, making the operation of such platforms a felony within the state.
- Although the measure still needs to pass the full Wyoming Legislature to take effect, industry attorneys are aggressively pushing back, warning lawmakers that the current broad language could inadvertently criminalize legitimate promotional sweepstakes tied to the purchase of everyday goods and services.
Wyoming’s Select Committee on Gaming has unanimously backed draft legislation that would ban online sweepstakes casinos in the state and make operating one a felony.
The proposal is not yet law. It would still need to move through the Wyoming Legislature and be enacted before anything changes for operators or players. But the committee vote adds Wyoming to a growing list of states weighing tougher action against sweepstakes-style gaming.
Proposal would clarify sweepstakes casinos as illegal gambling
Wyoming already prohibits online casinos, while online sports betting and fantasy sports are legal. During the committee discussion, Wyoming Gaming Commission Executive Director Nicholas Larramendy said the bill would remove uncertainty over how sweepstakes casinos are treated under state law.
“They give it to us. We look at it. Then we get the argument that this is under consumer protection,” Larramendy said, describing how complaints can move between his agency and the Consumer Protection and Antitrust Unit.
He added: “So this bill definitely makes it very clear that this is illegal gambling.”
The debate comes as gambling activity continues to grow in Wyoming. According to figures presented by Larramendy, players wagered about $2.7 billion across legal forms of gambling in the state last year. He said Wyoming could top $3 billion in wagers this year.
Operators and attorneys push back on bill language
The draft also drew opposition from industry representatives who argued the language could sweep too broadly.
Former Wyoming state Sen. Affie Ellis, now an attorney representing Bally’s Corporation, told lawmakers that sweepstakes casinos and online casinos can appear similar but operate differently. VGW attorney Bill Gantz argued the proposal could conflict with legal sweepstakes tied to purchases of goods or services.
“This is over broad and it does conflict with the idea that a sweepstakes in connection with a purchase of a good or service is currently valid in Wyoming and should remain valid in Wyoming,” Gantz said.
That leaves open a key question as the measure advances: whether lawmakers will narrow the final bill language around legitimate promotional sweepstakes.
What comes next in Wyoming
The committee’s vote does not by itself change Wyoming law. The proposal would need to be formally introduced, approved by the full Legislature, and enacted before the ban could take effect.
The issue is part of a broader policy review by the committee, which has also been examining local authority, horse racing, responsible gambling funding, and the definition of illegal gambling. The source material also noted that New Jersey signed legislation prohibiting sweepstakes casino operations into law last year, giving Wyoming lawmakers a recent example of a state-level crackdown in this area.
Source: As reported by gamingamerica.com.