The American Gaming Association recently published a survey analyzing the habits and beliefs of consumers of online sweepstakes casinos.
Most sweepstakes casinos employ a dual-currency system in which customers can buy but aren’t required to purchase coins to play online games such as slot machines. These platforms do not need to achieve licensing from state regulators to operate, although many have been banned or have received cease-and-desist orders.
The survey provides information on how sweepstakes casinos users view themselves and their intentions when accessing the platforms.
The results
The AGA survey polled a nationally representative sample of 2,250 real-money online casino, free-to-play mobile casino and sweepstakes customers from June 11-24, 2025.
According to the results, 90% of sweepstakes casino users consider their experience to represent a form of gambling. That’s different from their legal classification since they do not require purchases and award customers with prizes such as gift cards and sweeps coins (used to play games) instead of cash per-play.
Digital analysis company SensorTower’s data, analyzed by the AGA, showed that half of all real-money casino ads were promoted by sweepstakes casino platforms during early 2025. Those ads were primarily run in states that didn’t have a clear-cut legal framework disallowing sweepstakes casinos.
The results also showed that 68% of sweepstakes casino customers use the platforms with the primary goal of winning money. Not only is that more akin to gambling than harmless social play, it goes against the rule of thumb of the gambling industry, which is to participate for entertainment, not consistent monetary gain.
The survey continued to show that 69% of sweepstakes casino customers believed that the platforms were a place where consumers went to wager real money, AGA VP of Government Relations Tres York said.
“Consumers see right through the 'sweepstakes' casino facade and they're calling it what it is: gambling. These platforms operate outside the law and put players at serious risk.”
Reforms and regulations
The survey continued to shine light on the financial habits of sweepstakes customers.
Eighty percent of respondents said they used real money at sweepstakes casinos monthly, and nearly half said they did so weekly. That means that there’s a high percentage of sweepstakes gamblers who regularly risk money without any regulatory oversight or consumer protection.
Additionally, sweepstakes casino platforms were about twice as busy in states without any regulatory prohibitions as they were in states with them. That reflects the disparity in their advertising prominence, which was also geared toward jurisdictions without regulatory or legal oversight.
Finally, 50% of online casino ads that were seen by customers were from offshore sweepstakes casinos. These platforms are not licensed to operate in the US, and their customers are not protected from claims such as fraud.
Gaming research firm Eilers & Krejcik Gaming reported that the social casino industry had a total market size of $11 billion in 2024 and was growing rapidly.
Only four states have banned sweepstakes casinos currently: Connecticut, Idaho, Montana, and Washington.
The Louisiana Legislature passed a bill to ban sweepstakes casinos, though Gov. Jeff Landry (R) said it was "redundant" and vetoed it.
New Jersey passed a bill to ban the platforms, which is expected to become law on Aug. 14. New York and Michigan haven’t passed bills but have been active in sending cease-and-desist orders to unwanted operators.