Sweeps Coin Gameplay Is Officially Illegal In California, As AB831 Becomes Law

Written By:   Author Thumbnail Matthew Bain
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Matthew Bain
Matthew Bain has covered the legal gambling landscape in the US since 2022, both as a content director at Catena Media and now as a freelancer for Comped and Sweepsy. Before that, he spent six years as a sports reporter ...
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Jan. 1 is here, meaning Sweeps Coins are now illegal in California, and sweepstakes casinos are responding in a variety of ways.

Sweeps Coin gameplay is no longer legal at sweepstakes casinos in California as Jan. 1, 2026, has arrived, meaning Assembly Bill 831 has officially become law.

Four other states have seen similar bills become law in 2025 — New York, Connecticut, Montana, and New Jersey. But none of those markets are as consequential for sweeps gaming operators, not even New York.

Analysts at Eilers & Krejcik Gaming had estimated that California would account for about 17.3% of total U.S. sweepstakes casino revenue in 2025. However, after it became clear that AB831 was going to pass, the firm revised its outlook, lowering its 2025 revenue estimate from $4.6 billion to $4 billion, and subsequently reducing its 2026 forecast to $3.6 billion.

The ripple effect of that impending loss was significant and swift.

Here’s how we got here, and how operators are responding.

Winners and losers

Jan. 1 marks the finish line of a significant win for two powerful interest groups: Major social casino companies and California’s large gaming tribes, the latter of which successfully fast-tracked AB831 via the controversial gut-and-amend maneuver that quickly reshaped the bill and accelerated its momentum.

The Yuhaaviatam of San Manuel Nation, one of the state’s most influential gaming tribes and the owner of Yamaava’ Resort & Casino, the largest casino on the West Coast, was AB831’s main tribal sponsor. Tribes argued that sweeps casinos undermined their sovereign rights and California’s long-standing framework granting them exclusivity over gambling. That argument boiled down to the presence of Sweeps Coins, a currency at sweepstakes casinos that can be redeemed for cash, which, tribes argued, represented means for gambling.

Large social casino operators, most notably Light & Wonder, also supported the bill and helped push it forward. Company executives were outspoken in their view that sweeps platforms effectively operate as unlicensed online casinos, arguing that the availability of Sweeps Coins in operators’ dual-currency, Gold Coins/Sweeps Coins model, is a workaround designed to evade gambling regulations.

Together, this anti-sweeps coalition — helped by a hurried legislative rewrite and bipartisan support for tribal interests — secured a massive victory over sweeps operators.

The first wave of reactions

Those sweeps operators have responded in a number of ways.

In August, September, and October, as platforms first dealt with the notion of losing California revenue, several relaunched in states where they had previously blocked access — likely trying to fill in as much of the California-shaped hole as possible.

Spree opened back up in Alabama and Georgia, for instance. Baba Casino relaunched in six states, and ACE Casino did the same in four markets.

Other smaller properties were forced to shut down

Vivaro.us, for instance, was open with its players when it announced its shutdown, telling customers “increasing regulatory uncertainty surrounding sweepstakes casinos in the United States” were causing it to “permanently close operations.”

Other sites, including Vegas Coins, LuckyStars Casino, OnPoint Casino, Turbo Stakes Casino, Starlight Casino, and Bitsler.io, also shut down in the wake of AB831 passing.

Keeping Gold Coins live, expanding gaming ecosystem, new models

More recently, operators have focused on ways to stay active, relevant, and as profitable as possible in California with Sweeps Coin gameplay no longer an option. At a baseline, all major operators are keeping Gold Coin gameplay live in California. (Except Stake.us, but the lawsuit against it in California may have something to do with that.)

The crux of AB831 targets Sweeps Coins, which can be redeemed for real money.

Specifically, the language of the bill outlaws any online sweepstakes game that:

(A) directly or indirectly implements the predetermination of sweepstakes cash, cash-equivalent prizes, or other prizes of value; (B) otherwise connects a sweepstakes player or participant with sweepstakes cash, cash-equivalent prizes, or other prizes of value; or (C) utilizes a dual-currency system of payment that allows a person to play or participate in a simulated gambling program for direct or indirect consideration, including consideration associated with a related product, service, or activity, and for which the person playing the simulated gambling program may become eligible for a prize or award, cash or cash equivalents, or a chance to win a prize or award, or cash or cash equivalents; in a business establishment, on the internet, or using an online application.

So, goodbye Sweeps Coins.

Gold Coin gameplay, meanwhile, is traditional social casino gaming, and it remains a lucrative model. Light & Wonder earns roughly $200 million per quarter from SciPlay, its social gaming arm. The business model relies on players purchasing virtual currency and optional features such as bonus rewards, premium events, or tournament entries.

Beyond that, operators are getting creative. 

Modo.us, for example, is rolling out a rewards-based ecosystem called Modo Stars, which will resemble the playREWARDS program at PLAYSTUDIOS social casinos like myVEGAS Slots and POP! Slots, where Loyalty Points can then be exchanged for rewards like hotel rooms, cruise packages, dining credits, and tickets to shows or live events.

MyPrize.us has taken an even sharper turn, announcing a shift toward prediction markets through a partnership with Crypto.com — marking the first time a gaming platform has publicly committed to that direction, even though MyPrize Markets has yet to go live.

VGW, meanwhile, isn’t tinkering with new elements to the ecosystem, but rather adding new brands and tightening up its technical workflow. It just launched LuckyLand Casino and is planning to launch a fifth brand, United Slots, this quarter. Beyond that, it is streamlining operations by bringing all of its brands onto a single technology framework

Then there’s the really creative decisions.

Last fall, ClubWPT Gold abandoned the familiar dual-currency setup in favor of a single, redeemable currency called Chips. The platform then paired those Chips with poker education products, selling training tools and bundled access in a way that positions the site more as a learning resource than a gaming site.

And then, recently, a new site from Vision NL Limited popped up called Card Crush

It’s a role-playing card game site that also includes casino-style games. And it’s only live in California and New York. Instead of Gold Coins and Sweeps Coins, Card Crush offers a single currency — Mystery Coins — which players earn by climbing leaderboards or buying Mystery Boxes, which also come with cards. The collectible cards are used to win battles with other players and have no monetary value. Mystery Coins, meanwhile, can be used to play casino-style games on the site and redeemed for cash. 

Think, Pokémon or World of Warcraft, but with casino-style games too.

About The Author
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Matthew Bain
Matthew Bain has covered the legal gambling landscape in the US since 2022, both as a content director at Catena Media and now as a freelancer for Comped and Sweepsy. Before that, he spent six years as a sports reporter and editor for the USA TODAY Network, primarily at the Des Moines Register. Through his various roles, Matthew has racked up experience in the casino, sports betting, and lottery markets.