Dual-currency sweepstakes casinos in Louisiana will officially become illegal on Aug. 1.
That’s because that’s the effective date of House Bill 883, which outlaws the dual-currency gaming model employed by most traditional sweeps casinos, with non-redeemable Gold Coins and redeemable Sweeps Coins.
Because Sweeps Coins can be redeemed for real money, lawmakers and regulators in certain states across the country — including Louisiana — argue playing with Sweeps Coins is essentially the same as gambling with real money. Sweeps casino operators, meanwhile, have consistently maintained Sweeps Coin gameplay is not the same as real-money gambling because players don’t have to spend any money to acquire Sweeps Coins.
Louisiana will follow Tennessee, Indiana, and Maine as states where Sweeps Coin gameplay has become illegal so far in 2026. Oklahoma will be the fifth state to join that club this year when its sweeps ban bill goes into effect on Nov. 1.
From interpretations to undeniable fact
Standing alone, HB883 already cemented an established interpretation of Louisiana law.
Gov. Jeff Landry, Attorney General Liz Murrill, and state gaming regulators have repeatedly maintained that dual-currency sweepstakes casinos violate existing law, and regulators issued cease-and-desist letters to a long list of operators in 2025.
As a result, most reputable operators left the state. However, some remained.
The issue was that this position relied on interpreting existing law, rather than pointing to language that explicitly referenced the dual-currency model.
HB883 removes that ambiguity.
The bill explicitly defines online games using a dual-currency system as “gambling by computer” under state law. Specifically, it applies to online games where players use a virtual currency system that can ultimately be exchanged for cash, cash-equivalent prizes, or the opportunity to win them. The language is clearly aimed at the Gold Coin and Sweeps Coin model.
HB883 also broadens enforcement beyond operators themselves. Payment processors and platform providers that facilitate sweeps gaming could also become targets of legal action from the Attorney General. The bill also increases the maximum financial penalty for operating illegal computer gambling from $20,000 to $100,000 while leaving the maximum prison sentence unchanged at five years.
Another critical bill becomes law on Aug. 1
All that is significant in its own right.
But HB883 is particularly noteworthy when you consider how it interacts with another Lousiana bill that will become law on Aug. 1.
House Bill 53 expands the state’s racketeering laws to include certain gambling offenses. Among them is “gambling by computer,” meaning anyone guilty of that could face prosecution under Louisiana’s racketeering laws.
By specifically defining dual-currency online casino-style games as “gambling by computer,” HB883 creates a direct link between sweepstakes casinos and Louisiana’s racketeering laws via HB53.
And that raises the stakes for sweeps operators toying with the idea of staying in the state.
Louisiana has some of the toughest racketeering penalties in the country. A conviction can carry a prison sentence of up to 50 years, fines reaching $1 million, or both. Courts may also order defendants to forfeit up to three times the profits generated from the illegal activity.
A racketeering framework can also allow prosecutors to target not only the company operating the sweeps casino, but also executives, affiliates, software vendors, marketers, payment processors, and other businesses alleged to be connected in some way to the operation.
Put together, HB883 and HB53 may represent the most aggressive legislative action against the sweepstakes casino industry seen anywhere in the United States.
Yes, cease-and-desist letters can pressure operators to leave a state, but they aren’t always effective. Even a straightforward bill has limitations.
Louisiana went a step further by creating a framework that could allow sweeps casino activity to be prosecuted as racketeering. And that new reality in Louisiana begins in just a couple of days.
