A bill that would ban sweepstakes casinos in Maine faces an uncertain future after committee members reviewing the legislation were unable to reach a consensus recommendation.
After three hearings before the Joint Veterans and Legal Affairs Committee, featuring testimony from stakeholders including DraftKings, VGW, and the Social Gaming Leadership Alliance, lawmakers couldn’t reach a unanimous verdict on Legislative Document 2007 and, instead, submitted what’s called a divided report as LD2007 makes its way to the full Senate.
Maine’s 2026 legislative session ends on April 15.
11 members support, 2 members oppose
Officially, LD2007 was reported out of the Joint Veterans and Legal Affairs Committee on Thursday as OTP-AM/ONTP. That means the committee has finished reviewing the bill and sent it to the full chamber with split recommendations.
- OTP-AM (Ought To Pass – As Amended): A majority of the committee recommends the bill should pass as amended.
- ONTP (Ought Not To Pass): A minority of the committee recommends the bill should not pass.
If this is any indication, however, 11 of the 13 members did recommend it should pass, with only two — Rep. David Boyer and Rep. Quentin Chapman — recommending it should not pass.
LD2007 dives deep into the dual-currency model
LD2007 is unique in the sense that it picks apart the elements of sweeps casinos’ dual-currency gaming ecosystem in a way most other sweeps ban bills don’t, or simply gloss over.
It expressly bans sweepstakes gaming that uses a “dual-currency system of payment” but then it goes on to define, in detail, what a dual-currency system of payment entails.
First, it: Prevents a person from directly purchasing coins, tokens or other representations of value that are redeemable for any cash prize, cash award or cash equivalents or the chance to win any cash prize, cash award or cash equivalents.
And, second, it: Encourages a person to purchase services, products, coins, tokens or other representations of value that are not exchangeable for a prize, award, cash or cash equivalents or a chance to win a prize, award, cash or cash equivalents in order for that person to obtain the coins, tokens or other representations of value that are exchangeable for prizes, awards, cash or cash equivalents or a chance to win a prize, award, cash or cash equivalents.
There aren’t many more accurate depictions of what Gold Coins and Sweeps Coins are, and how sweeps casino players interact with them.
The problem for sweeps operators is that LD2007 then directly targets this currency model as both “direct consideration” and “indirect consideration” — plunging sweeps casinos into the realm of illegal online gambling should LD2007 become law.
Here’s the sweeps tie to direct consideration:
“Direct consideration” means a coin, token or other representation of value that may be purchased by a person or received through a bonus or promotion and that is used for playing or participating in an online sweepstakes game.
And to indirect consideration:
“Indirect consideration” means a coin, token or other representation of value that: A. Is provided for free through a promotion or bonus or with the purchase of a related product, service or activity; and B. May be exchanged for a prize, award, cash or cash equivalents or a chance to win a prize, award, cash or cash equivalents.
Legalization of iGaming could be a factor
One factor going against sweeps casinos in Maine is that the state this year became the latest to legalize real-money online casinos, which have traditionally seen sweeps casinos as competitors. It’s expected that Maine will launch iGaming in early 2027.
That means iGaming operators could get involved — as DraftKings already has — and lawmakers may be motivated to eliminate any perceived competition for an industry Maine just legalized to generate tax revenue.
DraftKings, which will surely launch a Maine iGaming platform, was one of the parties to testify against sweeps gaming in the LD2007 hearings.
“Maine has taken a step forward in legalizing a framework for online casino gaming that prioritizes consumer protection, responsible gaming and regulatory oversight,” said Kevin Cochran, Senior Director of Legal and Government Affairs at DraftKings, during the Jan. 14 hearing for LD2007. “Unregulated sweepstakes-style casino platforms operate outside of that framework, drawing players away from licensed operators and undermining the intent of the law.”
