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Wyoming lawmakers propose felony ban on online sweepstakes games

Our write-up of a story first reported by Yogonet International

Wyoming lawmakers propose felony ban on online sweepstakes games

Wyoming's Select Committee on Gaming has unanimously backed a bill that would ban online sweepstakes games and classify their operation as a felony. The draft aims to clarify the legal status of such products.

Wyoming law currently prohibits online casinos but permits online sports betting and fantasy sports. Sweepstakes games fall under the Consumer Protection Act as promotional offers, creating confusion over which agency handles complaints: the Wyoming Gaming Commission or the consumer protection and antitrust division. Commission chair Nicholas Larramendy told lawmakers that the consumer unit treats complaints as gambling and forwards them to the commission, which sends them back. 'It becomes a perpetual cycle,' he said. The bill makes clear that these are unlawful gambling, he added.

Industry representatives opposed the measure. Former Wyoming Republican senator Affie Ellis, a Cheyenne attorney representing Bally's Corporation, acknowledged the visual similarity: slots, blackjack tables, jackpot animations. But the products differ. Online casinos accept real-money wagers and pay cash, while sweepstakes are free to play. Federal law requires sweepstakes tied to a purchase to offer an alternative method of entry without purchase. Bill Gantz, counsel for VGW, called the language too broad, conflicting with the fact that sweepstakes tied to buying goods or services are currently valid in Wyoming. VGW has operated in the state since 2012. If passed, Wyoming would become one of the few states where free-entry prize games are not permitted, Gantz said.

Gambling handle in the state is rising. Larramendy said that last year all legal forms of gambling recorded $2.7 billion in wagers, with more than $3 billion expected in 2026. The gaming committee was established in 2025. Alongside the sweepstakes ban, lawmakers backed a bill updating fingerprinting requirements for individuals regulated by the commission.

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