Key Takeaways:
- The IGB and Illinois Attorney General are requiring sweepstake operators to block residents or stop offering prizes.
- Sweepstakes casinos have operated by offering free-play options, but states argue they constitute illegal gambling.
On February 4th, the Illinois Gaming Board issued 65 cease-and-desist letters to online sweeps casinos and illegal online casinos, including Chumba, Stake, Pulsz, and High 5 Casino.
The letters target operators who are believed to have taken part in illegal online gambling in Illinois. A copy of the cease-and-desist letter, along with a full list of the social casinos involved, is available on the IGB website.
The IGB, with the backing of Illinois Attorney General Kwame Raoul, is asking sweepstakes casinos operating in the state to either block Illinois residents from playing or to stop offering cash, gift cards, and other prizes.
Illinois players who have signed up at these casinos should be aware that their accounts may be blocked with little notice, and they could also be hit with financial penalties. Anyone looking to place bets can still use one of the 15 licensed land-based casinos or sportsbooks that operate legally in the state.
Illinois is the latest state to crack down on the sweepstakes casino market, following New York and California who issued bans in 2025.
Sweepstakes casinos have exploded in recent years and generally operate outside state gambling regulations by offering a free-play option. However, many states including Illinois argue that these sites meet the legal definition of gambling and result in millions of dollars of lost tax revenue.
Because of the cease-and-desist letters sent on February 4th, we’ve already started getting emails from some casino operators about their decision to shut off player access in Illinois. We’ll provide more information as it comes in, but are expecting things to move quickly in light of the IGB’s actions
