Maryland Looks to Ban Sweepstakes Gaming
Jerard V. • Last updated on 27 March 2025
Sweepstakes gaming market in Maryland has just crashed as two leading operators, Chumba and LuckyLand Slots have been asked to leave the market. If they refuse to act on this order, they risk facing some consequences.
The Maryland Lottery and Gaming Control Agency (MLGCA) is clear. The authority sent a letter last week informing Virtual Gaming Worlds that they offer online gaming activities in the state without legal authorization for performing such activities.
Following this letter, Virtual Gaming Worlds is urged to reply by 5 p.m. ET on March 27. If they accept this claim from the regulator, they will be also required to present documents specifying each casino game they offer, including sports wagering and fantasy offerings, as well as legal analysis of their eligibility.
Other Obligations Following Recent Happenings
MLGCA seems to be serious regarding recent occurrences. The authority seeks that Virtual Gaming Works confirms it will stop providing sports wagering, casino gaming or any fantasy contests in the state and within a deadline of 10 days from getting the letter.
The MLGCA also said that disobedience to the guidelines may imperil the possibility of VGW to ever get a license for offering sports wagering or gaming, or get registered as an official operator of fantasy gaming, or getting any license or certification from the Commission.
Current Gambling State in Maryland
At the moment, Maryland does not allow online gambling across the state. However they still allow retail venues and online sports betting activities. The state marked $5.9 billion wagered on sports in 2024, as well 28.7% spike over the last year. Gross revenue peaked 23.7% to $635.7 million for sportsbooks.
The Commission sent a letter just a day after a VGW representative, Josh White, gave his testimony at a House Ways and Means Committee hearing opposing the idea of legislation for prohibiting sweepstakes casinos. White claimed that sweepstakes games should not be considered illegal as they’re utilized as marketing tools (or in the same way that McDonald’s or Microsoft do that).
The actual House Bill 1140 is based on the same steps taken by other states to prevent sweepstakes gaming. New York contemplates legislation that would forbid online sweepstakes games and profit from illegal markets, especially targeting those that look like casino-style entertainment, involving poker, slots and sports betting.
According to the Bill, such actions bypass protection of customers, responsible gaming, and AML procedure and gambling in New York should meet all prerequisites.
In the meantim, other states like Connecticut, FL, Mississippi, and NJ look to take action towards prohibition, so it waits to be seen what next weeks and months will bring.
Sources:
- Forbes.com (March 2025). Sweepstakes Casino Giant VGW Ordered To Exit Maryland, Produce Legal Opinion To Regulators. Retrieved from: https://www.forbes.com/sites/danielwallach/2025/03/17/sweepstakes-casino-giant-vgw-ordered-to-exit-maryland-produce-legal-opinion-to-regulators/
