South Carolina sweepstakes casinos are legal – but just barely. You can play and redeem prizes, sure, but the law here cuts close. One wrong move from the site or you, and the state treats it like real-money gambling. This page shows you which platforms follow the rules, what those rules actually say, and how to stay on the right side of South Carolina law.
Renzo A.
Content Writer
Last updated
20 June 2025
What allows these South Carolina sweepstakes casinos to operate?
They don’t act like real casinos.
That’s the key. Every site in our toplist avoids what South Carolina defines as illegal gambling.
No required payment.
You’re never forced to pay to enter sweepstakes games – which means § 16-19-40 (the gambling ban) doesn’t apply.
No gambling devices.
There are no digital slot machines, no poker-style terminals. That keeps them clear of § 12-21-2710, which bans any “device” used for betting.
No fees to claim prizes.
If you win, you redeem. That’s it. You’re not asked to pay shipping, unlock fees, or verification charges – which would violate § 37-15-10.
And yes – this is exactly why they’re still running in South Carolina.
Any site that skips these? Blocked, banned, or already gone.
Restricted sweepstakes casinos in South Carolina
Restricted sweepstakes casinos in South Carolina
There’s no license, no regulator, and no formal approval process.
In South Carolina, sweepstakes casinos operate legally only because they avoid the exact elements the law bans.
Here’s what keeps them on the right side:
Section § 16-19-40 makes it illegal to play or run any chance-based game for money. If a site forces you to buy in for a shot at a prize, it’s gambling – and banned. The legal platforms avoid that by offering daily login bonuses, contests, or mail-in entry options. No payment = no gambling charge.
Section § 12-21-2710 bans gambling machines – including anything digital that plays like a slot or poker terminal. Sites that mimic that experience too closely can get flagged. The legal operators strip down visuals and randomness just enough to avoid the “machine” label.
Under § 37-15-10 (the Prizes and Gifts Act), no one can charge you to collect something you’ve already “won.” Official sweepstakes casinos never ask for handling fees, cash unlocks, or minimum spend thresholds to redeem your Sweeps Coins.
You’ll see two currencies on every legit site: Gold Coins (just for entertainment) and Sweeps Coins (which you can use to win redeemable prizes). The moment a site removes free entry, merges the currencies, or ties rewards to spending – it stops being legal.
So are these platforms “allowed” by the state? Not exactly. They’re simply not banned – because they’re designed to stay just outside what the law defines as gambling.
That same no-purchase, dual-currency setup is also what makes sweepstakes casinos legal in most U.S. states. If you want the full legal explanation, our nationwide guide breaks it all down.
If you’re playing from South Carolina and the site follows the rules, you’re good to go – but only if you stick to a few non-negotiables.
✅ You must be 18 or older
There’s no South Carolina law that sets a specific sweepstakes age, but every major platform uses 18+ as the entry requirement. That’s the minimum for contract agreements and prize eligibility.
✅ You must be physically located in South Carolina
Sweepstakes casinos use geolocation tech. If you’re in a blocked state, you won’t get access. If you’re traveling, make sure you’re still within South Carolina’s borders when you play or redeem.
✅ You must follow platform terms
One account per person. No VPNs. No fake names. If you break the site’s rules, you’re not just getting banned – you’re also voiding any legal protection you had under sweepstakes law.
The 2013 café crackdown: what really happened
Back in 2013, dozens of sweepstakes cafés across South Carolina were shut down. These weren’t online platforms – they were physical storefronts claiming to run legal sweepstakes. But behind the counter, they operated like unlicensed casinos.
How the setup worked – and why it failed
Customers bought internet time or phone cards, then used “bonus entries” to play games on machines that looked and felt like classic slot terminals – reels, payouts, flashing graphics, the works. The setup was dressed up as a promotional giveaway, but the gameplay triggered the exact laws the state had banned years earlier.
The law South Carolina used to ban them
The state used SC Code § 12-21-2710 to take them down. That statute bans any gambling device, including anything that lets you risk money (or something of value) for a chance to win a prize. It doesn’t matter what the business calls it – if it looks like gambling and acts like gambling, South Carolina treats it as gambling.
No gray areas – and no second chances
Law enforcement seized machines, froze operations, and made it clear: this isn’t a gray area. If you simulate gambling in any form – slot-style, video poker, or anything similar – and there’s money or prizes at the end, it’s a violation. That position was further locked in when lawmakers passed Act 5 of 2013, explicitly closing loopholes used by café owners and reinforcing the gambling device ban.
The café crackdown didn’t just target physical machines. It set the tone for how South Carolina sees sweepstakes disguised as gambling – and that’s exactly the line every online platform must now avoid. The reason current sites haven’t been blocked is because they don’t use gambling-style visuals or mechanics – and they separate real prizes from required payment.
In 2013, South Carolina shut down physical sweepstakes cafés.
They mimicked real gambling using bonus-entry machines.
The state called them illegal gambling devices.
Act 5 of 2013 backed the ban.
Online sweepstakes casinos follow these limits now.
South Carolina’s done it before – it can again.
Sweepstakes casinos are built to work in South Carolina – but only if they follow every rule. If they slip, or if you play on a site that cuts corners, here’s what you’re risking:
⚠️ Your access can vanish overnight
Sites that cross the line – by forcing payments, hiding free entry, or running slot-style games – get geo-blocked. When that happens, your login stops working. And there’s no appeal process.
⚠️ You can lose your Sweeps Coins and prizes
If a SC sweeps casino gets blocked or shuts down, your coin balance and any pending redemptions can disappear. There’s no local licensing board to protect your payouts. If they’re gone, they’re gone.
⚠️ There’s no regulation to fall back on
South Carolina doesn’t oversee these platforms. No complaints desk. No dispute resolution. If something goes sideways, you’re on your own.
⚠️ Your own actions can put your account at risk
Using a VPN, opening multiple accounts, entering fake details – all of that can get you banned from a platform, even if it’s technically allowed in the state. And banned accounts don’t get paid.
⚠️ Some sites fake being sweepstakes casinos
Not every platform that looks like a sweeps or social online casino actually follows the rules. If a platform skips free entry or buries redemption terms, it’s not just shady – it’s at risk of being banned in South Carolina.
Even though South Carolina doesn’t treat sweepstakes play as gambling, your winnings are still taxable.
Here is what you have to know:
South Carolina taxes personal income, and that includes sweepstakes prizes. Whatever you report federally, you’ll need to include in your state return.
These platforms won’t hold money back for taxes – it’s on you to track what you redeem and report it at tax time.
A basic spreadsheet or saved screenshots of your redemptions will make filing a lot easier – especially if you hit that $600 threshold and the paperwork shows up late or not at all.
If you’re playing sweepstakes casinos from South Carolina, you’re doing it in a state that’s already drawn the line – clearly, and with consequences. The sites that still operate here don’t have special permission. They’re just designed not to trigger the laws that shut down the cafés.
As long as you stick to platforms that keep no-purchase entry, avoid gambling-style mechanics, and stay transparent with prizes, you’re in the clear. The second a site pushes past that – the state has precedent, and it’s not afraid to use it.
South Carolina hasn’t introduced new sweepstakes legislation – but that doesn’t mean it won’t. Other states have tightened definitions or passed outright bans in the last year. If lawmakers here see online games edging too close to the casino model again, expect pushback.
For now, the model still works. But it only takes one bill – or one misstep by a platform – to change that. If you’re going to play, stick with the sites that follow every rule, not just most of them.
Compare South Carolina with its closest neighbor states
Yes – but not because of a special law. South Carolina doesn’t have any sweepstakes casino statute. What keeps these platforms running is that they avoid violating existing laws like § 16-19-40 (which bans paid chance-based gambling) and § 12-21-2710 (which bans gambling devices). As long as a site removes mandatory payments and doesn’t simulate slot or poker machines, the state doesn’t shut it down.
Yes – if you earn Sweeps Coins through free entry (like login bonuses or mail-ins), you can redeem them for real-world prizes. Most players use ACH, PayPal, or gift card options.
Yes. Any prize redemption with real-world value counts as income. You’ll owe federal and state income taxes, even though sweepstakes casinos aren’t classified as gambling. Track everything you redeem – if it’s over $600, expect a 1099.
If a site removes its free-entry method, adds slot-style visuals, or ties wins to purchases, it could be blocked in the state. You may lose access – and your unredeemed Sweeps Coins with it. There’s no regulatory body in SC to recover lost balances.
Yes. It already did in 2013 with physical sweepstakes cafés – and the same legal tools still apply. If online platforms repeat those mistakes, South Carolina has the precedent to shut them down.
Every casino will provide a welcome bonus to kickstart your gameplay. After this bonus, you can discover numerous other sources, such as daily login prizes, wheel spins, random surprises, social media competitions, challenges, promotions, and tournaments, depending on the platform. Some platforms even offer VIP clubs and refer-a-friend bonuses to help you maximize your assets and top up your virtual gaming wallet.
