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Tennessee’s Rep. Scott Cepicky has filed House Bill 1885, a measure that directly targets online sweepstakes casinos and hands the state attorney general more power to investigate and shut down operators.
The proposal describes these platforms as a fast-growing form of illegal gambling, packaged and sold to consumers as if they were harmless, free-to-play games.
According to the bill, sweepstakes casinos “serve as a façade to hide the fact that players may engage in real-money gambling through the purchase and use of virtual currency,” and “generally constitute illegal lotteries and violate Tennessee gambling and consumer protection laws.”
Tennessee has always been clear on its stance about these sweepstakes casinos, even issuing cease-and-desist letters in the past. By finally putting this language into law, Cepicky’s bill is pushing to make clear that such forms of gaming are not entertainment but gambling, and that the state intends to treat them as such.
No beating around the bush in HB 1885
HB 1885 offers one of the clearest definitions of online sweepstakes casinos. It focuses on the two-currency system these sites use, where players buy or get credits and then turn them back into prizes or cash. The bill says this setup is gambling, not free play, according to a GamblingInsider report.
It also covers any platform that copies casino games. Slots, video poker, table games, bingo, lottery, and even unlicensed sports betting all fall under the definition. The text then makes the rule plain: “The operation, conducting, or commercial promoting of online sweepstakes games and other forms of online or app-based gambling are unlawful and are offenses against the public health, safety, and welfare of this state.”
The bill doesn’t stop with operators and also goes for anyone who helps run or promote these games, vendors, partners, or intermediaries.
Violations are treated as deceptive practices under the Tennessee Consumer Protection Act, opening the door to civil penalties and injunctions instead of relying only on criminal gambling charges. In short, HB 1885 leaves little room for confusion.
Tennessee’s sweepstakes operators had a rough 2025
The push for HB 1885 came after months of mounting pressure on sweepstakes casinos in Tennessee. By November, more than 30 platforms, including well‑known names like Chumba, Modo, High 5, Stake, and Pulsz, had already pulled out of the state.
While there was no official explanation for their exit at the time, it was later revealed in December that Attorney General Jonathan Skrmetti had had his office send cease‑and‑desist letters to 38 operators.
In his statement at the time, Skrmetti said his team had “successfully halted the operation of multiple illegal online sweepstakes casinos in Tennessee,” calling the dual‑currency model “a façade to hide the fact that participants may engage in real-money gambling.”
“The only thing you can be sure about with an online sweepstakes casino is that it’s going to take your money,” he added. “They avoid any oversight that could ensure honesty or fairness.”
Every platform either shut down its sweepstakes features or agreed to wind down operations in the state after the letters. 2026 began with almost no active sweepstakes casinos in Tennessee.
