
The Social Gaming Leadership Alliance (SGLA) has expressed deep disappointment following New York Gov. Kathy Hochul signing of Senate Bill 5935 into law. The legislation bans dual currency sweepstakes casinos from operating in the Empire State.
Research from leading consulting firm Eilers & Krejcik shows that Social Plus games contributed over $230 million to New York’s economy in 2024 alone.
The SGLA responded to news about the ban by issuing a press release condemning New York ban on Social Plus games.
Under a modern regulatory framework, the SGLA has stated that New York could generate upwards of $80 million in new annual state revenue. The organization also highlighted the fact that the new law removes popular promotional features without offering meaningful alternatives.
“Players, operators, and voters all made their position clear: they didn’t want a ban on this popular, safe form of entertainment,” said Jeff Duncan, Executive Director of SGLA. “Governor Hochul had the opportunity to protect consumer choice and New York’s economic interests. Instead, she chose a short-sighted path, closing the door on choice, innovation, and hundreds of millions in economic activity.”
The SGLA advocates for modern, balanced regulation that reflects voter preferences, protects consumers, supports local economies, and preserves access to safe Social Plus games.
The SGLA reported that nationwide polling shows that 84% of Americans support updating laws to regulate and tax Social Plus games. The organization noted voters overwhelmingly want lawmakers to focus on urgent issues such as inflation and the high cost of living, and not banning free-to-play entertainment.
Sweepstakes casinos, or what the SGLA now refers to as Social Plus games, use a dual currency model that includes gold coins, which have no real money value, and sweeps coins that are redeemable for gift cards and cash prizes.
However, New York is just the latest US jurisdiction that has passed legislation to outlaw sweepstakes products. In New Jersey, one of seven U.S. states where real-money online casinos are legal, sweepstakes casinos have been banned since the summer.
Then there’s California. Governor Gavin Newsom signed AB831 into law in October, and the ban will be effective as of January 1, 2026. Brands like High 5 Casino, Ruby Sweeps, and Pulsz will all be gone from the Golden State by next week. Others like Vegas Coins and Vivaro.us have shut down operations completely as a result of the regulatory uncertainty.
Indiana is the latest state to join the sweepstakes casino ban conversation. Earlier this week, Indiana state representative Ethan Manning introduced legislation that would prohibit the operation of sweepstakes casinos in the Hoosier State. If it becomes law, violations could carry a $100,000 fine per offense.