Ohio lawmakers are considering legislation that could significantly change the state’s online gaming landscape. House Bill 298 would establish a regulated online casino market while also prohibiting many sweepstakes-style gaming platforms that currently operate throughout the state.
The proposal reflects a growing trend seen in several states where lawmakers are weighing the expansion of regulated internet gambling against the continued operation of sweepstakes casinos. If approved, the measure could force major changes for operators that rely on dual-currency gaming models while opening the door for licensed online casino brands.
Introduced by Representatives Brian Stewart and Marilyn John, House Bill 298 aims to legalize and regulate internet gambling in Ohio. The legislation would create a framework for licensed online casino gaming, allowing approved operators to offer casino-style games under state oversight.
At the same time, the bill would prohibit online sweepstakes games that use dual-currency systems. These platforms typically offer one virtual currency used for entertainment and another that can be redeemed for prizes or cash equivalents. Lawmakers have increasingly focused on this model as states examine how sweepstakes casinos fit within existing gaming laws.
The bill’s language targets games that simulate traditional forms of gambling, including casino games, sports wagering, horse race betting, bingo, and other games of chance.
Sweepstakes casinos have grown in popularity across the United States, particularly in states where traditional online casino gambling remains unavailable. Instead of using direct cash wagers, these platforms generally operate with two forms of virtual currency.
One currency is used solely for gameplay and has no cash value. The second can be accumulated through promotions, bonuses, or other methods and may be eligible for redemption. Supporters of stricter regulations argue that this system closely resembles traditional gambling, while operators maintain that the model complies with sweepstakes laws.
HB 298 specifically addresses these dual-currency systems, making them a central focus of the proposal. If enacted, many of the most recognizable sweepstakes casino brands serving Ohio residents could be forced to leave the market.
Ohio is not the only state considering restrictions on sweepstakes gaming. Legislatures across the country have spent the past two years examining how these platforms should be regulated.
Several states have introduced legislation aimed at limiting or banning sweepstakes casinos, while others have explored broader online gaming legalization efforts. Some lawmakers view regulated iGaming as a way to generate tax revenue and provide stronger consumer protections, while critics question whether sweepstakes operators should continue operating outside traditional gaming structures.
The Ohio proposal combines both concepts by pairing online casino legalization with a prohibition on sweepstakes-style gaming.
House Bill 298 remains part of the legislative process, and its future will depend on committee reviews, hearings, and votes within the Ohio General Assembly. While the proposal has attracted attention from both the regulated gaming industry and sweepstakes operators, there is no guarantee it will become law.
For now, sweepstakes casinos continue to operate in Ohio. However, the introduction of HB 298 highlights the increasing scrutiny facing the industry and signals that lawmakers remain interested in redefining how online gaming is regulated in the state.
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