Jonathan Skrmetti, the Tennessee Attorney General, issued cease-and-desist letters to 38 online sweepstakes casino sites in late December. He said the platforms use a dual-currency model that disguises real-money play and violates state gambling and consumer-protection laws. Numerous named sites include Chumba Casino, Fortune Coins, Global Poker, High 5 Casino, LuckyLand, Stake and others. A lot of operators had already pulled back or stopped sweepstakes gameplay in Tennessee before the announcement. With new prohibition bills, as well as regulatory actions expected to continue into 2026, the move is part of a wider, multi-state enforcement push in the past year against unregulated sweepstakes-style platforms.
Attorney General Jonathan Skrmetti sent cease-and-desist letters to 38 sweepstakes casino websites on December 29, 2025.
Named platforms affected include Chumba Casino, LuckyLand, Global Poker, High 5 Casino, Stake and others.
According to authorities, the dual-currency system is a façada letting real-money gambling and constitutes an illegal lottery under Tennessee law.
Numerous operators, including VGW brands, had already ended or scaled back sweeps play in Tennessee in late 2025.
Other states have acted too. New York and California passed bans. Connecticut, Montana, as well as New Jersey passed prohibitions. Louisiana issued enforcement in spite a gubernatorial veto.
Regulators issued hundreds of cease-and-desist letters nationwide over the past year and are preparing additional legislation this year. Example, Maine hearing on January 14.
The action builds on Tennessee’s earlier efforts to curb unlicensed sports betting platforms and convert unpaid fines into enforceable judgments.
This enforcement is a significant milestone in a year-long crackdown on sweepstakes casinos that operate in regulatory grey areas. Payment providers and affiliates, it signals growing legal risk and a tougher regulatory environment across numerous US jurisdictions for operators. It highlights growing cross-state momentum to close loopholes that allow unregulated gambling to capture revenue and evade consumer protections.
