How Sweepstakes Casinos Changed the iGaming Industry in the USA


The landscape of online gambling has changed massively in recent years. One of the reasons for this is that we are now living in an increasingly digital world, which has paved the way for casinos to find a lot of popularity online. These days, people all over the world can enjoy online casinos from the comfort of their homes, as well as on portable devices when they are on the move. 

However, lots of people in the United States have struggled to join in because traditional online casinos are prohibited in many states. The good news for many of those same people is that there is now an answer – sweepstakes casinos. These fantastic platforms have changed the iGaming industry because they are legal in many states – even if traditional casinos are banned – and they provide a lot of the same experiences.

This post outlines how sweepstakes casinos work, why they have become increasingly popular, and what the future might hold for them. 

How Are Sweepstakes Casinos the Same as Traditional Online Casinos?

The overall online casino world has grown in popularity in recent years with huge numbers of US residents trying them. 

It is fair to say that sweepstakes casinos are significantly different to traditional online casinos in some ways, and we will certainly dive deeper into that later. However, we should highlight here that they are the same as traditional online casinos in many ways too.

So, what do we mean by this?

When you sign up for a traditional online casino, what do you expect to see? You’re likely looking for a modern platform that is filled with some of the most popular casino games in the world. 

Whether you enjoy playing blackjack, roulette, poker, feature-packed slot machines, or want to interact with a live dealer and other players, there is something for everyone at traditional online casinos.

Well, that’s exactly what you can expect to find at sweepstakes casinos too. 

How Are Sweepstakes Casinos Different to Traditional Online Casinos?

The next logical question, therefore, is – “If sweepstakes casinos are like traditional online casinos in many ways, what makes them different?”

In truth, the main difference between them is the models they use.

  • Traditional Online Casinos – Real money wagering model.
  • Sweepstakes Casinos – Sweepstakes model.

So, how does the sweepstakes model work? 

Sweepstakes casinos do not allow players to wager with real money. Instead, two alternative currencies are used.

Alternative Currency One

The first alternative currency is often called Gold Coins. These can be purchased from sweepstakes casinos and are then used to play casino games. However, they then aren’t worth any real money and can’t be exchanged or withdrawn.

Alternative Currency Two

The second alternative currency is often called Sweeps Coins. They can’t be bought. Instead, they are given out for free when users do certain things – registering, buying Gold Coins, logging in regularly, entering competitions, taking part in social media campaigns, and more. 

They also aren’t worth any real money. However, they can be exchanged for prizes, including withdrawable cash.

How Have Sweepstakes Casinos Become So Popular?

There are lots of reasons why sweepstakes casinos have become so popular, including the following:

Free-to-Play Model

Because users are given free Sweeps Coins to play games with for actions that don’t require a deposit, it means that casino games can regularly be played for free. Therefore, there is no financial risk involved when playing at sweepstakes casinos. This is great news for everyone, but especially newer players, as it allows them to learn how to play without the added pressure of possibly losing money.

Legal in Many US States

One of the best things about sweepstakes casinos is that they are legal in many states where traditional online casinos are prohibited. This is due to the sweepstakes model, which means that many states don’t classify them as breaking online gambling laws. Currently, sweepstakes casinos are legal in 49 states (not Washington), but it is always worth checking before you register with one.


The sweepstakes model adopted by these online casinos provides a huge level of excitement for players. Just think about it – players can sign up and regularly play for free, and they can then potentially win more Sweeps Coins by playing games, which can then be exchanged for prizes, which often include real cash or vouchers. 


Similarly, the free-to-play model means that users are provided with lots of bonuses, which means that many people are excited to come back again and again to play, even if they don’t want to buy Gold Coins. It’s no secret that regular and worthwhile giveaways can help all types of businesses to increase in popularity, and this is exactly what has happened with the likes of Websweeps Casino.

Will Sweepstakes Casinos Continue to Grow?

This is a great question and is difficult to answer. However, it does look like the future is bright for sweepstakes casinos if they continue to provide lots of chances for players to play for free. Of course, the caveat here is that desirable sweepstakes prizes need to remain on offer. For example, the chance to exchange Sweeps Coins for real cash will always make sweepstakes casinos attractive.

However, the question remains as to whether sweepstakes casinos will continue to grow even if traditional online casinos become legal in all states. This is a tricky one to predict because a large slice of the user base may choose to spend some of its time at traditional online casinos. Nevertheless, the free-to-play model will make sweepstakes casinos an exciting prospect either way. 

Perhaps the biggest obstacle for sweepstakes casinos in this regard is that they will need to maintain pace with traditional online casinos when it comes to the games they offer. For example, you can already see many sweepstakes casinos adding the likes of popular Megaways slot games, which shows that they are keen to do just that. However, if they don’t manage to keep up to date with new and exciting games, they could find their popularity dwindling over time. For now, traditional online casinos are prohibited in many US states, so sweepstakes casinos don’t have anything to worry about yet. 


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