Tennessee sweepstakes casino ban signed into law by Gov. Lee
A ban on Tennessee sweepstakes casinos will become law after Gov. Bill Lee signed a bill into law Friday on the last possible day for action.
Tennessee state legislators beat the clock to approve HB 1885/SB 2136 on the final day of their legislative session April 23. They sent the bill to the governor May 11, triggering a 10-day clock (excluding Sunday) for the governor to make his decision.
The Tennessee state legislative website indicates Lee approved the bill, rather than either vetoing it or allowing the legislation to go into effect without his signature. Legislative staff previously assessed that the ban would present no negative fiscal impact to state revenue.
What does Tennessee sweepstakes ban do?
Tennessee’s ban on online sweepstakes games outlaws any virtual-currency, dual-currency or multi-currency games that replicate other forms of gambling, including:
- Bingo
- Lottery games
- Slot machines
- Table games
- Unlicensed sports wagering
- Video poker
The new law indicates that violations of the rules fall under the Tennessee Consumer Protection Act of 1977. Legislators also amended language within SB 2136 to give state regulators power to investigate and enforce the statute.
Along with Oklahoma this year, Tennessee joins these states that outlawed similar gaming in 2025:
- California
- Connecticut
- Louisiana
- Montana
- New Jersey
- New York
How TN sweeps ban progressed
After the state attorney general sent a swath of cease-and-desist letters to Tennessee sweepstakes operators in late 2025, legislators sought to codify a ban on the games early in the 2026 session even though many of the operators reportedly left the Volunteer State following the regulatory action, including:
- Chumba Casino
- Fortune Coins
- Global Poker
- Hello Millions
- High 5 Casino
- Legendz
- Luckyland
- McLuck
- Modo
- Sportzino
- Stake
- WOW Vegas
- Yay Casino
- Zula Casino
“The only thing you can be sure about with an online sweepstakes casino is that it’s going to take your money,” said Attorney General Jonathan Skrmetti said in a December news release. “They work hard to make these sweepstakes casinos look legitimate, but at the end of the day they are not. They avoid any oversight that could ensure honesty or fairness. Our Office was glad to chase these shady operations out of Tennessee and will keep working to protect Tennesseans from illegal gambling.”
The release later continued, “Our Office was glad to chase these shady operations out of Tennessee and will keep working to protect Tennesseans from illegal gambling. Other sweepstakes casinos currently operating in Tennessee or contemplating entering the Tennessee marketplace should consider themselves on notice that illegal gambling will not be tolerated,.”
Months of negotiations led to a conference committee where House and Senate legislators worked out a compromise that their respective chambers approved, with the House voting 69-17 to back it.
The conference committee report described sweepstakes games as “… online sweepstakes casinos generally utilize a system allowing players to play casino-style games with virtual currency and exchange the virtual currency for cash or other real-world prizes … in reality, such online sweepstakes casinos and other online-gambling platforms serve as a façade to hide the fact that players may engage in real-money gambling through the purchase and use of virtual currency.”
https://sbcamericas.com/2026/05/22/tennessee-sweepstakes-ban-signed-lee/