Tennessee Advances Bill to Ban Sweepstakes Casinos Closer to Final Approval

(AsiaGameHub) –   Legislators in Tennessee are rapidly progressing with a bill to formally outlaw sweepstakes casinos, intensifying the challenges for the dual-currency model, which has been facing setbacks in multiple states.

Good to Know

• The bill was advanced by a House committee in a 21-0 vote, with one member present who abstained from voting.
• A corresponding bill previously passed the Senate with a unanimous 32-0 vote in March.
• Once the law becomes effective in 2026, operators and their third-party vendors may be subject to both civil and criminal penalties.

Tennessee Keeps the Bill Moving Without Resistance

On Tuesday, the Tennessee House State and Local Government Committee passed the measure without any debate or apparent opposition. The legislation now proceeds to the Finance, Ways and Means Committee, with a subsequent vote by the full House expected.

This development brings Tennessee near to finalizing the ban, particularly following the Senate’s unanimous approval of a matching bill earlier this month. The proposed law has garnered extensive bipartisan backing and encountered minimal resistance throughout the legislative process.

The legislation aims to officially prohibit online sweepstakes casinos that operate on a dual-currency system. It would also provide state authorities with a more defined legal avenue to pursue enforcement against the operators and their associated vendors.

Tennessee is already among approximately a dozen states where many leading sweepstakes operators have ceased accepting customers. The current legislative effort seeks to codify this stance into law.

Tennessee Keeps Sports Betting but Not Online Casino Play

While Tennessee permits legal online sports betting, the state does not authorize physical casinos. It has also not made significant efforts to legalize real-money online slot machines or table games.

Consequently, legislators are adopting a stricter approach against sweepstakes casinos rather than establishing a regulated market for online casino gaming.