Minnesota Senate Passes Sweepstakes Casino Ban Bill

Minnesota Senate votes to ban dual-currency sweepstakes

The Minnesota Senate passed SF 4474 on May 5, 2026, with a 62-3 vote, targeting dual-currency sweepstakes casinos. The bill defines such platforms as those offering both free play currency and redeemable sweepstakes coins, a model used by most major U.S. sweepstakes casinos. Operators like Fortune Coins and LuckyLand Slots had already received cease-and-desist letters from Attorney General Keith Ellison's office in 2025.

Senator John Marty, a co-sponsor, said in the floor debate:

"Prediction markets are nothing more than gambling, but they have found loopholes to circumvent our laws."

SF 4474 explicitly includes payment processors, financial firms, geolocation service providers, and marketing affiliates as potentially liable parties. The bill also attaches criminal penalties for operators who continue to accept Minnesota players.

Prediction markets also in the crosshairs

The Senate also passed SF 4511 with a 56-10 vote, extending the ban to prediction markets covering sports, elections, and other event outcomes. Senator Matt Klein co-sponsored the bill after admitting he had placed a $50 bet on his own primary race through Kalshi, one of the platforms now targeted.

Tribal gaming groups, religious organizations, and civic coalitions all voiced support for both bills during hearings. Tribal representatives cited concerns about encroachment on their regulated gaming operations.

A potential loophole: single-currency sweepstakes

SF 4474 specifically targets "dual-currency" sweepstakes models that distinguish between play money and redeemable coins. Platforms using only a single currency for promotional play may fall outside the bill's definition of a banned sweepstakes casino. This nuance could create a gap that some sweepstakes-only operators may test if the bill becomes law.

Senate Minority Leader Johnson warned during debate:

"It's almost a guarantee that every state that's passed this so far has dealt with a lawsuit."

Corporate ownership angle: which platforms are affected

Major sweepstakes casino operators with Minnesota players could be impacted. Zula Casino, for instance, has a parent company gaming presence in multiple states. If the ban passes, these operators may need to geoblock Minnesota users or face legal consequences. The Fortune Wins platform and its sister brand, Clubs Casino, may also export millions of dollars in risk.

Attorney General Ellison already took action in 2025, sending cease-and-desist demands to 14 companies including Zula Casino, Fortune Coins, and LuckyLand Slots. The proposed ban would give that pursuit legislative teeth.

Timeline and next steps

Both bills move to the Minnesota House with a May 18, 2026 deadline for enactment. If passed in the House and signed by the governor, the bans would go into effect at dates specified in each measure. Operators should consult legal counsel and explore exclusion orders from Minnesota, equivalent to over 60% of legal restrictions placed throughout the country.

Other pending business includes potential lawsuits, as at least five states that enacted similar bans are currently litigating. A sweepstakes industry trade group may coordinate a legal response.

The outcome in Minnesota may influence similar bills in other Midwestern states. Connecticut, Nevada, Vermont, Pennsylvania, and nearly a dozen other jurisdictions in discussion stages could resolve with similar posturing once Minnesota's final results are known.

What this means for players

Minnesota players currently using sweepstakes casinos may need to withdraw stored sweeps coins promptly as passage lawsuits and eventual onset leaves secondary outcomes uncertain. Operator sweepstake rules typically allow 30 to 90 days after a market closure to offer user coin redemption. Vendors including Spinfinite, Stake.us and Legendz will closely monitor legislator posturing looking to develop reserve fund outcomes depending upon framework of state insurance testing data moving for alternate coverage builds after those deposits land prior code window market of opportunity reading off 25 recent polls counts.

Proprietary brands under single-currency only model may command market shares quickly among still clear directional players wishing alternate ability where their company cash flows from.