Happy Trails, Montana Online Sweepstakes Gaming

By Robert Linnehan in Sports Betting News
Published:

- Montana became the first state to officially ban online sweepstakes games
- Gov. Greg Gianforte (R) signed SB 555 into law this week
- The legislation effectively bans online sweepstakes games without outright mentioning the games
Happy trails, Montana online sweepstakes gaming, until we meet again.
Big Sky Country became the first state in the country this week to approve and legalize a bill to effective ban online sweepstakes gaming. Several states have introduced sweepstakes ban bills, but none have reached the finish line until now.
Gov. Greg Gianforte (R) signed the enacting legislation, SB 555, into law this week to ban the games.
Bill Never Mentions Sweepstakes Games
The Montana Senate and House of Representatives approved SB 555 in April. Gov. Gianforte just recently signed the bill into law, which will go into effect on Oct. 1, 2025. Online sweepstakes operators will have to leave the state by the enacting date.
While the bill never outright names sweepstakes, it prohibits the following:
“The term (internet gambling) includes online casinos, by whatever name known, which constitute internet gambling and therefore are prohibited. This includes but is not limited to any platform, website, or application that knowingly transmits or receives gambling information, allows consumers to place a bet or wager using any form of currency, and makes payouts of any form of currency.”
The wording targets dual-currency sweepstakes gaming.
Online casinos or sweepstakes operators that offer purely social games, with no currency exchanged for the potential to win prizes, will be allowed under the legislation. However, a person who knowingly violates the new law will be subjected to a felony charge and may be fined up to $50,000 or imprisoned for not more than 10 years.
SPGA Condemns Sweepstakes Banning Bill
The Social and Promotional Games Association (SPGA) condemned the signing of SB 555, criticizing its vague wording and contents.
“Montana just criminalized everyday digital promotions with a law so broadly written it fails to name what it bans,” said a spokesperson for SPGA. “It’s a dangerous precedent that could undermine consumer trust, business innovation, and long-standing legal marketing practices.”
According to the SPGA, under the new bill a promotion such as “Microsoft Rewards,” where users can earn points for using Microsoft product and redeem them to enter sweepstakes prizes, can be construed as “gambling” and be banned.
The SPGA urged lawmakers to “reject vague prohibition and instead protect consumer choice through smart, modern frameworks, if action is even needed at all.”

Regulatory Writer and Editor
Rob covers all regulatory developments in online gambling. He specializes in US sports betting news along with casino regulation news as one of the most trusted sources in the country.