The Mississippi Senate has taken a firm stance against online sweepstakes casinos, advancing legislation that would make such operations illegal statewide. Senate Bill 2510 (SB 2510), introduced by Senator Joey Fillingane, seeks to amend the Mississippi Code of 1972 to explicitly outlaw these online gambling platforms. The bill, which passed the Senate with overwhelming support in a 44-1 vote, now awaits consideration in the House of Representatives.

SB 2510 (pdf) is designed to close gaps in Mississippi’s gambling laws, which currently do not clearly define the legality of online sweepstakes casinos. These platforms have operated in a legal gray area, offering games that closely resemble traditional slots and table games without direct regulation. Senator Fillingane emphasized that the bill is aimed at eliminating any ambiguity and ensuring that such gaming activities are unequivocally prohibited.

By targeting online sweepstakes casinos, SB 2510 aligns with Mississippi’s regulatory stance on gambling, which has traditionally favored land-based operations such as riverboat casinos and regulated sportsbooks. The bill also extends to online sports pools and racebooks that are not licensed by the state, reinforcing a commitment to strict regulatory oversight.

Fillingane stressed that the intent behind the legislation is to protect consumers and safeguard the state’s existing gambling industry from unregulated competitors. “One of the major problems is that many Mississippians have no idea when they’re on their device that they’re even breaking the law because it looks completely legitimate,” he explained. The bill aims to ensure that only properly licensed operators can offer gambling services, thereby maintaining market integrity and preventing financial losses for players engaging with unregulated platforms.

Impact on Mississippi’s Gambling Industry

If enacted, SB 2510 would mark a significant shift in Mississippi’s gambling landscape, particularly for online operators. The bill’s supporters argue that unregulated online sweepstakes casinos pose a threat to the state’s legal gambling sector, which generates employment and tax revenue. By banning these platforms, legislators hope to prevent revenue diversion to illicit operators and maintain fair competition among licensed gambling entities.

Critics of the measure argue that an outright prohibition could mean lost economic opportunities. Some industry stakeholders suggest that a regulated framework for online casinos, rather than a blanket ban, could generate substantial tax revenue for the state. Nonetheless, Mississippi lawmakers appear to be prioritizing consumer protection and regulatory enforcement over potential financial gains from legalizing online sweepstakes gaming.

Harsh Penalties for Violations

The bill includes stringent penalties for those who operate or promote online sweepstakes casinos within Mississippi’s borders. Each violation of the law would be classified as a felony, carrying a fine of up to $100,000 and a potential prison sentence of up to ten years. Additionally, authorities would be granted the power to seize any electronic equipment, software, or other assets linked to illegal gambling operations. These provisions signal Mississippi’s intent to enforce the law rigorously and deter any attempts to circumvent state regulations.

Furthermore, the Mississippi Gaming Commission (MGC) has already taken steps to crack down on offshore gambling platforms, issuing cease-and-desist notices to operators such as Bovada, MyBookie, BetUS, BetOnline, and others. However, Fillingane noted that none of these platforms have complied with the state’s demands to cease operations. The bill reinforces the MGC’s enforcement efforts by explicitly banning these and similar sites from offering services to Mississippi residents.

Next Steps for SB 2510

While the Senate’s approval marks a significant step forward for SB 2510, the bill must still pass through the House of Representatives before it can become law. Lawmakers will further review its provisions, consider any proposed amendments, and hear input from industry representatives and consumer advocates.

The bill’s passage would make Mississippi the first state in the U.S. to impose a comprehensive ban on online sweepstakes casinos, setting a precedent for other states considering similar legislation. Connecticut and Maryland have also introduced bills aimed at prohibiting sweepstakes-style gambling, while New Jersey is exploring the possibility of formally regulating such platforms.