SPGA questions Montana’s new law banning sweepstakes

Montana has officially become the first US state to outlaw online sweepstakes casinos, drawing criticism from the Social and Promotional Games Association (SPGA) over the broad and ambiguous language of Senate Bill 555.

Enacted this week, the new law has redefined sweepstakes and promotional games, often free-to-play and used by major brands for consumer engagement, as “internet gambling,” despite longstanding legal distinctions between these formats and real-money online casinos.

The SPGA warned that platforms with no purchase requirement, including loyalty programs and promotional games offering prizes, could now face criminal penalties in Montana. The organisation specifically referenced Microsoft Rewards, a widely-used platform allowing users to exchange points for sweepstakes entries, as an example of a program potentially impacted under the bill’s criteria.

A spokesperson for the SPGA stated this is a “dangerous precedent that could undermine consumer trust, business innovation and long-standing legal marketing practices.”

Good to know: Other states including Arkansas, Maryland, Mississippi and Florida have recently rejected similar bans

The SPGA argues that such sweeping restrictions are out of step with national trends. In 2025 alone, several states in the US have rejected comparable proposals, favoring more targeted and transparent regulatory approaches.

The group is calling on lawmakers across the country to pursue clear, modern legal frameworks, if any intervention is needed at all, in contrast of imprecise bans that could stifle innovation and harm consumers.

Carlos Mendez

Writer

Odds tell a story long before the result does. When bettors learn to read that story properly, betting becomes a matter of discipline and value rather than emotion or guesswork.

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