Did the Maryland sweepstakes legislation fall short?

(AsiaGameHub) – The momentum behind the Maryland sweepstakes bill seems to have faded, as the state’s legislative sessions concluded without a formal decision on the bill’s passage.
Two key opportunities to ban dual-currency sweepstakes arose: the House of Delegates passed two separate bills in 2026 that would have prohibited such sweepstakes.
The Social Gaming Leadership Alliance (SGLA) celebrated the lack of progress on the bill, claiming there had been “false allegations” driven by casino interests.
SGLA Managing Director Sean Ostrow said: “We are pleased with this result in Maryland and want to thank the Maryland lawmakers who took the time to thoroughly consider this issue.”
“Over multiple hearings and dozens of meetings, SGLA addressed false allegations by casino interests by demonstrating that the Social Plus industry already offers strong consumer protections and contributes to Maryland’s economy, while pushing back against efforts to misrepresent long-standing lawful activity as gambling.
“We are eager to work with lawmakers and regulators in 2027 to codify SGLA’s best practices for the broader social games industry, which can generate significant tax revenue while keeping consumers safe online.”
Neither House Bill 295 nor House Bill 1226 advanced from the Senate Budget and Taxation Committee. HB 295 was sponsored by the House Ways and Means Committee at the request of the Maryland Lottery and Gaming Control Agency (MLGCA), and there were prior hints that Gov. Wes Moore would support the bill.
The bills were a response to cease-and-desist letters that had been sent out. However, the MLGCA warned that compliance with these letters had not been achieved.
Still, the District of Columbia has been identified as the next market to prohibit sweepstakes via the introduction of the Internet Gaming and Consumer Protection Act.
DC intends to take a tough stance against sweepstakes with heavy sanctions: each violation could result in a civil fine of up to $100,000, which may increase to $500,000 for repeated violations of the ban.
Councilmember Wendell Felder stated in a letter to the DC Council: “Inaction carries real consequences. Without a legal framework, revenue continues to flow to unregulated operators, consumers remain exposed to risk and the district falls behind neighbouring jurisdictions that are moving forward.” If the act passes, the district will join Indiana and Maine as U.S. jurisdictions that banned online sweepstakes casinos in 2026.
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