Virginia’s 2027 legislative session has been updated to include Senate Bill 579, which would stop the operation and promotion of online sweepstakes casinos in the state.
Key Takeaways
- A Virginia bill that would ban sweepstakes casino gaming was carried into the 2027 legislative session.
- Senator Bryce E. Reeves introduced the bill earlier in 2026.
- A sweepstakes study group is set to present its findings Dec. 1 ahead of next year’s session.
The measure was initially introduced by Senator Bryce E. Reeves on Jan. 14. SB 579 would amend the Code of Virginia by adding a section addressing illegal gambling and online sweepstakes casinos, along with civil penalties for illegal operators.
The bill sets out a legal definition of sweepstakes gaming, describing it as any game, contest, or promotion that simulates casino-style gameplay, awards prizes based on chance, and uses a dual-currency system in which players can trade virtual coins for real-world prizes.
Operators found to be running sweepstakes casinos in the state would also face civil penalties ranging from $10,000 to $100,000.
During the 2026 legislative session, SB 579 was referred to the Senate Committee on Courts of Justice. In February, the Committee proposed a substitute to the bill that would allow the Virginia Lottery Board to create a group knowledgeable of the sweepstakes gaming industry to study the impact of online sweepstakes casinos.
The research is due by Dec. 1 and will then be presented to the Senate committees on General Laws and Technology and Courts of Justice, as well as to the House committees on General Laws and Courts of Justice.
The committee voted 14-1 to carry the bill over to the next legislative session, which begins Jan. 13, with its future dependent on the results of the sweepstakes gaming study.
Separate legislation to regulate online gaming in the state was also moved to the next session after both legislative chambers rejected each other's bills. That means Virginia lawmakers could consider both a sweepstakes casino ban and a potential regulatory structure for online gambling next year.
Enjoying Covers content? Add us as a preferred source on your Google account
More sweeps operators shutting down
As the crackdown on online sweepstakes casinos intensifies, several platforms have shut down in recent months.
In August, sweeps operators The Money Factory and CoinFrenzy announced plans to cease operations. The Money Factory closed its platform Aug. 9 after stopping new player registrations, purchases, and gameplay.
CoinFrenzy said it will shut down its platform Sept. 25. The operator has stopped accepting new purchases but added that players with existing balances can still use the site up until the deadline.
Social casino operator VGW announced last month that its North American-facing brand, LuckyLand Slots, will also cease operations, stopping coin purchases Aug. 3 with gameplay to follow Aug. 24.
The closures come amid a broader clampdown, with Tennessee, Oklahoma, and Louisiana among the states to approve restrictions on sweepstakes gaming this year.
