Over in the Golden State, a new bill could mark the beginning of the end for sweepstakes casinos in California. Per a recent national gaming report, lawmakers have moved forward with Assembly Bill 831, which aims to ban these casinos throughout the state. The bill, already approved by the Senate Governmental Organization Committee, focuses on shutting down this popular digital entertainment. Supported by the Indian Gaming Association (IGA) and the California Nationals Indian Gaming Association (CNIGA), AB 831 targets every aspect of the sweepstakes casino industry. It affects operators, payment processors, platform providers, and even celebrity endorsers involved in the industry. This decision, however, has not gone without controversy.
In this article, SBS will be going over the latest gaming updates coming from California, along with some new and exciting information only available at SBS, and more.
Per the same reporter, the journey of AB 831 through California’s legislative process has raised eyebrows due to the tactics employed. Initially, the bill did not pertain to sweepstakes casinos. However, after the Assembly passed an unrelated piece of legislation in May, the Senate inserted restrictive language aimed at sweepstakes casinos in June. Critics argue that this rushed amendment process has left little room for stakeholder input or a thorough examination of potential impacts.
Moreover, the Social & Promotional Games Association (SPGA) has expressed firm opposition to AB 831, calling it “too vague, too rushed, and too risky.” The association argues that the bill seeks to outlaw an entire category of legal digital entertainment without clear definition of evidence of consumer harm. The SPGA has criticized the legislation for its lack of clarity, particularly regarding vital terms such as “dual currency system” and “cash equivalents,” which remain undefined in the bill. Additionally, the SPGA sent a letter to California Assembly member Avelino Valencia, who introduced the bill, outlining its opposition to AB 831.
Similarly, the Social Gaming Leadership Alliance (SGLA) has issued a statement urging lawmakers to reject AB 831. Jeff Duncan, Executive Director of SGLA, argued that the bill undermines established legal precedents that support legitimate sweepstakes promotional models in various industries, including food and retail.
Noted in the same article, proponents of AB 831 argue that it is necessary to curb a form of gaming that operates in a grey area of the law. However, opponents claim that the bill threatens to criminalize standard promotional tactics used by reputable brands like Starbucks, Microsoft, and Marriott. These companies often utilize sweepstakes as part of their customer loyalty programs, which could be classified as illegal under the new legislation due to its ambiguous definitions. This also includes a crackdown on celebrities who promote social and sweepstakes casino games. The bill’s wording indicates that California celebrities like Drake, Paris Hilton, and Ryan Seacrest could be held legally responsible for advertising and promoting illegal casinos.
Covered in the report, during hearings, lawmakers themselves have expressed the need for amendments and further clarification, highlighting the rushed nature of the bill’s advancement. Concerns have been raised regarding the definition and scope of what constitutes illegal activity, with some senators indicating they may change their votes based on future stakeholder input.
Other states are also pushing back. For instance, New Jersey is on the verge of joining five other states in banning sweepstakes operations. The list also includes: Arizona, where the Arizona Department of Gaming (ADG) issued cease-and-desist orders to unregulated operators. Adding another layer of complexity, California Attorney General Rob Bonta released a statement on July 3rd asserting that daily fantasy sports contests are illegal under the state’s current gaming laws. This aligns with AB 831’s intentions but underscores the broader uncertainties regarding gaming regulations in the state.
With a legislative session that extends until September 12, AB 831 could carry over into the 2026 session if necessary, leaving room for ongoing dialogue and adjustments. California’s tribes, which maintain exclusive rights over most forms of gambling in the state, have largely supported the bill, believing it reinforces their gaming exclusivity. Assembly Bill 831 represents a pivotal moment for digital gaming regulations in California. While it has made strides through the legislative process, the depth of opposition and need for further debate suggest that its path to becoming law will be anything but straightforward. Of course, with all of these moving parts, it still remains to be seen if there is an equitable path forward for this new bill and other ones up in the air.
Once you are all up to speed in relation to the latest updates coming from the Golden State, make sure to peruse all the awesome information available to you at SBS. Of course, for even more information on the location in this report, the California sports betting guide has your back with all of the most recent gaming news from the region. Additionally, for some additional wagering options, the BetOnline sportsbook review breakdown is a fantastic page for eligible customers to peruse. Moreover, for those on the go and who qualify, the best betting apps rundown is a fantastic resource. Here, eligible customers can check out the latest in mobile betting and see if it makes sense for them. Of course, regarding all of these resources, make sure to always check if you qualify for these different perks.
About the Author
Chris Boline is a Reno-based business development professional and freelance sports writer with over a decade of experience covering the NBA G League, Los Angeles Chargers, and national football and basketball. His expertise spans the NFL, NBA, UFC, boxing, golf, and motorsports, along with topical news, marketing, and promotional content. A proud University of Nevada graduate, Chris earned both his BS in Management & Economics (2015) and MBA (2023). He is active in the Reno community, serving on boards such as the Nevada Sagebrush Alumni Chapter, NCET, and the College of Business Alumni Association, where he was past president (2022–23). Notable honors include: - Two-time University of Nevada Alumni Chapter of the Year honoree (2017, 2021) - 2021 NCET Professional Services Organization of the Year (with TAC) - 2016–17 Reno Bighorns MVP, awarded by the Sacramento Kings - Nevada Press Association Award for Best Sports Column (2015) - Former Editor-in-Chief of The Nevada Sagebrush Chris blends his passion for sports with a strong background in sales, marketing, and community engagement.
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