Baltimore, February 9, 2026
Maryland legislators have proposed a ban on online sweepstakes games, but the Social Gaming Legal Association is advocating for a regulatory framework instead. This legislation could lead to serious penalties for violations and may push law-abiding operators out of the state while failing to address illegal activities. The SGLA argues for structured regulation to protect consumers and ensure fair play. The outcome of this legislative action will significantly influence the future of social gaming in Maryland.
Maryland Moves to Ban Online Sweepstakes Games
A local association urges for a regulatory framework instead of an outright ban.
Baltimore, Maryland – The Social Gaming Legal Association (SGLA) has called on Maryland lawmakers to halt the proposed ban on online sweepstakes games, urging instead for a regulatory framework to govern the industry.
Maryland’s Legislative Action
In January 2026, Maryland legislators introduced Senate Bill 112 (SB 112) and its House counterpart, House Bill 295 (HB 295), aiming to prohibit online sweepstakes games and related activities. These bills seek to close perceived loopholes in existing statutes by explicitly banning such games, which often use a dual-currency system allowing players to exchange virtual credits for cash or prizes. Violations could result in misdemeanor charges, with penalties including imprisonment for up to three years and fines ranging from $10,000 to $100,000. The Maryland Lottery and Gaming Control Agency (MLGCA) would also have the authority to deny or revoke licenses for operators found in violation.
SGLA’s Position
The SGLA, representing stakeholders in the social gaming industry, has expressed concern over the proposed ban. They argue that such a prohibition could drive law-abiding operators out of the state while leaving illegal operators unaffected. Instead, the SGLA advocates for a regulatory approach that would bring industry-wide regulation to social gaming platforms, ensuring consumer protection and fair play.
Background on Sweepstakes Gaming
Sweepstakes gaming involves online platforms where players can use virtual currencies to participate in casino-style games, with the opportunity to win cash or prizes. These platforms often operate in a legal gray area, leading to debates over their regulation. In Maryland, the MLGCA has previously issued cease-and-desist letters to several such operators, including Chumba Casino and LuckyLand Slots, instructing them to cease unauthorized online gaming activities within the state.
Next Steps
The Maryland Senate Budget and Taxation Committee has scheduled a hearing for SB 112, with no vote taken as of yet. The House version, HB 295, is set for a hearing in the coming weeks. Stakeholders, including the SGLA, are expected to participate in these hearings to present their perspectives on the proposed legislation.
Conclusion
The debate over the regulation of online sweepstakes games in Maryland continues, with the SGLA advocating for a structured regulatory framework rather than an outright ban. The outcome of the legislative process will significantly impact the future of social gaming in the state.
Frequently Asked Questions (FAQ)
What is Senate Bill 112 (SB 112)?
Senate Bill 112 is a proposed piece of legislation in Maryland that aims to prohibit online sweepstakes games and related activities, including the operation, conducting, or promotion of such games. Violations could result in misdemeanor charges, with penalties including imprisonment for up to three years and fines ranging from $10,000 to $100,000. The Maryland Lottery and Gaming Control Agency (MLGCA) would also have the authority to deny or revoke licenses for operators found in violation.
What is the Social Gaming Legal Association’s (SGLA) stance on the proposed ban?
The SGLA has called on Maryland lawmakers to halt the proposed ban on online sweepstakes games. They argue that such a prohibition could drive law-abiding operators out of the state while leaving illegal operators unaffected. Instead, the SGLA advocates for a regulatory approach that would bring industry-wide regulation to social gaming platforms, ensuring consumer protection and fair play.
What is sweepstakes gaming?
Sweepstakes gaming involves online platforms where players can use virtual currencies to participate in casino-style games, with the opportunity to win cash or prizes. These platforms often operate in a legal gray area, leading to debates over their regulation. In Maryland, the MLGCA has previously issued cease-and-desist letters to several such operators, including Chumba Casino and LuckyLand Slots, instructing them to cease unauthorized online gaming activities within the state.
What are the next steps in the legislative process for SB 112?
The Maryland Senate Budget and Taxation Committee has scheduled a hearing for SB 112, with no vote taken as of yet. The House version, HB 295, is set for a hearing in the coming weeks. Stakeholders, including the SGLA, are expected to participate in these hearings to present their perspectives on the proposed legislation.
What is the current status of the proposed ban on sweepstakes gaming in Maryland?
The debate over the regulation of online sweepstakes games in Maryland continues, with the SGLA advocating for a structured regulatory framework rather than an outright ban. The outcome of the legislative process will significantly impact the future of social gaming in the state.
Key Features of the Proposed Legislation
| Feature | Description |
|---|---|
| Prohibited Activities | Operating, conducting, or promoting online sweepstakes games in Maryland. |
| Penalties | Misdemeanor charges with potential imprisonment up to three years and fines between $10,000 and $100,000. The MLGCA can also deny or revoke licenses for violators. |
| Regulatory Authority | The Maryland Lottery and Gaming Control Agency (MLGCA) would have the authority to enforce the ban and take action against violators. |
| Legislative Process | SB 112 has been introduced in the Maryland Senate and is scheduled for a hearing. The House version, HB 295, is also set for a hearing in the coming weeks. |
| SGLA’s Position | The Social Gaming Legal Association (SGLA) advocates for a regulatory framework for social gaming platforms rather than an outright ban, aiming to ensure consumer protection and fair play. |
Deeper Dive: News & Info About This Topic
HERE Resources
Author: STAFF HERE BALTIMORE WRITER
The BALTIMORE STAFF WRITER represents the experienced team at HEREBaltimore.com, your go-to source for actionable local news and information in Baltimore, Baltimore County, and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as the Baltimore Book Festival, Preakness Stakes, and Artscape. Our coverage extends to key organizations like the Baltimore Chamber of Commerce and Visit Baltimore, plus leading businesses in shipping and healthcare that power the local economy such as the Port of Baltimore and Johns Hopkins Medicine. As part of the broader HERE network, we provide comprehensive, credible insights into Maryland's dynamic landscape.
