Gamers are signing up to sweepstakes casinos in huge numbers.
A few years ago, a new type of casino — the “sweepstakes casino” — exploded on the internet. During the global COVID-19 pandemic, billions of people were stuck at home and almost every casino you could imagine was indefinitely shut down, with Las Vegas losing a reported $6.2 billion. The solution? Hardcore gamblers and even casual gamers decided to start signing up with sweepstakes casinos — and the rest is history.
Flashforward to 2025 and sweepstakes casinos are still booming. The biggest sweepstakes casinos of them all — Stake — has over 6 million registered users. Chumba is another one, currently boasting 1 million monthly players. The list goes on and on. And even legendary rapper Drake has gotten involved, signing a $100 million-per-year deal with Stake to promote them.
It’s safe to say that the US has gone sweepstakes crazy, with the sweepstakes industry currently valued at $3.1 billion. Over the next few years, this figure is only going to keep getting bigger. None of it happened by fluke, either, as sweepstakes operators have taken all the right steps to land themselves at the top of today’s gaming chain.
How Do Sweepstakes Casinos Actually Work?
The expert site sweepstake-casinos.com discusses how sweepstakes casinos are just like regular online casinos but with one huge difference: you play with virtual coins (Gold Coins, Sweeps Coins) instead of real money. If you collect enough coins, it’s then possible to redeem them for prizes. These prizes typically include cash transfers, cryptocurrencies, and gift cards.
The games are the same. The rules are the same. And pretty much everything else is the same, too. For instance, if you want to play a Megaways slot game in a sweepstakes casino, you can. The only difference is that you’ll be placing bets using Gold Coins or Sweeps Coins.
Remember, no matter which sweepstakes casino you join, you’re never allowed to bet real money. This is intentional. By not allowing players to bet any type of real currency, sweeps operators can essentially use a legal loophole to operate in a lot more states than traditional online casinos. From a marketing and popularity standpoint, it’s genius.
The ‘Legal Loophole’ That Operators Follow
One of the main reasons why sweepstakes casinos have attracted millions of gamers to sign-up with them is because they’re legal in 48 out of 50 US states. In effect, this gives them a huge advantage over traditional online casinos, which are only legal in 7 US states. And it’s all because of a smart legal loophole.
As mentioned a little earlier, sweepstakes casinos require players to use virtual coins. These coins have zero value in the real world and therefore aren’t a legit gambling currency in the eyes of most state lawmakers. What this means is that the likes of Chumba, Stake, and WOW Vegas are allowed to sneak past traditional gambling laws and operate freely in almost every state.
Will this legal loophole ever be fixed? It’s possible, especially now that the AGA has called for sweepstakes casinos (and other similar gaming platforms) to be treated like regular gambling sites. For now, though, sweepstakes operators will have the freedom to operate freely over the internet, allowing players to easily access them over PC and mobile.
Why Sweepstakes Casinos Appeal to New Generation Players
Sweepstakes casinos are a mega-hit with new generation players, especially Gen Z and Millenials. The same is also true when it comes to old-school players, with many of them making the switch from classic casinos over the past few years. Here’s why:
1. No-Risk Play
Sweepstakes casinos are unique in the fact they offer 100% risk-free play. You can create an account, choose the games you like (e.g. slots), and play for free using Gold Coins. This way, the fun stays fun and there’s absolutely zero pressure to bet any money.
2. Huge Prizes
The majority of sweepstakes casinos have stacked their sites with a huge range of prizes. Whether you want to redeem your Sweeps Coins for gift cards, cryptocurrencies, or straight up cash transfers, the choice is yours. Naturally, this is something that appeals a lot to today’s modern players, as gaming with the opportunity to win prizes on top is an exciting combination.
3. New (and Classic) Games
Another great thing about sweepstakes casinos is that they offer a mix of new and classic games. For example, Stake’s slot library consists of brand-new slots like Sugar Rush (2022) and all-time classics like Book of Ra (2005). In a nutshell, players are spoiled when it comes to variety.
4. Daily Login Coins
Another major plus point of sweepstakes casinos is that some — but not all — of them offer daily login coins. This works exactly the way it sounds. Whenever you log in to your account, you’ll receive some free coins to play with in return. As a general example, Sweeptastic gifts players 1,000 Lucky Coins when they log in every 24 hours — you get the idea.
5. Exciting Bonuses and Promotions
Lastly, bonuses and promotions are a big part of the online sweepstakes experience. From huge welcome buses to special VIP member programs, the list is endless. What’s especially great about this is that new bonuses and promotions get released all the time, so make sure to keep your email notifications turned on so that you don’t miss out on them, as most promotions are time-limited in the world of sweepstakes casinos.
What the Future Holds for Sweepstakes Casinos
Right now, sweepstakes casinos are incredibly popular amongst casino fans, betting enthusiasts, and even casual gamers. They’re also a huge attraction on major streaming platforms like Kick and Twitch, where people will tune in specifically to watch other people play casino games on different sweepstakes sites. Ultimately, this is because they’re a new type of casino specifically built for modern gamers. Moving forward, playing inside casinos will no longer be about trying to win money and will instead be about having fun, climbing leaderboards, and winning fun prizes, making it one of the most positive gaming trends to appear for a while.