The Growing Popularity of Sweepstakes Casinos Over Traditional Online Casinos

The evolution of casinos around the world over the years has been staggering. From the grand, land-based establishments we often see in movies – filled with high-roller elites, strict dress codes, and fancy cocktails – to the wealth of entertainment provided by online alternatives, it feels like the digital world is slowly taking over. Much of this progression has been driven by technological advances, such as portable devices with internet access, but it now means that we can all enjoy the excitement of casino games wherever we are and whenever we feel like it.

However, even the online world of casinos has seen a significant shift in recent times, with the addition of sweepstakes casinos. These alternative digital casinos have rapidly grown in popularity, and some even believe they’ll eclipse regular online casinos in the future. In this post, we’ll look at what sweepstakes casinos are, how they work, how they differ from traditional online casinos, and whether they’ll make the impact many have suggested they’re destined to.

What Are Sweepstakes Casinos?

Sweepstakes casinos, which are also commonly known as sweeps casinos, will feel familiar to anyone who has played at a traditional online casino because they work similarly. What that means is that users sign up for an account and are then given access to lots of online games, such as blackjack, roulette, other table games, and immersive slots with exciting features. 

Another similarity between sweepstakes casinos and their traditional online casino counterparts is that they provide players with a range of bonuses. This can include things like sign-up bonuses, daily login balance boosts, giveaways, and competitions. 

How Do Sweepstakes Casinos Differ from Traditional Online Casinos?

So, we’ve spent the last couple of paragraphs explaining how sweepstakes are similar to traditional online casinos – notably, the games. However, there are some important differences you should understand too, and this mainly involves the currency systems.

Let’s start by explaining how a traditional online casino currency system will work. Players make cash deposits into their casino account through a variety of methods and can then use this balance to play games. If any money is won when playing, it can be withdrawn.

Although sweepstakes casinos have the look, feel, and game selection of a traditional online casino, the currency system is wildly different. Indeed, sweepstakes casinos use two types of currency:

Gold Coins

When a player signs up at a sweepstakes casino, they don’t make a cash deposit into their account balance. Instead, they can purchase gold coins (sometimes with a different name), which can then be used to play games. It should be noted that these gold coins don’t have any monetary value and cannot be withdrawn or exchanged for cash. Their only purpose is to be used to play games.

Sweeps Coins

The secondary coins found a sweepstakes casinos are sweeps coins (again, sometimes with a different name). These cannot be purchased but are instead handed out as bonuses when buying gold coins, signing up, logging in regularly, through giveaways, and so on. Again, sweeps coins can be used to play games and they hold no monetary value. However, they can be exchanged for prizes, including real cash, which can then be withdrawn.

How Does the Regulation of Traditional Casinos Impact the Popularity of Sweepstakes Casinos?

One of the main reasons why sweepstakes casinos have become so popular is that they provide a solution to an issue many Americans have – online gambling is heavily regulated and prohibited in lots of states. 

This means that sweepstakes casinos are legal in lots of places where traditional gaming is prohibited and, therefore, people who want to play casino games in those locations can often do so by joining sweepstakes casinos instead. 

If you’re wondering why this is the case, it comes down to the casino’s model. Unlike traditional online casinos where players need to deposit cash to gamble, sweepstakes casinos hand out sweeps coins, which make use of a free-to-play model and, therefore, the casinos don’t tend to count as traditional gambling outlets. As such, the mixed regulations surrounding online casinos in the US have led to an increase in casinos with sweepstakes offerings and this is likely to continue in the coming years.

Are Sweepstakes Casinos Legal in All States?

No, sweepstakes casinos are not legal in all states, and this is where things become a little tricky. It’s incredibly important that you check whether they are in your state before you sign up and start playing games. Furthermore, regulations can and do change regularly, so it’s worth staying up to date with your state’s dos and don’ts, to keep everything above board.

You might be wondering why sweepstakes casinos are still restricted within some states, and that’s understandable. For clarification, it tends to come down to how each state views the sweepstakes model. An example of this is Washington, where sweepstakes casinos are still restricted. This is because the Washington State Gambling Commission outlines that sweepstakes casinos combine raffles and promotional contests, which it deems to create a new type of contest that is still not allowed within the state’s regulations.

Can Sweepstakes Casinos Eclipse Regular Online Casinos?

Whether sweepstakes casinos can eclipse regular online casinos remains to be seen. Of course, traditional online casino offerings remain popular and are enjoyed by lots of people in states where they are allowed. Therefore, it is unlikely that sweepstakes casinos will take over in those locations unless regulations change to disallow regular online casinos. 

However, sweepstakes casinos will likely continue to rise in popularity throughout states within which regulations don’t allow for regular online casinos. It’s still early days for these outlets and, therefore, there will be a lot of potential players who haven’t even heard about them yet. To keep those who already play at sweepstakes casinos entertained and coming back for more, the providers must continue to add immersive and exciting games to their websites, as well as methods for people to earn sweeps coins. A lot of the latter is driven by the desire to attract customers, so that’s unlikely to change anyway.