Sweepstakes casinos offering covered online prize games are prohibited in Tennessee under Public Chapter 1117, which became law on May 22, 2026. The statute addresses internet games that combine a virtual, dual or multiple currency system with prize exchange or the chance to win prizes and simulated gambling. Tennessee had already taken enforcement action against sweepstakes platforms in December 2025, so the later statute and the earlier market exits belong to different stages of the state's response.
Last checked: November 2, 2026. The enacted law, its effective date and official enforcement records provide the basis for this guide.
Yes. Public Chapter 1117 expressly prohibits operating, conducting or commercially promoting covered online sweepstakes games and connects violations to Tennessee consumer-protection remedies. It also addresses support or facilitation of the prohibited operations. The restriction is enacted law, rather than a proposal or an operator's voluntary excluded-state policy.
The act originated as SB 2136, substituted for companion HB 1885, and added Tennessee Code sections 47-18-5901 through 47-18-5904. Its prohibition reaches activity involving people located within Tennessee; locating a business elsewhere or keeping its website visible does not establish permission to serve those players.
The practical result is that a covered sweepstakes casino product should not be offered in the state. A registration form, functioning lobby or accepted login is evidence of technical access, not state authorization. The gHacks sweepstakes casino legal-states tracker separates enacted statutes from pending bills, regulator actions and operator policies.

Tennessee defines the covered game through its operation: internet access, a specified currency system, prize exchange or a chance to win a prize, and simulated gambling. Changing a currency's name, using a single virtual currency or adding cryptocurrency does not automatically remove a product from that definition.
Section 47-18-5901 of Public Chapter 1117 begins with gambling presented as a game, contest or promotion. It then connects the following features:
These elements explain why “free promotional coins” is not a complete legal answer. The law expressly addresses promotional allocations and currency bundled with another purchase. The product's functions matter more than a Gold Coin, Sweeps Coin or other marketing label.
Section 47-18-5902 addresses offering or accepting gambling wagers or entry fees involving a person located in Tennessee, operating or commercially promoting covered online games, and supporting or facilitating their operation. Its scope therefore extends beyond the company running a game's servers.
The chapter supplies additional consumer-protection consequences while preserving the possibility of other penalties imposed by law. It should not be summarized as a guarantee that everyone apart from an operator faces no legal risk. The act's specific conduct provisions and other applicable gambling laws require separate attention.
The prohibition preserves games lawfully permitted under the Tennessee Sports Gaming Act, Fantasy Sports Act, nonprofit gaming laws and the Tennessee Education Lottery framework. The qualification matters: using a familiar sports, fantasy or lottery label does not establish compliance with the law governing that activity.
An ordinary promotional giveaway also does not become a covered online sweepstakes game simply because it awards a prize. The statutory definition has several connected elements, including gambling simulation. Equally, “social casino” is not a universal exemption for an app that actually supplies a prize-redemption path.
The express statutory prohibition took effect on May 22, 2026, when the act became law. Its May 27 Public Chapter record is a later administrative entry, while the Attorney General's December 2025 announcement documents enforcement that preceded enactment.
| Date | Event | Why the date matters |
|---|---|---|
| December 29, 2025 | The Attorney General announced cease-and-desist action involving almost 40 platforms. | The office reported disabled disputed features or agreed wind-down dates under the existing legal framework. |
| April 23, 2026 | The legislature completed passage of SB 2136 following the conference process. | Legislative passage came before the governor's signature. |
| May 22, 2026 | Governor Bill Lee signed the act. | Section 11 made it effective upon becoming law. |
| May 27, 2026 | The Secretary of State recorded Public Chapter 1117. | The chapter-record date does not replace the May 22 commencement date. |
The official Tennessee General Assembly bill record supplies the legislative and signature history. Section 11 of the enacted chapter supplies the immediate-effect rule; it does not create a separate statutory transition period for sweepstakes casinos.
The Attorney General's official release states that every recipient had disabled the components the office considered unlawful or agreed on a wind-down date. That is not the same as saying every brand closed every feature on December 29, or that all affected accounts remained open until May 22.
For an old account, distinguish three dates: the state's enforcement announcement, the statute's effective date and the operator's own account or prize deadline. Only the relevant notice and account records can establish the last of those.

Covered prize-enabled play should not be offered to people located in Tennessee, even if an existing account, an entertainment lobby or a public website remains accessible. Registration, play and delivery of an earlier prize request are separate stages, so a restriction at one stage does not explain every account outcome.
The statute's location language concerns people within Tennessee. Operators can additionally impose residence conditions in their own eligibility rules. A saved account, an out-of-state address or meeting an 18+ or 21+ account rule does not create authorization for prohibited prize play while a person is in the state.
Check which product a restriction covers. A game with no redeemable-prize path differs from the sweepstakes mode described by the statute, but an operator can still exclude Tennessee from the entire service. Avoid treating an accepted download or a visible coin balance as evidence that every feature is available.
The gHacks sweepstakes casinos guide explains the underlying account and currency model. For a Tennessee account, the current rules and any state-exit notice are still needed to establish the operator's access conditions.
A displayed balance does not answer whether an old prize request was submitted, verified, approved or released. Keep those stages separate when asking support what remains pending. Entertainment credits, promotional allocations and winnings eligible under the operator's rules need not receive identical treatment.
Save the applicable exit notice, account history, purchase records, request reference and support messages. Ask whether a deadline applied to new requests, an existing pending request or access to the account itself. Do not adopt another platform's deadline or assume that the statute automatically converts virtual credits into a cash debt.
Public Chapter 1117 does not provide one universal player cash-out procedure. A specific account claim depends on its facts, terms and applicable law. Continuing to play, buying more credits or concealing location is not a reliable way to resolve an old request.
The Attorney General's consumer-protection role and the Sports Wagering Council's regulated sports and fantasy remit are distinct. Public Chapter 1117 strengthens enforcement tools; it does not establish a Tennessee sweepstakes-casino licensing category.
The Attorney General led the December 2025 sweepstakes enforcement and described the targeted promotional model as an illegal lottery under the existing constitutional, gambling and consumer-protection framework. The office's report of disabled features or agreed wind-downs records its enforcement outcome, rather than a final judicial finding about every product offered by every named company.
The 2026 chapter makes violations of its new part unfair or deceptive practices under the Tennessee Consumer Protection Act. That connects the prohibited conduct to the act's remedies. The chapter also adds investigative powers for requesting information and documents under the stated statutory conditions.
Those powers do not establish an automatic payment entitlement for an individual account. A warning letter, investigation, injunction and private claim have different functions, and a reported state action should not be presented as a completed refund program.
The Council's approved-licensee list is the primary check for regulated sports and fantasy operators. A sports wagering license applies to the authorized product; it does not authorize online slots, casino table games or a separate sweepstakes casino.
The Council's official FAQ also distinguishes licensed sportsbook disputes from unlicensed operations and warns about unlicensed betting. Its procedures should not be copied into a sweepstakes account guide as though the Council licensed that casino. The broader context is the state-by-state authorization of real-money online casinos.
Identify the product and the issue first, then use the appropriate official record or complaint route. A state report about an unlawful operation, an operator's prize review and a licensed sportsbook grievance are different processes.
The consumer-complaint service can forward a complaint and seek a mutually acceptable resolution, but the Attorney General does not represent the individual complainant. A complaint is not a guarantee of recovery. Obtain case-specific assistance when the dispute requires a legal assessment or action within a deadline.
The gHacks sweepstakes news archive follows enforcement and legislative developments. The responsible-play guide explains access restrictions and support options when controlling play is the immediate concern.
No. Its definition expressly includes virtual, dual and multiple currency systems. The other elements, including the prize connection and gambling simulation, also matter. Reducing the number of balances or renaming a coin does not, by itself, establish that a product falls outside the statute.
The payment route alone does not decide the issue. Tennessee's definition examines participation currency, prizes and the games being simulated, so accepting cryptocurrency is not an automatic exception. Assess the product under the law rather than treating its funding method as authorization.
No. An operator's age condition establishes one account requirement, not state permission for a prohibited product. Meeting it does not override the statutory restriction or an applicable residence or physical-location exclusion.
No common closure date is established by the statute. The Attorney General had already announced enforcement in December 2025, reporting disabled disputed features or agreed wind-down dates. May 22 is the law's effective date; the treatment of a particular platform or account requires its own records.
A prize giveaway is not automatically a covered online sweepstakes game merely because it uses that name. The statutory definition has additional connected elements, including a covered currency system and simulated gambling. Other promotion and consumer-protection requirements can still apply.
A license for a regulated sports wagering product does not authorize a separate casino or sweepstakes product. Match the activity and provider to the Council's approved information, rather than relying on a brand name that operates different services.
No. Tennessee's consumer-complaint process can seek a resolution, but it is not a guaranteed recovery service and the Attorney General does not represent the individual complainant. Keep the relevant records and obtain appropriate assistance when a particular claim requires legal action.