Oklahoma Gov. Surprisingly Vetoes Proposed Sweepstakes Casino Ban

Sweepstakes casino operators survived a recent attempt to kick them out of the Oklahoma market.

Oklahoma Gov. Ken Stitt (R) this week vetoed Senate Bill 1589, which would have expanded the state’s gaming framework to include dual-currency sweepstakes platforms. The bill was unanimously approved in the Senate in March and secured a 65-21 supporting vote in the House in May.

Stitt rationalized using his veto power by claiming that the bill threatened the online gaming industry and the developers behind the apps with harsh felony penalties.

Oklahoma sweepstakes companies win, for now

SB 1589 would have targeted online gaming platforms that allowed customers to play casino-style attractions, including slot machines. Anyone found guilty of conducting or facilitating operations would have been punishable with Class 2 felony offense charges.

Stitt is one of the most conservative Governors in America, making his veto surprising. The south is one of the only areas of the county that has largely withstood the national gambling boom, but according to Stitt, there are better ways to protect consumers from illegal operators.

The bill’s language described online casino games as “any gambling game… representative of value.” That included any and all currency used as part of a dual-currency system of payment that allows a person to exchange such currency for any prize, award, cash, or cash equivalent, or any chance to win any prize, award, cash, or cash equivalent.”

Stitt’s hesitance was tied to the term “representative of value,” which he felt was too vague. Under that definition, a legal online retailer could be punished for allowing a customer to spin a wheel to possibly win a discount on their purchase. 

State lawmakers may override Stitt’s veto if they produce a two-thirds majority vote in both chambers of the Oklahoma Congress. They have until May 29 to produce the necessary results.

The previous unanimous vote in the Senate suggests that SB 1589 will receive enough support there. The 65-21 vote equaled 75.6 percent support, which would also be enough to override the veto.

National anti-sweepstakes wave

Had Stitt signed the bill or allowed it to default into law, everyone associated with online sweepstakes games would’ve been punishable with fines of $500-2,000 and up to 30 days in jail. Liability would’ve been extended to geo-tracking companies, gaming developers and suppliers, affiliates, and the platform operators themselves.

The only exception would’ve been applied to gaming activity that was based on tribal lands that was compliant with the Indiana Gaming Regulatory Act and Oklahoma's Charity Games Act.

Sweepstakes casinos are online gaming platforms that utilize a dual-currency system. Customers can, but are not required to, purchase gold coins and sweep coins to play casino-style games, and they may win prizes that include coins, which may be exchanged for cash, gift cards, and other amenities.

Last year marked a strong national rebuke of sweepstakes casinos, which state gaming officials claimed needed to receive the proper licensing to conduct their operations. 

Six states — California, Connecticut, Montana, Nevada, New Jersey and New York — finalized sweepstakes casino bans in 2025. Indiana, Maine and Tennessee joined the movement this year, while numerous others have sent cease-and-desist orders to sweepstakes operators and affiliates.