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Google quietly updated its Gambling and Games Advertising Policy on October 28, adding a single line that carries significant implications for the sweepstakes casino industry: "Examples of games that are not social casino games: Sweepstake casinos."
The change removes a loophole that allowed sweepstakes casinos to advertise under the social casino certification, which permits ads for games that resemble casino play but do not involve monetary prizes. The reclassification places sweepstakes operators under the same advertising restrictions as licensed gambling companies.
Policy Details and Requirements
Google defines social casino games as "online simulated gambling games where there is no opportunity to win real money or prizes based on the outcome of the game." The company adds that it supports "responsible gambling advertising and require[s] that advertisers abide by local gambling laws and industry standards."
Under the updated policy, sweepstakes casinos now fall under Google’s online gambling category, which includes platforms offering games with virtual currencies or items that have real-world value. This classification requires operators to meet strict certification requirements, including holding appropriate licenses for each targeted jurisdiction.
Google’s social casino certification policy explicitly states that games must include disclaimers confirming they "are not providing prizes of real-world value" and cannot use logos or branding associated with real-money gambling. These requirements effectively disqualify sweepstakes casinos, which use dual-currency systems that allow players to redeem prizes for cash.
Impact on Operators and Suppliers
For operators, the implications are immediate and substantial. Sweepstakes casinos can no longer promote themselves through Google’s advertising network unless they obtain online gambling certification and comply with licensing requirements in each jurisdiction they target. For many sweepstakes operators—most of which lack gambling licenses—meeting these conditions is impossible.
The policy change could also affect content providers and developers. Suppliers offering software for regulated gambling platforms can no longer market themselves under the social casino umbrella without violating Google’s certification standards.
This pressure may accelerate the trend of major suppliers distancing themselves from the sector. Pragmatic Play recently withdrew its content from US sweepstakes casinos, and Evolution CEO Martin Carlesund stated during the company’s Q3 earnings call that Evolution will continue offering sweepstakes products only where there are "no regulatory problems or any legal problems."
How Sweepstakes Casinos Operate
Sweepstakes casinos operate under federal sweepstakes laws using a dual-currency model. Players receive one currency (typically "Gold Coins") for entertainment purposes with no intrinsic value, and a second currency (usually "Sweeps Coins") that can be redeemed for cash prizes but cannot be purchased directly.
Platforms typically offer small amounts of Sweeps Coins through promotions such as daily login bonuses. Users can purchase Gold Coin packages, with most purchases including Sweeps Coins as a "bonus."
The industry has maintained that these platforms do not constitute gambling because purchases are optional and no "bet" is technically placed. However, regulators and lawmakers increasingly view the format as equivalent to gambling, given that users can redeem prizes for real money. Google’s policy update reflects this perspective.
Broader Regulatory Context
The policy change arrives as sweepstakes casinos face mounting regulatory pressure and legal challenges across multiple states. California recently became the sixth state to ban dual-currency sweepstakes casinos in 2025, joining Connecticut, Montana, Nevada, New Jersey, and others. Delaware, Louisiana, and West Virginia have also driven dozens of operators from their markets through enforcement actions.
The industry currently faces over 80 class-action lawsuits nationwide, with recent cases also naming high-profile promoters of sweepstakes platforms. Private casino operators and tribal gaming groups have advocated for stricter oversight, arguing that sweepstakes casinos circumvent gambling laws and compete unfairly with licensed operators.
The Social and Promotional Games Association (SPGA), which represents sweepstakes casino operators, has contested these restrictions, emphasizing the legality and historical precedent of their operations. However, the organization faces growing opposition from lawmakers who argue that real-money prizes disqualify these platforms from classification as purely social entertainment.
User Experience and Market Implications
For users, the update will reduce the visibility of sweepstakes casino advertisements across Google’s networks, including Search and YouTube. Promotions previously framed as "free social games" will either disappear or require age restrictions and clear gambling disclosures.
The policy shift also reflects a change in how digital platforms view virtual currencies. Google now treats virtual currencies that can be converted to real-world value as equivalent to monetary stakes, rather than harmless game mechanics.
Beyond advertising restrictions, sweepstakes casinos face uncertainty with suppliers and business partners. Some providers may sever relationships to avoid regulatory risk or advertising complications.
Industry Response
As Google controls a dominant share of digital advertising, the policy change significantly limits how sweepstakes casinos can acquire customers and market their services. Operators may need to rebrand away from "social casino" terminology in favor of descriptions like "sweepstakes-based gaming" or "dual-currency platforms."
The update also sets a potential precedent for other major advertising platforms. Industry observers are watching whether Apple, Meta, and other digital ad providers will adopt similar classifications.
Google’s policy formally distinguishes entertainment-focused gaming from platforms offering real-world rewards. The change provides clearer guidelines for regulators and advertisers while eliminating ambiguity around sweepstakes casino classification.
The update represents an alignment between private-sector platforms and public policymakers, both of which are moving to categorize sweepstakes casinos not as free-play entertainment but as unlicensed gambling operations.
Source: Casino Beats
