SGLA pushes for sweepstakes regulation over an outright ban in Indiana

The Social Gaming Leadership Alliance (SGLA) is urging Indiana lawmakers to rethink a sweepstakes ban, pushing instead for regulation.

Testimony on Indiana House Bill 1052 was heard on January 5, sparking a new push from the SGLA to encourage lawmakers to reconsider the outright ban on Social Plus games, or sweepstakes. The bill would ban online social games with sweepstakes promotions, currently restricted to those over 21 years of age.

Nine states, including Indiana, are working on legislation to ban sweepstakes games in 2026. That's according to testimony in the Indiana House Public Policy Committee hearing on HB 1052

Other states were not mentioned but proponents did note the states that currently ban them

— Steve Bittenbender (@BittGDCG) January 6, 2026

“Social Plus games are a safe, legal form of entertainment that has been operating responsibly in Indiana since 2012,” said Sean Ostrow, Managing Director of the SGLA in a press release. “HB 1052, as currently written, would criminalize law-abiding businesses while doing little to stop illegal operators who exploit consumers. The hundreds of thousands of Hoosiers who enjoy these games deserve a regulated environment that protects them and preserves choice.”

Instead of the ban, the SGLA has proposed a strengthened regulatory framework, estimating that it would generate over $20 million in annual revenue for the state of Indiana via player purchase taxes and operator registration fees. The suggested regulations would enforce strict age verification, data privacy, and responsible gameplay protections.

“Responsible regulation, rather than a ban, is the pragmatic pathway forward,” Ostrow explained. “We are ready to work with Indiana legislators to protect consumers, support local businesses, and provide meaningful tax revenue while keeping these popular games accessible to adults.”

The opposition to a sweepstakes ban in Indiana

The first hearing saw testimony from Dan Marks, Chief Financial Officer of ARB Interactive, and Lloyd Melnick, Chief Growth Officer at VGW, both of whom argued that regulation would not have the sought-after effect of protecting consumers in the state.

“HB 1052 is an overly broad attempt to protect consumers from bad actors that will continue to prey on consumers whether the bill is passed or not,” said Marks at the hearing. “If it does pass, consumers will be in more danger as legitimate companies like ARB cease operations and our players drift to offshore sites that operate illegally.”

Similarly, Melnick pushed for regulation that would safeguard consumers without punishing legal operators, arguing that “Social Plus games benefit players by giving them a broad range of fun, safe entertainment”.

Featured image: Canva

The post SGLA pushes for sweepstakes regulation over an outright ban in Indiana appeared first on ReadWrite.