Maryland Latest To Take Aim At ‘Sweepstakes’ Operators With Cease-And-Desist Letters

The Maryland Lottery and Gaming Control Agency is the latest state body to try and remove access to sweepstakes casinos and sportsbooks, sending cease-and-desist letters to 11 different entities.

In its 2025 overview released Wednesday, Maryland Lottery disclosed it sent the cease-and-desist letters to the operators, informing them their “websites were illegal” and demanded the “operators block individuals in their state from accessing those sites.”

The state agency did not disclose who the operators were that received the letters in its overview, but The Closing Line substack reported Stake.US and Rebet were among them. Of the 11 operators who received letters, the Maryland Lottery reported that six responded — including Stake.US and Rebet according to The Closing Line — but none have agreed to block access to Maryland residents.

Maryland is among a handful of states weighing whether to legalize real-money internet casino gaming in 2025. Del. Vanessa Atterbeary pre-filed a bill this month, marking the second straight year she will be leading that effort.

Operators not alone in agency’s crosshairs

The state agency will not stop at sending only operators cease-and-desist letters. The Maryland Lottery stated in its overview it is also in the process of sending “initial letters to payment processors with the same request they block access to Maryland residents.”

One operator who was not among the list of 11 receiving a cease-and-desist letter according to The Closing Line was Bovada, a favorite target of state regulatory agencies for such actions throughout 2024. That said, the massive offshore sportsbook and internet casino operator does list Maryland among states restricted for wagering.

New Jersey may try different tack

While Maryland has opted to send cease-and-desist letters to sweepstakes operators, one New Jersey lawmaker sees a gaming space where they can co-exist with internet casino operators.

Assemblyman Clinton Calabrese filed A5196 for the current legislative session, proposing to designate sweepstakes casinos as internet casino gaming and being part of that framework for licensure, oversight, and taxation. Calabrese, who is a deputy whip, also serves as a vice chair of the Tourism, Gaming, and the Arts Committee.

New Jersey currently taxes internet casino gaming revenue at 15%, which matches West Virginia for the lowest rate among the seven states currently offering iGaming. Last April, state Sen. John McKeon proposed doubling the rate for internet casino gaming to 30% and more than doubling the 13% sports betting to match, but it failed to gain traction in Trenton.