(AsiaGameHub) –   Iowa Governor Kim Reynolds has signed Senate File 2289 into law, giving the state’s Racing and Gaming Commission the power to crack down on unauthorized sweepstakes and other unlicensed betting operations.

US.- With the enactment of Senate File 2289, Iowa has expanded the regulatory reach of the Iowa Racing and Gaming Commission (IRGC) to target unauthorized betting platforms. Approved by Governor Kim Reynolds, this legislation empowers regulators to hand out cease-and-desist notices and pursue injunctions against any business providing “games of chance, gambling, sports wagering, or illegal sweepstakes” without the necessary licensing.

While states like Indiana, Maine, and Oklahoma chose to outlaw sweepstakes casinos directly through dual-currency definitions, Iowa has instead integrated the term “illegal sweepstakes” into its current gambling statutes.

Legislative journey and revisions

The legislation enjoyed strong bipartisan backing, clearing the Senate 44-0 and the House 93-0. Following an amendment that reduced the IRGC’s reimbursement fund from US$ 70,000 to US$ 45,000, the Senate gave its final approval with a 47-0 vote.

To finalize the bill, legislators pushed the session past its scheduled April 21 adjournment. IRGC Director Tina Eck had earlier pointed to sites like MyBookie and Bovada as typical examples of unauthorized operators that the commission could not prosecute under previous regulations.

Parallels with Nevada’s regulatory approach

Iowa’s new framework shares similarities with Nevada’s SB 256, passed in 2025, which increased punishments for unlawful gaming and allowed the seizure of revenue generated from illegal operations. Rather than implementing outright bans, both states have opted to classify sweepstakes casinos as unlicensed gambling.

Following the passage of SB 256 in Nevada, the majority of sweepstakes casinos reportedly withdrew from the state’s market.

Nationwide crackdown on sweepstakes

Iowa’s legislative action coincides with a growing nationwide push against sweepstakes gaming. While Indiana, Maine, and Oklahoma have enacted outright bans, similar bills in Tennessee and Louisiana are currently awaiting executive approval. Meanwhile, legislative efforts stalled this year in several other states, including Florida, Maryland, Minnesota, Mississippi, Massachusetts, and Virginia.

Prohibitions were also established last year in California, New York, and New Jersey.