Oklahoma lawmakers voted to override Gov. Kevin Stitt’s veto of Senate Bill 1589, clearing the best way for a statewide ban on sweepstakes-style on-line on line casino gaming and associated dual-currency platforms.
The override votes happened throughout the closing days of the 2026 legislative session. The Oklahoma Senate accredited the measure by a 34-10 margin, whereas the House handed the override 68-19, exceeding the two-thirds threshold required in each chambers, in accordance to SBC Americas.
The laws targets on-line casino-style video games that use dual-currency techniques involving free and purchasable tokens. Under the brand new regulation, operators, suppliers, associates, fee processors, geolocation suppliers, and promoters related to sweepstakes casinos may face felony penalties.
SB 1589 classifies violations as a felony offense carrying fines starting from $500 to $2,000 and doable jail time. One report recognized the offense as a Class C felony, whereas one other described it as a Class C2 felony with penalties together with up to 30 days in jail.
The regulation will take impact Nov. 1, giving sweepstakes operators a number of months to go away the Oklahoma market or alter their merchandise to adjust to the laws.
Legislature Rejects Stitt’s Objections
The invoice obtained robust bipartisan assist earlier within the 12 months. Sponsored by Sen. Todd Gollihare and House Speaker Kyle Hilbert, SB 1589 handed the Senate unanimously in March earlier than the House accredited it in early May.
“These illegal offshore entities and foreign operators cost the state of Oklahoma millions of dollars in lost revenue,” Gollihare mentioned throughout a Senate debate in March.
Gov. Stitt vetoed the proposal on May 7, arguing the laws was written too broadly and will create unintended penalties for companies working legally.
“Oklahoma’s gaming laws must be clear, targeted, and fair. Senate Bill 1589 does not accomplish that end. This bill is so broad that it criminalizes everyday apps people use for fun. It also unnecessarily creates a new felony and extends criminal liability to businesses and service providers,” Stitt wrote in his veto letter.
“That kind of vague and overbroad approach creates uncertainty for businesses operating in good faith and discourages innovation and investment in our state. Oklahoma can protect consumers without adopting criminal penalties that reach beyond the problem they are intended to solve.”
Some protection of the laws questioned whether or not the governor misunderstood the scope of the invoice, noting that SB 1589 particularly addresses video games utilizing dual-currency techniques tied to “representatives of value” slightly than conventional free-to-play cellular video games.
The laws contains an exemption for tribal gaming performed beneath the Indian Gaming Regulatory Act, preserving gaming rights already granted to Oklahoma’s tribal nations.
Sweepstakes Restrictions Expand Across States
Oklahoma turned one in every of a number of states taking motion in opposition to sweepstakes-style gaming platforms, which critics argue imitate on-line casinos whereas avoiding licensing and regulatory buildings required for conventional playing operations.
Indiana and Maine additionally handed sweepstakes bans in 2026. Other states with restrictions on dual-currency gaming embody California, Connecticut, Montana, New Jersey, Nevada, New York, and others listed in legislative stories.
Tennessee lawmakers accredited related laws that awaits motion from Gov. Bill Lee. Louisiana legislators additionally handed a measure concentrating on sweepstakes operators and growing penalties related to unlawful gaming exercise.
The Oklahoma regulation focuses particularly on sweepstakes coin techniques typically utilized by social casinos and sportsbooks. According to one report, operators should still legally supply play utilizing Gold Coins that carry no redeemable worth, although many corporations are anticipated to go away the state fully.
The laws additionally closes the door on social sportsbooks working beneath sweepstakes fashions. Oklahoma at present doesn’t allow authorized on-line or retail sports activities betting, although the state has greater than 100 tribal casinos working land-based gaming amenities.
Some sweepstakes operators had beforehand provided sports activities wagering merchandise designed to resemble licensed sportsbook platforms obtainable in different states.
Gaming Disputes Continue Between Stitt and Legislature
The veto override marks one other chapter in Oklahoma’s ongoing disputes over playing coverage involving Gov. Stitt, lawmakers, and tribal gaming pursuits.
The governor beforehand clashed with each legislators and tribes over sports activities betting compacts negotiated with the Comanche Nation and Otoe-Missouria Tribe. Those agreements tried to authorize sports activities wagering with out legislative approval earlier than the Oklahoma Supreme Court dominated Stitt exceeded his authority.
“From the start, this was about separation of powers, and the Supreme Court affirmed as much with a decisive ruling,” former House Speaker Charles McCall mentioned following the courtroom determination. “Oklahoma and its tribal nations can move forward from this together as partners, as we have done for decades with great success.”
Efforts to legalize sports activities betting in Oklahoma once more failed throughout the 2026 session after Senate lawmakers rejected proposed laws in April. A House measure additionally stalled, leaving Oklahoma amongst a small group of states with out legalized sports activities wagering.
Several stories related the sweepstakes debate to the state’s broader relationship with tribal gaming operators, who argued that unregulated sweepstakes casinos compete with tribal gaming income whereas contributing no tax income to Oklahoma.
The legislature’s willingness to override Stitt’s veto was per latest periods. Lawmakers overturned dozens of gubernatorial vetoes in 2025, reflecting continued friction between the chief department and the legislature on a number of coverage points, together with playing regulation.
