Sweeps operators pulling out of markets ahead of 2026

Legendz is making major changes heading into the end of the year, with sweepstakes coin play set to shut down in California on December 25. The move follows a similar shift already underway in Tennessee, where the operator has stepped back from sweepstakes play altogether. Both decisions come as legal pressure continues to mount around sweepstakes-style casino gaming in multiple states.

According to information shared by Sweepsy.com, Legendz will stop offering Sweeps Coin play in California on Christmas Day. Players will still be able to access Gold Coin games, keeping the platform active in a social-only format. This approach mirrors that of several other operators as California prepares to enforce new restrictions on sweepstakes casinos.

Legendz has already made a comparable move in Tennessee, where it no longer offers Sweeps Coin gaming and has transitioned fully to Gold Coin play. The online sweeps industry has come under increased scrutiny in the state, prompting many operators to pull back before formal action is taken.

Legendz Joins Growing List of California Exits

Legendz is far from alone in stepping away from Sweeps Coin play in California. With Assembly Bill 831 set to take effect on January 1, sweepstakes casinos will officially become illegal in the state. As a result, operators have been racing to restructure their platforms or exit the market entirely.

Some companies have chosen to act quickly. Pulsz Casino and Pulsz Bingo are scheduled to cease full operations in California on December 15, cutting off both Sweeps and Gold Coin play. Others are taking a slightly longer runway before making changes.

Stake.us plans to continue operating until December 30 before shutting down services in the state. The company is also facing legal challenges in California, which appear to have affected its timeline. Modo.us has indicated it will keep offering Sweeps Coin play through December 31, then switch to a Gold Coin-only model once the new year begins.

Meanwhile, VGW, the company behind Chumba Casino, Global Poker, and LuckyLand Slots, has not yet announced when it plans to stop offering Sweeps Coin play in California. The lack of clarity has left players watching closely, especially as January 1 approaches.

For Legendz players in California, the December 25 cutoff offers a brief window to make adjustments. While Gold Coin play will remain available, the removal of Sweeps Coins marks a significant change in how the platform can be used.

Tennessee Becomes the Next Pressure Point

While California has dominated headlines for months, Tennessee has quietly become another focal point for sweepstakes gaming enforcement. In late November, several operators began restricting or fully shutting down access to sweepstakes in the state.

A1 Development LLC was the first to act, pulling its entire portfolio from Tennessee. That included sites such as Storm Rush, FunzCity, NoLimitCoins, Fortune Wheelz, Funrize, and Tao Fortune. The move signaled that broader changes were likely coming.

VGW followed shortly after, beginning a phased exit from Tennessee in late November. The company is expected to fully remove Sweeps Coin play by December 23. Stake.us has also announced plans to leave the state, with a complete shutdown of both Sweeps and Gold Coin play scheduled for December 19.

Other operators moved even earlier. RealPrize, LoneStar, and High 5 Casino all exited Tennessee on November 24, effectively ending their sweepstakes offerings in the state.

Why Sweepstakes Casinos Are Pulling Back

The rapid pullback from Tennessee appears to be linked to increased enforcement activity targeting sweepstakes sportsbooks. In 2025, the Tennessee Sports Wagering Advisory Committee began targeting sweepstakes-based sports betting platforms, issuing cease-and-desist letters to several operators.

Legendz, Thrillzz, Kickr, and Sportzino were among the sportsbooks that shut down sweepstakes play after receiving regulatory notices. While the focus was initially on sports betting, the pressure now appears to be spilling over into sweepstakes casino gaming.

Many operators are choosing early exits rather than risking formal enforcement actions. While no official announcements have confirmed direct action against sweepstakes casinos in Tennessee, industry observers believe the scrutiny may be coming from the office of Attorney General Jonathan Skrmetti. That connection has not been publicly confirmed.

For now, Legendz’s moves in California and Tennessee reflect a broader trend across the sweepstakes industry. As legal landscapes continue to shift, operators are being forced to adapt quickly. This often leaves players with little notice. With more states examining the model, additional changes may be on the horizon in 2025.