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Author Topic: Confusion about sweepstakes and gambling  (Read 256 times)
Outhue (OP)
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May 17, 2023, 10:29:55 AM
 #1

What do you know about sweepstakes? I heard that some online casinos are using sweepstakes law to sidestep gambling regulations, they said users aren't really betting with their money but instead they are betting seepstakes ticket, this person also said that someone need to buy social coin and get those sweepstake tickets for free.

He also said that sweepstakes is not gambling and I am confused, he made mention of Stake.US as one of those online casinos using sweepstakes, I did my own research and it's said that sweepstakes are illegal, this is why I am confused.

Maybe those in the US on this forum can answer this question diligently?

1. Is Sweepstakes illegal in the US?

2. Is Sweepstakes gambling or not?

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May 17, 2023, 10:43:59 AM
 #2

1. Is Sweepstakes illegal in the US?[

No gambling in general is not against the law as long as there's strict attention to the guiding rules that supports each kind of sports gambling activities.

2. Is Sweepstakes gambling or not?

It's gambling, in most cases involves the use of horses yet some gamblers put in their money and gamble and the winner takes the stakes and go, it is commonly practiced in most developed countries, it's also another form of gambling which is different from the sport betting or casino gambling we are used to.

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aioc
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May 17, 2023, 10:44:06 AM
 #3



2. Is Sweepstakes gambling or not?

I thought that sweepstake is gambling because its a game of luck and you are hoping to win but by definition, it's not gambling, this is why some countries that restrict gambling allow companies to launch sweepstakes because it does not involve betting your own money.

Quote
Sweepstakes are technically not gambling, although they are still based on chance and have the fairly same premise where you will trade something in – be that your time, do something for free, or sign up somewhere, in order to win something.

Are Sweepstakes Considered Gambling?

Quote
What is a Sweepstakes?
By defnition, a sweepstakes is an advertising
or promotional device by which items of value
(prizes) are awarded to participating consumers
by chance, with no purchase or entry fee
required to win.

Consumer guide to swwepstakes

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May 17, 2023, 11:38:13 AM
 #4


2. Is Sweepstakes gambling or not?

Yeah it's another kind of gambling though not all regards it as gambling since they don't need to stake a penny to participate, cause stakesweepers gambling doesn't require the entrants to place a bet or money as a way of multiplying their chances of winning as that is described as illegal. https://www.google.com/url?sa=t&source=web&rct=j&url=https://www.viralsweep.com/advanced-sweepstakes

Note:
Often times scammers do send private messages unsuspecting persons congratulating them to have won in a stakesweepers contest, so people are usually advised to be careful not to be scammed.
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May 17, 2023, 12:03:09 PM
 #5

What do you know about sweepstakes? I heard that some online casinos are using sweepstakes law to sidestep gambling regulations, they said users aren't really betting with their money but instead they are betting seepstakes ticket, this person also said that someone need to buy social coin and get those sweepstake tickets for free.

He also said that sweepstakes is not gambling and I am confused, he made mention of Stake.US as one of those online casinos using sweepstakes, I did my own research and it's said that sweepstakes are illegal, this is why I am confused.

Maybe those in the US on this forum can answer this question diligently?

1. Is Sweepstakes illegal in the US?

2. Is Sweepstakes gambling or not?
Sweepstakes is basically gambling, but entry is free. The idea was enforced by the US afaik, and any sweepstakes claiming to be one that asks for an entry free would be illegal since it's at that point, called gambling.  I would differentiate between the two since sweepstakes involve (should involve anyway) no money, at all, in any form. You can compare it to a bonus so to speak in grocery stores or markets.

It isn't illegal in the US, in fact, afaik it started from the US, or at least, the idea that sweepstake was a form of having a chance of winning something without having the need to spend money.

R


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May 17, 2023, 12:19:07 PM
 #6

What do you know about sweepstakes? I heard that some online casinos are using sweepstakes law to sidestep gambling regulations, they said users aren't really betting with their money but instead they are betting seepstakes ticket, this person also said that someone need to buy social coin and get those sweepstake tickets for free.
Buying ticket and using it to bet has already confirmed that they use their money to bet. The same money which would used to bet directly has been used or converted to the ticket and still use it for the game. The ticket is not free, you must but the social coin to get the ticket so I don't see any free ticket and free betting there.

He also said that sweepstakes is not gambling and I am confused, he made mention of Stake.US as one of those online casinos using sweepstakes, I did my own research and it's said that sweepstakes are illegal, this is why I am confused.
What make it illegal if not gambling, if ticket is used to bet on the site then it automatically a gambling site. In your own research what did you see. Is it a gambling site or not?

Maybe those in the US on this forum can answer this question diligently?

1. Is Sweepstakes illegal in the US?

2. Is Sweepstakes gambling or not?
I am not from US but just like to make some input and to know some questions you raise.

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May 17, 2023, 12:22:55 PM
 #7

Honestly, if you're required to put your money or valuable items at stake and the winner is determined randomly, it does feel like gambling to me too, regardless of how it's presented or labeled. It's like trying to put lipstick on a pig - it's still a pig, right? The core concept of risking something valuable and relying on chance doesn't change just because it's called a sweepstakes or has different terms.

However, you've got it right! It can be quite confusing because sweepstakes and gambling regulations can vary from state to state in the US. In some places, sweepstakes are permitted under strict regulations, while gambling in general might be prohibited. So, it really depends on the specific laws of the state you're in, and it's probably best to check the local regulations or consult with legal experts who are familiar with that area.

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May 17, 2023, 12:42:12 PM
 #8

I'm not from the US so I'm not going to talk much about the rules there or legal issues whether it's illegal or not, but to answer sweepstakes is gambling or not I consider it to be gambling just like lottery tickets, if we buy something to get a raffle ticket for example and then getting a big prize , I think it is included in the list of gambling.

Sweepstakes may be almost the same as lottery tickets even though the way it works is a little different to get certain prizes then tickets and sweepstakes will make money or big prizes in that lottery, but I say again it's still a gamble from my personal opinion.

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May 17, 2023, 12:51:00 PM
 #9

1. Is Sweepstakes illegal in the US?


Sweepstakes is legal in US as long as it follows the guidelines on conducting it. It’s still often use by company if they want to advertise certain product to the public. Sweepstakes is just a raffle which participants is voluntary participating without fiat involved. They often using coins which you can use to exchange on certain reward. But there’s some organizer of sweepstakes that offers coins that can be exchange via fiat fiat to dodge the gambling tax.

2. Is Sweepstakes gambling or not?

The original sweepstakes is not a gambling because it shouldn’t be involved real money. But on the current state which using loopholes on the law. Sweepstakes is sometimes gambling. But in reality, it should be just a free raffle while the prize is sponsored.

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May 17, 2023, 04:36:02 PM
 #10

1. Is Sweepstakes illegal in the US?


Sweepstakes is legal in US as long as it follows the guidelines on conducting it. It’s still often use by company if they want to advertise certain product to the public. Sweepstakes is just a raffle which participants is voluntary participating without fiat involved. They often using coins which you can use to exchange on certain reward. But there’s some organizer of sweepstakes that offers coins that can be exchange via fiat fiat to dodge the gambling tax.

2. Is Sweepstakes gambling or not?

The original sweepstakes is not a gambling because it shouldn’t be involved real money. But on the current state which using loopholes on the law. Sweepstakes is sometimes gambling. But in reality, it should be just a free raffle while the prize is sponsored.
Sweepstakes jive with the idea of gambling because tickets are being sold to people u like before wherein it is in form of lottery by means of some requirements to be eligible of a ticket. What makes these two confusing is simply the involvement of money. Once an individual will be required to use an amount in order to avail the tendency of winning a bigger amount, without assurance, that is already gambling. Sweepstakes in general is allowed to many countries because of its lack of money involvement in order for people to be able to join. But things would be different in terms of the procedures or the process of how will it be executed.

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May 17, 2023, 05:58:39 PM
 #11

Well by definition, anything that involves the use or the purchase of something in exchange for profit is gambling, but at the same time, these people from sweepstakes are getting around this by using technical loopholes, since when you play sweepstakes you don't necessarily put in money in order to join, sometimes you just need a ticket and to register and you're good to go. Which is why sweepstakes is not gambling. Now, I get why some of these bad actors are using this technical loophole to avoid the law but at the same time authorities are capable of conducting arrests if they think something awry is afoot. And since that has been the case since time immemorial, I think your country's issue with illegal gamblers getting away with their stuff by calling their business "sweepstakes" is not necessarily a problem with technicalities, but a problem with the police system not being vigilant enough to apprehended suspected perpetrators.

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May 17, 2023, 06:00:38 PM
 #12

1. Is Sweepstakes illegal in the US?
Sweepstakes are not illegal in the US but some rules and regulations guide their operation. One of them is that everyone that enters the game must have an equal chance of winning. This means you can not give some persons preferential treatment because they bought your product. Some are free but other sweepstakes also have some minimum requirements for entrants.

Quote
2. Is Sweepstakes gambling or not?
Sweepstakes are not originally designed as gambling but when someone is given tickets after purchasing a product it now has some gambling features. Since you need to pay money to get social coins, it is now gambling. This is because there is a possibility that the company will use part of the money from the sales to finance the prizes. The bottom line is that we bought a coin because we want to win a prize, that's gambling.

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May 17, 2023, 06:48:19 PM
 #13

1. Is Sweepstakes illegal in the US?


Sweepstakes is legal in US as long as it follows the guidelines on conducting it. It’s still often use by company if they want to advertise certain product to the public. Sweepstakes is just a raffle which participants is voluntary participating without fiat involved. They often using coins which you can use to exchange on certain reward. But there’s some organizer of sweepstakes that offers coins that can be exchange via fiat fiat to dodge the gambling tax.

2. Is Sweepstakes gambling or not?

The original sweepstakes is not a gambling because it shouldn’t be involved real money. But on the current state which using loopholes on the law. Sweepstakes is sometimes gambling. But in reality, it should be just a free raffle while the prize is sponsored.
Sweepstakes jive with the idea of gambling because tickets are being sold to people u like before wherein it is in form of lottery by means of some requirements to be eligible of a ticket. What makes these two confusing is simply the involvement of money. Once an individual will be required to use an amount in order to avail the tendency of winning a bigger amount, without assurance, that is already gambling. Sweepstakes in general is allowed to many countries because of its lack of money involvement in order for people to be able to join. But things would be different in terms of the procedures or the process of how will it be executed.
It jives but it doesn't necessarily equate to gambling. Raffles aren't a form of gambling mind you, and sweepstakes are a form of raffle, actually it is the main form of raffle, so I agree with you when it comes to where the confusion is coming from. But then again, authorities are there to set a clear distinction, and I don't think they'll allow the public confuse it for the other, or use said confusion as an alibi when caught red-handed if you know what I'm saying. So it still boils down to whether OP's government is vigilant enough to apprehend these suspected illegal gambling activities or are they just gonna let it slide all because "the public doesn't know sweepstakes is not gambling". That's just being complacent.

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May 17, 2023, 07:04:06 PM
 #14


It's just a way to get around the regulation but doesn't have must difference from the lottery where we obviously see it as gambling. The government tries to make Sweepstakes not gambling, they decide which is which but calling it a raffle sounds a bit not condemnable to the religious community.

This is like the government is finding a solution. Whether gambling or not, its already there you can play it.

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May 17, 2023, 07:30:56 PM
 #15

It definitely the first time am hearing of sweepstakes and I did some digging but, couldn't find anything illegal about it.
Sweepstakes are a form of customer reward promotion. Hence, its entirely free, you got that right. The illegality in the system creeps in with parties involved making the chances of winning a dependent factor on how frequent you buy a product.
This ought to be a completely randomised selection in determining the winners.

If it qualifies as gambling?
Of course it does. Let's view it like some bonus received in whatever on going promotion. Using that to place a bet is you using your staking power as well and you could either profit or lose. Same applies with sweepstake from my view point.
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May 17, 2023, 09:10:06 PM
 #16

I don’t believe that in the US, sweepstakes are considered gambling. This is because the accepted definition of sweepstakes includes that entries can be made without a purchase. If there is no purchase or nothing at stake, how can it be gambling? My understanding is that gambling requires a wager while sweepstakes does not.

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May 17, 2023, 09:31:30 PM
 #17

If you are wondering how the US player gambling especially on online.

You can take an example from Stake on the US version, they use a coin rather than money ($). They using "SweepStakes" as well on the system because
Quote
Gold Coins are a kind of virtual currency that you use at Stake.us to play the Standard games. These are those games that don’t give you any prizes for taking part, but instead, you’re just playing for fun.

While there is no Stake.us redeem Gold Coins procedure, you do have the option of purchasing the virtual currency. However, as we’ll see below, Stake.us gives you lots of options for getting Gold Coins for free.
--
Stake Cash can be used on the Promotional games at the social casino. These are those games where you can win prizes that have real-world value such as gift cards and merchandise. You will never be able to purchase Stake Cash, but the social casino gives you endless ways of picking up this virtual credit.

IMO, based of these. Even the activity not involving money, but the game are from "Gambling" game. So, I still take this as gambling and remember people (Gambling problem from a person sometime is always not from involving money).
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May 17, 2023, 09:34:47 PM
 #18

I don’t believe that in the US, sweepstakes are considered gambling. This is because the accepted definition of sweepstakes includes that entries can be made without a purchase. If there is no purchase or nothing at stake, how can it be gambling? My understanding is that gambling requires a wager while sweepstakes does not.
Well, I honestly do not know what to say, but from what I've read online on the topic of sweepstake, I've always considered it as gambling, since I think gambling does not necessarily mean that something have to be at stake..

I honestly do not live in the USA, and neither have I even been there, but what I do know is that, if they consider sweepstake to be gambling, it's probably because it actually is gambling.

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May 17, 2023, 09:35:34 PM
Merited by yahoo62278 (1)
 #19

We may look at sweepstakes as gambling but all the search results about sweepstakes consider it as not gambling because participation does not involve money it is very different from a lottery and from the contest on this screenshot we will see the difference so of there's n money involve we cannot consider it as gambling as there is no money is involved which is in the principle of gambling there should be money to participate.


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May 17, 2023, 09:38:06 PM
 #20

~snip~
Maybe those in the US on this forum can answer this question diligently?

1. Is Sweepstakes illegal in the US?

2. Is Sweepstakes gambling or not?
^ I am not from the US but based on my research, it is not legal as long as it is subject to specific regulations at both the federal and state levels.
So I think it is better if you will ask the name of that sweepstakes casino so that we can find out if they are truly under the regulation by the state. My answer to the second question is yes. Sweepstakes are generally considered a form of gambling, although they are distinguished from other types of gambling, such as lotteries or casinos, by certain criteria. Sweepstakes typically involve a prize or prizes being awarded to winners selected at random. To avoid being involved in illegal gambling like this, sweepstakes must meet specific legal requirements, such as providing a free method of entry and not requiring participants to make a purchase or provide consideration in exchange for a chance to win.
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