SPGA Opposes Arkansas Bills Threatening Social Sweepstakes, Innovation, and Investment

The Social and Promotional Games Association (SPGA) strongly opposes Arkansas bills HB1861 and SB524, which dangerously misclassify lawful social sweepstakes games as illegal gambling. These proposals echo anti-competitive efforts pushed by entrenched casino interests and represent a significant threat to businesses, innovation, and a consumer’s freedom to choose what games they can play on their phones.

By broadly redefining “dual-currency system” games and imposing felony penalties, these bills risk criminalizing not only social sweepstakes but also standard promotional tools used by countless U.S. companies, including McDonald’s, Coca-Cola, Pepsi, Burger King, Amazon, and American Airlines. Sweepstakes and draw-based promotions have been a staple marketing strategy for decades, driving engagement while fully complying with existing laws.

We acknowledge the state’s role in overseeing interactive gaming, but these bills go too far. Social sweepstakes are not casinos. They offer free-to-play entertainment to millions of adults, with most users never spending money. Treating them as a public harm is misguided and unsupported by data.

Independent research from Eilers & Krejcik Gaming confirms that social sweepstakes do not compete with regulated iGaming. In fact, when such games exited Michigan, iGaming growth slowed—clear evidence these are separate markets.

The SPGA urges Arkansas lawmakers to reject this broad, punitive legislation and instead engage with stakeholders to create a balanced, informed policy. Don’t destroy a legal, thriving industry—and consumer choice—based on misinformation.