What Is the Difference Between Sweepstakes Casino and Social Casino? Compare, Decide, and Build Smart
Choosing between social and sweepstakes casinos? TRUEiGTECH breaks it down for you and offers expert solutions to help you launch, scale, and succeed in the iGaming industry.
In 2024 alone, the social casino market was valued at USD 8.51 billion. The industry is expected to grow to 9.31 billion in 2025 with a CAGR of 9.31% through 2030. In contrast, the sweepstakes casino industry is smaller but is rapidly expanding. The industry grew with a CAGR of 75% between 2019 and 2024, reaching a size of USD 4 billion.
Both social casino and sweepstake casinos offer free to play gaming experience. But they differ significantly in purpose, structure, and their reward mechanism. Social casinos are mainly for entertainment purposes. Whereas, sweepstakes casinos operate under a legal framework that allows users to win real cash money.
Understanding the difference between social and sweepstakes casino is really important because it changes the way each platform works. If you want to learn the main distinctions and find out which option suits your style? Read till the end. This blog will discuss the key differences between social casino and sweepstakes casino in detail.
Table of Contents
Hosted vs Self-Hosted Sweepstakes: Choosing the Right Software Model
What is a Social Casino?
A social casino is an imitation of online gambling casinos, but with entertainment purposes. Here, players do not need real money to play. Instead, they generate sales through virtual currency known as Gold Coins.
It has no value outside the platform. Usually, players can earn coins for free via daily logins, achievements, or friends ‘ invites, but they can also make in-app purchases. Buying these coins is optional but know that they can’t be cashed out for money or any real-world prizes.
The biggest attraction of social casinos is the social and interactive experience. A number of platforms can be linked with social media so that players can play against friends, add them to leaderboards, gift them, or play against them in multiplayer games or tournaments.
As there is no actual-money exchange, social casinos are legal in most countries. They are a fun and casual way for casino enthusiasts to play casino online without having to worry about banking or regulatory problems.
Features of a Social Casino
- Play-for-fun Virtual Economy:
Social casinos are powered by virtual money systems, allowing users to buy more Gold Coins if they run out. You can earn these coins for free by checking in daily, by playing through challenges, or by watching ads.
- In-App Leaderboards and Tournaments:
To keep players engaged, social casinos feature leaderboards and time-limited tournaments where users can compete for rankings, badges, or in-game perks.
- Free Daily Bonuses and Spins:
The majority of social casinos provide players with free daily bonuses like coins, spins, in-game rewards, etc., to promote frequent engagement.
Time-based bonuses, hourly spin wheel, and achievement-based rewards are also available on some platforms. These bonuses help keep people playing the game without having to spend any money, and mean the experience remains open to everyone.
- Gifting and Social Sharing Features:
These platforms are social interactions at their core. Players have the ability to send and receive gifts, as well as share achievements or wins with friends through referrals.
There are some that even let you play with a friend or compete as a team, which enhances the sense of community and fun in gameplay. - Avatar Customization and Game Rooms:
Users of social casinos can also personalize their social experience by choosing to play as an avatar, unlocking new outfits or animations, and taking part in themed games.
Players can play in a variety of visually themed rooms that have special settings like jungle, luxury, or gambling to get different experiences.
Other than this, players can also buy virtual money with real money, but the investment is never returned. The coins are for playing games, just as in a real-life casino, but there are no cashouts or prizes of value. This makes the gaming legal and makes the experience purely for fun.
They create an atmosphere of competition and achievement in the absence of actual-world prizes. The leaderboard can be used to progress, giving the player access to exclusive items, virtual trophies, or even specific high-tier rooms, enriching the gameplay approach.
What is a Sweepstakes Casino?
Sweepstakes casino lets you play casino-type games for free but also offers the possibility of winning real money as prizes, such as cash, gift cards, and cryptocurrency. Sweepstakes casinos operate using a dual-currency system:
Gold Coins for line bets and Sweeps Coins. Gold Coins are used for fun only and are not redeemable or transferable for anything of real-world value, while against Sweeps Coins, players can claim cash prizes after fulfilling eligibility and playthrough requirements.
You cannot buy Sweeps Coins directly; they can be gifted through promotions, playing games, or as part of a bonus offer when buying Gold Coins. Sweepstakes casinos are intended to never offer actual money gambling due to the legal constraints. So they are available for free, even though real-money casinos are prohibited in most states in the US.
They cover a lot of game variants, such as slots, blackjack, roulette, video poker, and sometimes even live dealers. If you hire Sweepstakes casino software developers from TRUEiGTECH, rest assured your players will have a combination of fun play and potential for a payout.
Features of a Sweepstakes casino
- Dual Currency System for Compliance:
The dual-currency system was one of the biggest features of a sweepstakes casino that keeps it legal under sweepstakes laws in the U.S. Gold Coins are nothing more than play money to use for fun with no cash value. Sweeps Coins, which can only be obtained through giveaways, are used in sweepstakes games.
You can’t actually purchase these, but you can earn them as bonuses, rewards for gameplay success, or they are a free add-on when you purchase Gold Coins. This division allows players to experience a genuine casino feel, all completely legal in the eyes of gambling laws.
- Redemption-Based Prize Structure:
Sweepstakes-style casinos are legalized, but are not technically gambling. Players who win in Sweeps Coins can be redeemed for real, tangible prizes, following particular playthrough thresholds and identity verification.
This architecture allows the players to win real prizes while effectively participating in a sweepstakes, and not gambling in a traditional gambling environment.
- Sweepstake Entries via Alternate Method:
To adhere to sweepstakes laws, these casinos are required to offer alternative ways of entry (AMOE) that do not involve a purchase.
This might consist of picking up free Sweeps Coins by logging into their account or completing various tasks like sharing on social media, referring, and requesting to be added to the mail-in offer list. These AMOE paths make sure everyone can play and possibly win without a purchase.
- RNG-Based Fair Gameplay:
Sweepstakes casino games are run by Random Number Generators (RNGs), so every turn of the reel or deal of the cards is random and fair. This transparent third-party-audited system makes for a foolproof, trusted casino game.
- Promotional Models Over Traditional Betting: Instead of traditional gambling law, sweepstakes casinos run under promotional contest laws. That means the emphasis is on marketing, user adoption, and prize pools, and not cash wagering.
To circumvent such legislations, sweepstakes casinos have promotional games other than classic casino games , such as slots, video poker, and table games.
Difference Between Social Casino and Sweepstakes Casino
Here’s a quick comparison table to outline the key differences between social casino and sweepstakes casino:| Parameter | Social Casino | Sweepstakes Casino |
| Currency System | Uses only Gold Coins | Uses Gold coins and Sweeps coins |
| Game library | Focuses on slots and some table games | Supports a wider range of services like slots, table games, bingo, etc |
| Real-Value Rewards | No real prizes | Allows prize redemptions with sweep coins |
| Purpose of Gaming | Entertainment and social engagement | Fun to play, but also provides opportunities to win real rewards |
| Legal Frameworks | Not regulated as gambling, legal everywhere | Follows sweepstakes law and is legal in most states. |
Sweepstakes Casino Aggregator: All-in-One Gaming Content Solution
1. Currency System
All social casinos are powered by a single virtual currency, the Gold Coin, used exclusively to play and carry no monetary value. You can earn some of these coins for free, or you can purchase the coins for longer play, but you are unable to redeem them.
Sweepstakes casinos operate like two separate entities: Gold Coins For Fun and Sweeps Coins for Value. Sweeps Coins are awarded as promotions, or as part of a bonus offer, and are not available for purchase like Gold Coins due to sweepstakes laws. Players are able to cash out any winnings applicable to their Sweeps Coins for money or other applicable goods.
2. Game Library
Social Casinos tend to have a lighter range of games, preferring to concentrate on slots with a smattering of table or bingo games. For casual players, these games usually have easy mechanics, bright visual styles, and fun themes.
Sweepstakes casinos have a wider variety, with live dealer games, instant wins, scratch cards, and more. The choice of games also reflects online casinos in terms of layout and design. This gives a more casino feel when you are playing and builds a more immersive casino experience.
3. Real-Value Rewards
In social casinos, there are no real-world rewards as all of the credits and rewards you win are part of the game and are not redeemable for cash. Players can unlock in-game perks or leaderboard spots, but there is no cash-out option.
Sweepstakes casinos let players redeem Sweeps Coin winnings for prizes. These rewards can be in the form of gift cards, products, digital currency, or even cash. It creates more investment from users rather than entertainment.
4. Purpose of Gaming
Social casino games are for entertainment and playing with friends. They are well-suited to users who are seeking a fun, no-strings-attached casino experience. There is no pressure to earn or win, only to play enjoyably and interactively.
Sweepstakes casinos combine fun with the excitement of possible prizes. They target players who simply want to play games and win real prizes.
5. Legal Framework
Social casinos aren’t gambling because there’s no money at risk or being awarded, and so they’re legal everywhere. In most countries or U.S. states, they do not need licenses or regulatory approvals.
Sweepstakes casinos are governed not by gambling laws but by sweepstakes contest laws. This puts them on the right side of the law in most U.S. states, with a few exceptions. Such regulations dictate how Sweeps Coins are awarded and distributed.
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Conclusion
To ensure you understand the differences between social casino and sweepstakes casino, here’s a summary. While free-to-play gaming experiences are provided by both social and sweepstakes casinos their target audiences and functions are different.
If you intend to launch a feature-rich, legally compliant social casino or sweepstakes platform, TRUEiGTECH is the best tech partner for you. With more than 6 years of experience in this industry and a track record of successfully assisting 250+ gaming operators, we specialize in creating scalable and secure casino software.
To build a next-generation social or sweepstakes casino that distinguishes itself in this crowded gaming market, collaborate with TRUEiGTECH right now.
Written by: Prish K
Prish K, Head of Marketing at TRUEiGTECH, holds an experience of more than 10 years in the iGaming domain. Starting from strategic planning and digital marketing to team leadership and cross-functional collaboration, he is a master of his domains. For more than a decade, he has shown a promising commitment to fostering result-driven and creative work outputs. Beyond guiding newcomers and established iGaming operators with the right software solutions for their business needs, Prish also wants to share his industry expertise and knowledge through insightful blogs and articles
