Published in cooperation between Cardstudios and San Jose Inside
California’s online gaming is going through changes, this time with Assembly Bill 831 (AB 831) stepping in. The bill, introduced by Assemblymember Avelino Valencia, aims to crack down on online sweepstakes casinos and certain fantasy sports operators that have long existed in a regulatory gray zone. Backed strongly by tribal nations and the California Nations Indian Gaming Association (CNIGA), AB 831 signals a growing push to bring more clarity and control to how online gaming functions in the state.
In the midst of this unfolding debate, many players looking for safe and licensed entertainment have already gravitated toward selected poker sites that meet strict regulatory standards. These platforms operate transparently, follow age-verification rules and offer responsible gaming tools. These are all qualities that stand out even more as California questions the legality of other online gaming categories.
At its core, AB 831 seeks to define fantasy sports and sweepstakes casinos as games of chance that are currently marketed as fair, skill-based entertainment. The bill also carries sharp teeth: It targets not only the operators but also the affiliate marketers who promote these platforms. If passed, AB 831 would usher in stiff penalties and likely push these websites out of California’s digital space entirely. For lawmakers who argue the state lacks proper oversight mechanisms for these games, this bill is a major step toward reestablishing regulatory control.
One of the most talked-about elements of AB 831 is its potential effect on daily fantasy sports (DFS). The bill itself doesn’t explicitly outlaw DFS, but it arrives at a moment when California’s attorney general is reportedly weighing a full ban on daily fantasy platforms. A local KCRA-TV report revealed that former Sen. Scott Wilk initiated an investigation into the legality of DFS back in October 2023. That review is still ongoing, but lawmakers expect the attorney general’s opinion any day now. This is an opinion that could reshape the future of fantasy sports in the state.
Daily fantasy sports platforms let users craft virtual teams and compete for real-world prizes based on actual sports performance. But critics argue the resemblance to gambling is too strong to ignore, particularly since DFS contests, much like sweepstakes casinos, operate without the same level of oversight as state-authorized gambling. Unlike regulated online casinos, DFS apps and sweepstakes gaming sites aren’t required to follow the strict compliance, auditing and player-protection protocols California demands from its tribal and commercial gaming institutions.
CNIGA, which represents over 40 federally recognized tribes, has taken a firm stance. According to KCRA-TV, the organization recently sent a joint letter urging lawmakers not to support any pro-DFS legislation until the attorney general releases his findings. “Despite this pending opinion, some fantasy sports interests are already approaching members of the Legislature to author and/or support a bill on this issue,” the letter warns. It continues: “We respectfully urge you to withhold any commitments or authorships until the Attorney General releases his opinion. It is essential that all stakeholders, including the Legislature, have the benefit of clear legal guidance and facts before proceeding with any legislation. Should a bill be introduced before the Attorney General’s opinion is released and fully evaluated, we will be compelled to oppose it.”
This tension isn’t new. CNIGA voiced concerns about DFS contests earlier in January 2024, emphasizing the lack of regulatory safeguards and potential for consumer harm. Those concerns now form a major part of their support for AB 831.
Tribal nations have long held a critical role in California’s gaming system. Under the Indian Gaming Regulatory Act (IGRA) and a series of compacts negotiated with the state, tribes operate casinos under a strict regulatory framework that upholds integrity, fairness and player safety. Sweepstakes casinos, by comparison, have bypassed these systems by using virtual “coins” and sweepstakes entries to award real-money prizes. The structure skirts California gambling laws by claiming the games are promotions—not gambling—even when the user experience closely resembles traditional casino play.
To tribal leaders, this workaround isn’t simply clever but harmful. It pulls players into unregulated environments, undermines tribal revenue streams that support essential services and exposes users to potential fraud. Many of these platforms operate offshore, outside the reach of U.S. consumer protection agencies, which raises additional concerns about unfair odds, data security and responsible gaming standards.
AB 831 is designed to address exactly that. By clearly categorizing sweepstakes casinos and certain fantasy sports platforms as gambling entities, the bill lays the groundwork for enforcement. Those who continue to offer or promote such games in California could face punitive action. For tribes, it’s a significant move toward leveling the playing field and reinforcing longstanding compacts with the state.
As for where AB 831 stands now, the bill is currently under review as part of the 2025–2026 legislative session. California’s Legislative Information website tracks all movement, committee reviews and amendments related to the bill, and residents can subscribe to receive real-time updates. The bill doesn’t involve appropriations or local funding, meaning its progress will rely largely on political alignment rather than budget negotiations. A simple majority vote is required for it to advance.
If passed, the impact of AB 831 could be far-reaching. California is already one of the most restrictive states when it comes to online gambling. For years, lawmakers have resisted efforts to legalize online sports betting and online casinos, with two separate ballot measures failing dramatically in 2022. Introducing a targeted ban on sweepstakes casinos fits within a broader pattern of cautious, highly controlled regulation.
The bill also could set a precedent for other states. Sweepstakes casinos exist in a patchwork of legality nationwide, and many state regulators have acknowledged the difficulty of managing platforms that operate outside traditional frameworks. California, often seen as a bellwether for consumer protection policies, may inspire similar legislation elsewhere if AB 831 succeeds.
From a consumer perspective, the biggest changes relate to transparency and safety. Many players enjoy sweepstakes casinos and DFS platforms because they’re easy to access and provide a low-barrier entry to games. But convenience isn’t the same as protection. California officials have repeatedly stressed that players deserve the same standards of fairness and accountability across all forms of online gaming, not just those operating under official licenses.
Tribal groups and lawmakers argue that AB 831 supports that mission. By eliminating platforms that sidestep regulation, the state can concentrate on strengthening its existing partnerships with tribal casinos and making sure that gaming revenue continues to support education, public safety and social programs. According to CNIGA, tribal gaming contributes billions to California’s economy annually, and ensuring that revenue remains secure is one of the driving motivations behind this bill.
