SGLA urges regulation after Minnesota bills introduced

The Social Gaming Leadership Alliance (SGLA) has responded to the introduction of Minnesota SF 4474 and HF 4410, calling on lawmakers to regulate social plus games instead of banning them.

In a statement issued on March 16, the alliance said the bills would prohibit a product category it described as having operated lawfully in Minnesota for more than a decade. 

SGLA said social plus games are used by hundreds of thousands of adults in the state and argued that a ban would penalize businesses currently operating within that framework. 

SGLA Managing Director Sean Ostrow said: "Social Plus games are a popular form of entertainment enjoyed by hundreds of thousands of Minnesotans and have been operating lawfully in the state for over a decade."

Ostrow added: "SF 4474/HF 4410 would ban these games entirely, punishing law-abiding businesses and the Minnesotans who responsibly enjoy them while doing nothing to address illegal offshore operators and shutting down the potential for the games to generate $20m or more in state revenues."

The alliance said it is already working with Minnesota legislators on a regulatory model for the sector. According to SGLA, that approach would include age verification, data privacy requirements and responsible social gameplay protections.

It also said regulation could create a new tax stream for the state, estimating that social plus games could generate more than $20m in annual revenue under a defined framework.

The debate in Minnesota reflects a broader pattern across the US, where lawmakers are weighing whether dual-currency and sweepstakes-style gaming products should be prohibited or brought under formal oversight.

SGLA said banning the sector would not remove illegal operators from the market. Instead, it argued that players could shift to offshore sites that do not offer the same compliance controls or consumer safeguards.

The alliance said it will continue engaging with lawmakers in Minnesota as the bills move through the legislative process and as debate continues over whether a regulated model should be considered. 

SGLA took a similar position in Indiana after HB 1052 became law, saying it would keep pushing for a regulated framework built around age checks, data privacy rules and responsible social gameplay measures rather than prohibition.