Social Sports Betting Explained
Social sportsbooks have existed in the USA long before the federal ban on sports betting was overturned. Commonly called "sweepstakes sportsbooks", these platforms require no money to join or play competitions. Instead, users can unlock Gold Coins through achievements or successful picks that have no monetary value. These coins are used to fund standard play.
Standard Play can result in wins of more Gold Coins or Sweep Coins. Sweep Coins are used to engage in premium play promotions and cannot be purchased. These competitions can often result in real-money prizes for successful players. Commonly, Sweep Coins can also be converted into real money.
These platforms are varied in their gameplay options, though many offer the same betting markets and sports as available at traditional sportsbooks. Another integral element of these platforms is that they often permit social interaction with other users, whether through social media tools or chat functions. This creates a friendly, competitive atmosphere without hinging on real money rewards.
How Are Social Sportsbooks Legal?
Because Social Coins cannot be purchased, players are unable to win tangible rewards from their real-money deposits. Therefore, this style of gameplay is different from the definition of gambling in most US states. It also allows the sites to avoid the need for licensing, though they tend to maintain strict age requirements for joining.
Sweepstakes casinos and sportsbooks are legal in 48 states, with only Washington and Idaho outlawing the games entirely. However, the featured sportsbooks are not necessarily available in all states, with some offering options that are similar to daily fantasy sports or other potentially restricted gaming products. Other states that are commonly unavailable include Hawaii, Alabama, Montana, Nevada, Georgia, and Iowa.
Social Sportsbooks vs. Traditional Sportsbooks
The clearest difference between social sportsbooks and traditional sports betting sites is that real money is gambled at traditional sportsbooks. Customers must first deposit real money into their accounts, which is then used to wager on sporting outcomes. While promotions and bonuses can lower the financial risks, the winning of cash prizes is fundamental to sports gambling.
Social Sportsbooks vs. DFS Platforms
Social betting is also distinguished from daily fantasy sports platforms, which also tend to require players to pay entry fees to compete for a chance at winning real money prizes. Traditional DFS sees contestants draft fantasy lineups of real-life players and earn points based on their performances, with top point-scoring contestants winning cash.
Unconventional DFS games such as Pick’em also require money to be staked. Social betting sites don’t require any money to be invested at all, and cash prizes can only be won in tournaments, draws, and competitions that cannot be entered with real money stakes.