For players in areas where online gambling is restricted, sweepstakes casinos offer an entertaining alternative that flies under the radar of regulators. But what exactly are they, and how do sweepstakes casinos work? Let's break it down.

At their core, sweepstakes casinos are designed like traditional online casinos, featuring familiar games like slots, roulette and blackjack. However, instead of betting with real money, players wager virtual currencies called "chips" or "coins" and accrue points.

Winnings from games are not actually paid out in cash either. Instead, earned points can be entered into sweepstakes drawings for cash and prizes. The more a player gambles, the more entries they receive.

This subtle difference is what allows sweepstakes casinos to bypass gambling laws. Rather than placing financial bets, players are essentially buying entries for a chance to win prizes. As long as no purchase is necessary, it isn't considered illegal gambling.

To further distance themselves, reputable operators like Fortune Coins will never turn real-money players away or directly reference cash equivalents for points. Customer support also can't discuss or assist with actual betting behaviors.

While the model may seem like a loophole, sweepstakes casinos aim to deliver the entertainment of traditional online gaming within legal parameters. For many players, it achieves this goal superbly.