Regulatory Framework

FTC Promotional Rules & State Sweepstakes Laws

Promotional competitions in the United States are regulated at both federal and state level. The Federal Trade Commission (FTC) oversees advertising and endorsements, while individual states — particularly New York, Florida, and Rhode Island — impose additional registration and bonding requirements for sweepstakes above certain prize thresholds.

FTC Act & Endorsement Guides
Promoters must clearly disclose material terms, avoid deceptive prize claims, and ensure that any influencer or affiliate promotion is transparently disclosed.
No Purchase Necessary Rule
US sweepstakes must provide an alternative means of entry (AMOE) with no purchase necessary to avoid classification as an illegal lottery under federal and state law.
State Registration Requirements
New York, Florida, and Rhode Island require sweepstakes with prizes exceeding $5,000 to register and bond with the state. Other states may have additional disclosure rules.
Organiser Obligations

What US Promotion Organisers Must Do

Organisers running US-facing sweepstakes or prize draws must comply with FTC guidelines and applicable state laws. SecureDraw's role is limited to certifying the draw outcome — all legal and regulatory obligations remain with the organising entity.

Official Rules Publication
Official Rules must be published and accessible before the promotion opens, covering eligibility, entry methods, prize details, odds of winning, and sponsor identification.
Alternative Means of Entry (AMOE)
A free AMOE must be clearly communicated and given equal prominence. Failure to provide an AMOE may constitute an illegal lottery.
Winner Verification & Affidavit
For prizes above a set threshold, promoters must obtain a signed affidavit of eligibility and liability/publicity release from winners within a specified time period.
State Registration & Bonding
Where required (NY, FL, RI), promoters must register the sweepstakes and post a surety bond before launch. SecureDraw certificates can be appended to registration filings.
COPPA Compliance
Promotions open to children under 13 are subject to the Children's Online Privacy Protection Act (COPPA), requiring verifiable parental consent for data collection.
SecureDraw's Role

What We Certify

SecureDraw provides tamper-evident, timestamped draw certificates that serve as independent evidence of a fair and random selection process. Our certificates can be appended to regulatory filings and used in disputes.

Randomisation Certificate
Each certificate records the draw parameters, entrant pool hash, timestamp, and winning selection — sealed cryptographically to prevent tampering.
Public Verifiability
Draw outcomes are publicly verifiable by entrants, state regulators, or legal counsel using our certificate lookup tool.
Regulatory Support
Our certificates and audit trails can be provided as supporting documentation for state sweepstakes registrations or FTC investigations.
Our Objective

Transparent Draws. Trusted Results.

Independent
Neutral
Verifiable