According to the "Guidebook of Franklin Mint Issues":
..."Each was struck in Proof-like quality. With one exception, all were issued by Nevada casinos."...

I don't know which token is the exception, though I think it is one that was minted, but the casino closed before the token was put in play.

When sold as sets, the original cost was in excess of face value, so playing the tokens out of the set wouldn't have been economically prudent to do. But the tokens would have been accepted for play in each casino at the time.

(I'm not a token collector, so if I got anything wrong, please feel free to correct me.)