Introduction
Recently, Indian passed a new bill, The Promotion and Regulation of Online Gaming Bill, 2025. It seeks to ban online fantasy sports and gaming platforms that involve real money.
The Government has taken this decision on the grounds of security concerns and socio-economic issues. The decision primarily focuses on the protection of Indian citizens and youth from gambling addiction and suicides linked to financial losses.
The Bill also aims to deal with money laundering, financial and other involved frauds, and terror financing.
Key Features and Provisions of the Bill
- The Bill will ban any online game involving real money. It will also apply to the developers, promoters, advertisers and platforms.
- The penalty for violation will include up to 3 years of imprisonment or fine up to 1 crore rupees or both. Moreover, the platforms repeatedly violating the law may face permanent shutdown or domain blocking.
- The bill recognizes and differentiates E-sports and money-based gambling-type games. Hence the government wants to promote and regulate skilled-based competitive gaming and completely ban betting and gambling type games.
- The bill seeks to set up the National E-Sports Authority to govern professional gaming, tournaments, and sponsorships.
- It aims to protect Indian citizens, and youth especially, from low-income families.
- It prevents misuse of gaming apps and platforms for money laundering, illegal betting and terror financing.
Reasons Behind Ban of Online Gaming Platforms
- The online Gaming industry has grown exponentially over the past decade. India’s online gaming market is currently valued at $3.7 billion and projected to grow up to $1.9 billion by 2029.
- The online gaming platforms like Dream11, MPL, Rummy circle, and PokerBaazi were promoting online betting and gambling at a large scale under the umbrella of skilled based gaming.
- Many of these games are real money gaming platforms where the users get trapped in these online fantasy gaming platforms. Therefore the government has taken the decision to ban it.
- Numerous families have incurred huge socio-economic losses such as negative impact on mental health, loss of savings, increase of financial burden and loan trap, even death of youngsters due to these types of online gaming platforms.
- The government also claimed that many of these platforms indulge in money laundering, and terror financing which are creating security concerns.
The Promotion and Regulation of Online Gaming Bill, 2025, is a decisive step in India’s digital journey. It recognises the dangers of unregulated money gaming and responds with firm safeguards to protect citizens. At the same time, it carves out space for e-sports and educational games that nurture skills and creativity.