The Indian government has introduced the ‘Promotion and Regulation of Online Gaming Bill 2025’, which seeks to regulate online gaming and outright prohibit real-money games. If enacted, it would ban fantasy sports such as Dream11, rummy, and poker. Banks would be unable to transact money relating to these games, and advertising for such games would be prohibited. If caught, offenders may face up to two years in prison and a fine.
The “Promotion and Regulation of Online Gaming Act, 2025” seeks to outlaw all money-based online games, including Dream11 and My11Circle, and classify them as online gambling. The bill, which was introduced in the Cabinet, seeks to criminalise any games involving skill or chance, regardless of their origin.
The bill establishes strong prohibitions banning real-money games, including penalties for those who promote or sell them, as well as sanctions for those who do. It also establishes a new regulatory authority to oversee the gaming industry and identify whether games are for real money. Advertisers may face up to two years in prison and a fine of up to Rs 50 lakh. The regulation also encourages the growth of non-monetary games such as e-sports and social games.
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A possible ban on the gambling sector worries gaming executives because they believe it would result in closures and unknown income streams. Union Home Minister Amit Shah has received a letter from the All India Gaming Federation, E-Gaming Federation, and Federation of Indian Fantasy Sports asking for immediate action on the proposed Bill.
According to industry analysts, the potential growth in the online gaming sector, which is currently valued at $3.7 billion and is expected to double to $9.1 billion in 2029, may endanger 4 lakh businesses, 2 lakh jobs, investments of Rs 25,000 crore, and yearly GST payments of Rs 20,000 crore.
The gaming association in India has advocated for gradual regulation rather than a blanket ban on fantasy gaming, claiming that a blanket ban would hurt the sector and millions of gamers.
Millions of legal gamers may be forced to utilise illicit websites and unregulated gaming networks if the law is approved, according to AIGF, which might severely harm them and put them at risk of being victims of unregulated operators.
The gaming body also stated that the government did not consult with the industry before presenting the measure.
According to experts, fantasy gaming sponsorships are critical for funding domestic sports, and a prohibition might harm India’s cricket talent pipeline. Many gaming firms, sponsored by foreign direct investment, have said that they do not engage in criminal activities such as betting, money laundering, or gambling.