Srinagar, Aug 25: On Thursday, the Rajya Sabha passed the Promotion and Regulation of Online Gaming Bill, 2025, following its earlier approval in the Lok Sabha. With this, India has officially banned money-based online gaming, including popular fantasy sports, rummy, poker, and similar real-money games. This landmark legislation delivers a significant blow to India’s $3.8 billion online gaming industry, impacting major domestic platforms like Dream11, Games24x7, and Mobile Premier League (MPL).
Why was the bill introduced?
According to Union Minister for Electronics and IT, Ashwini Vaishnaw, the government took this step due to serious social and public health concerns. He outlined three key reasons (a)Online money gaming is causing harm – including psychological distress and financial ruin. (B) Protecting citizens over revenue – the government stated it prioritizes public welfare over potential tax revenues from such platforms and (c) Promoting the “good” side of gaming. The bill distinguishes between eSports (competitive skill-based gaming), online social gaming (casual, non-monetary games), and online money gaming (fantasy sports, rummy, poker, etc.)
Only eSports and social gaming will be recognized and promoted by the government, with new schemes and programs aimed at making India a game development hub.
What Does the Bill Prohibit?
The bill completely bans all services that offer or facilitate real-mone online games. Key provisions include, bans on games where players deposit money in hopes of winning cash or other prizes,prohibition of advertisements promoting such platforms, ban on financial transactions supporting these games – banks and payment gateways are barred from processing such payments.
What Are the Penalties Under the Law?
For offering/funding online money games up to 3 years imprisonment and fine up to Rs 1 crore. For advertising or promoting such games, up to 2 years imprisonment and fine up to Rs 50 lakh. For financial transactions related to such games, up to 3 years imprisonment and fine up to Rs 1 crore. For repeated offenders, 3 to 5 years imprisonment and fine up to Rs 2 crore. The Offences under key sections are classified as cognizable and non-bailable – meaning police can arrest without a warrant, and bail is not a right.
Minister Ashwini Vaishnaw said the bill is not anti-gaming but rather pro-healthy gaming: “We want India to become a global hub for game development, especially in eSports and social gaming. But online money gaming has become a societal threat.” He emphasized that the bill is designed to regulate the sector, protect consumers, and encourage innovation in non-monetary gaming spaces
