Real-money gaming dealt a losing hand

Centre's crackdown follows ₹20,000 cr losses and growing alarm over addiction

- AJINKYA KAWALE

Mounting social concerns and an estimated ₹20,000 crore loss by nearly 450 million people due to frauds in real-money gaming (RMG) have pushed the Centre to impose a blanket ban on the sector. The decision comes amid alarm over opaque algorithms, user addiction, and widespread financial distress linked to games such as rummy, poker, and fantasy sports.

The ban not only ends the long-standing debate over whether skill-based or chance-based games can operate in India but also overrides the patchwork of state-level rules on regulating or prohibiting the sector.

Experts and industry players warn that the move could backfire by driving users towards unregulated offshore betting platforms.

"Government needs to reconsider and take a more calibrated stance, as prohibition has never worked. This Bill will bring back the satta market with a vengeance. Blanket bans drive users to unregulated platforms rather than protecting them. Instead of reducing harm, prohibitions create black markets that are harder to regulate and far riskier for users," said Abhay Raj Mishra, president and national convenor of Public Response Against Helplessness & Action for Addressal (PRAHAR).

PRAHAR's July 2024 survey of 2,500 gamers in Telangana, where RMG has been banned for eight years, found more than 94 per cent of players still accessing offshore or illicit apps through virtual private networks, Telegram groups, or sideloaded platforms.