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BAN ON REAL-MONEY ONLINE GAMES SHAKES UP THE ENTIRE INDUSTRY

The Morning Standard

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August 24, 2025

The bill to ban real-money online games recognises that the gaming sector as one of the most dynamic segments of the digital and creative economy, with significant opportunities for innovation, cognitive development, employment generation, technological advancement and global competitiveness. Which is why it encourages e-sports and safe online social and educational games. But the red line is on betting, gambling, fantasy money games that exploit users with false promises of profit

- GOMESH S/INDRANEEL DAS @Chennai

WITHIN a span of a week, India introduced and passed the Promotion and Regulation of Online Gaming Bill, 2025. The bill was first passed in the Lok Sabha, followed by the Rajya Sabha the next day. It then received presidential assent and was officially notified in the gazette. The only thing pending now is for the government to issue a notification indicating the date from when the law will come into force and start being implemented.

What does his mean? Any app or online platform offering money-based games or related services in India is now considered illegal. These platforms will no longer be allowed to operate in the country and will be subject to penalties and punishment if found in violation. However, the Act also states that it will promote social gaming and e-sports, with a focus on building a healthy online gaming ecosystem. In simple terms, the government has imposed a blanket ban on all online games involving monetary transactions.

As a result, platforms that offer real-money games such as Dream11, Games24x7, Winzo, GamesKraft, 99Games, KheloFantasy, and My11Circle will be required to shut down their services in India.

B The government reasoned that money-based online gaming has become increasingly addictive, leading to serious financial harm and social distress. In its view, protecting citizens from these harms takes priority over supporting a small segment of the gaming industry.

Industry experts and companies argue that the real-money gaming sector contributes approximately 20,000 crore annually in direct and indirect taxes. The industry also supports nearly 2,00,000 direct and indirect jobs across more than 400 companies. They warn that the ban could lead to widespread job losses and the closure of numerous firms.

What is prohibited

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