Game's Over! New Law Halts Online Money Games in India
The Indian government is on the brink of a groundbreaking move to transform the online gaming landscape. With the recent Parliament approval of the Promotion and Regulation of Online Gaming Act, 2025, a new chapter is set to unfold as the act will soon be officially notified. As per Electronics and IT Secretary S Krishnan, “This is something which will come into effect very quickly and we are taking all necessary steps in that regard.”
Leaving the Money Behind
The act is a decisive step towards reshaping the gaming industry by banning all forms of online money games, setting a new stage for e-sports and other online games. The legislation prohibits advertising these games and restricts financial transactions related to them. Banks and financial institutions will face severe penalties if found facilitating these forbidden games.
The Legal Hammer Drops
Advertisements for online money games can now lead to severe consequences, including up to two years of imprisonment and/or a hefty fine of Rs 50 lakh. Financial transactions that promote these games can result in even stiffer penalties, with possible imprisonment up to three years and fines reaching Rs 1 crore. Repeat offenders beware—the penalties intensify, potentially leading to 3-5 years imprisonment and fines up to Rs 2 crore.
Industry’s Voluntary Compliance
Aligning with the government’s vision, many major online gaming platforms have voluntarily suspended their money-based gaming operations. Yet, the challenge persists—how will the government regulate international platforms that continue to operate money games from abroad?
A Nation at Stake
This legislative move is pivotal, given the staggering figures associated with addiction to online money games. An estimated 45 crore individuals in India have reportedly lost around Rs 20,000 crore in just one year. The statistics underscore the urgency of this regulatory action.
As these changes unfold, industry watchers and gamers alike are keeping a keen eye on the impacts of this legislation. Will it change the gaming industry forever? Will it spark a new wave of safe and regulated gaming? Whatever the outcome, this law marks a definitive moment in India’s digital entertainment story. According to The Economic Times.