Real-money gaming has evolved a lot in recent years with its growing popularity among people, and reportedly, this real-money gaming has been the biggest revenue driver for India’s online gaming industry. Real-money gaming alone accounted for $2.4 billion of the total $3.8 billion revenue generated in the online gaming industry for the financial year 2023-24.
But with the increase in the popularity of such games, real-money gaming has come under scrutiny due to cases of suicide resulting from heavy losses in the games. Considering the growing public concerns, it is now reported that the Indian government is planning to prohibit real-money games, whether based on skill or chance, under its proposed online gaming regulation called the Promotion and Regulation of Online Gaming Act 2025.
As per this act, the legislation would restrict online games involving stakes and outlaw both their advertisements and financial transactions. The draft for this proposal is said to be verified by three sources, including one consultant with the Indian IT ministry and two people working closely with the Indian government and real-money gaming companies.
Recently, many celebrities were also summoned who were promoting various betting apps. And now, according to the draft, real-money gaming companies could face imprisonment for up to 3 years, a fine of up to Rs 10 million, or both; similarly, celebrities promoting such games on any media platform could be liable for up to 2 years of imprisonment or a fine of Rs 5 million.
The draft also restricts banks, financial institutions, or any other person facilitating financial transactions or authorization of funds from engaging in permitting, aiding, abetting, inducing, or otherwise facilitating any transaction towards payment for any online money gaming service.
Reportedly, the draft will soon be presented in the Indian parliament for debate, though there is no official statement made. As soon as the news related to this draft surfaced online, many real-money gaming companies expressed their concern over it, as if the draft were accepted, there would be a huge impact on them.
