The Lok Sabha on Wednesday passed the Promotion and Regulation of Online Gaming Bill, 2025, marking a major move aiming to reshape India’s digital gaming landscape. The legislation seeks to balance the nation’s rapid technological growth with public safety, banning harmful real-money games while promoting e-sports and educational platforms.
Unveiling the Bill, Union Minister for Electronics & IT, Ashwini Vaishnaw said India is poised to become a “global hub of creative and innovative game development.” He added that while technology has revolutionised lives under Prime Minister Narendra Modi’s leadership, its misuse must be curbed to protect youth and families.
KEY FEATURES OF THE BILL
1. Promotion of E-Sports
– E-sports are formally recognised as a competitive sport.
– The Ministry of Youth Affairs & Sports will set up training academies, research centres, and tech platforms.
– Incentive schemes and integration into the national sports policy will bolster the ecosystem.
2. Encouragement of Social and Educational Games
– The Central Government will categorise and register age-appropriate, safe games.
– Special focus on games with educational, cultural, and skill-development value.
– Campaigns will promote gaming’s role in digital literacy and constructive engagement.
3. Total Ban on Real-Money Online Games
– A blanket ban on offering, advertising, or facilitating fantasy sports, rummy, poker, online lotteries, or betting apps.
– Financial institutions are barred from processing related transactions.
– Platforms that violate the law can be blocked under the IT Act, 2000.
4. Establishment of Online Gaming Authority
– A national-level regulator will be formed to monitor and register online games.
– The Authority will have powers to issue guidelines, enforce compliance, and handle complaints.
5. Stringent Penalties for Violations
– Offering money games: up to 3 years imprisonment and/or Rs 1 crore fine.
– Advertising money games: up to 2 years imprisonment and/or Rs 50 lakh fine.
– Transactions linked to banned games: up to 3 years imprisonment and/or Rs 1 crore fine.
– Repeat offenders face up to 5 years jail and Rs 2 crore fine.
– All key offences are cognisable and non-bailable.
6. Corporate Liability
– Company officers are held accountable unless due diligence is proven.
– Independent directors uninvolved in decisions are exempt from liability.
7. Enforcement and Security Provisions
– The Bill addresses addiction, financial losses, suicides, and the use of platforms for money laundering and terror financing.
– Enforcement officers are empowered to search, seize, and arrest without a warrant.
– Aligned with laws like the Bharatiya Nyaya Sanhita, 2023 and Bharatiya Nagarik Suraksha Sanhita, 2023.
8. Rule-Making Powers
The government is authorised to frame rules on:
– E-sports promotion
– Development of educational and cultural games
– Registration and categorisation of games
– Gaming Authority protocols and powers
Meanwhile, government sources told India Today that “the government isn’t mincing words, these platforms aren’t just games. They’re psychological traps leading to addiction, financial ruin, and in some tragic cases, suicide.” Officials cited real-money gaming platforms as breeding grounds for money laundering, terror financing, and digital scams, with unregulated cross-border cash flows posing serious national security concerns.
The government also noted that several Members of Parliament had raised concerns from their constituencies, reporting cases of individuals falling into debt and even taking their own lives due to the addictive nature of online money gaming.
Describing the legislation as a “balanced growth strategy for Digital India,” the government stated that the Bill aims to safeguard citizens from the psychological, financial, and social harms of real-money gaming.
At the same time, it aims to stimulate innovation, enhance digital literacy, and give a structured push to India’s creative economy, positioning the country as a global leader in responsible gaming.
The Online Gaming Bill, 2025 thus sets a clear direction: while India champions the potential of games as tools of learning, sport, and expression, it is drawing a firm line against platforms that endanger the well-being of its citizens.
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