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Parliament has passed a sweeping bill that spells the end for betting apps in India. The Promotion and Regulation of Online Gaming Bill, 2025, was cleared by both houses this week amid fierce opposition protests, delivering a significant blow to the country’s booming real-money gaming sector.
The online gaming industry has experienced significant growth in recent years, driven by the increasing affordability of smartphones and the availability of low-cost data. The sector is currently valued at ₹316 billion (approximately $3.7 billion), with major platforms like Dream11, MPL, and Games24x7 commanding massive user bases. Real-money gaming, encompassing fantasy sports, poker, and rummy, accounts for a staggering 86% of the industry’s revenue.
But the new legislation takes a sledgehammer approach rather than surgical precision. Instead of establishing regulatory oversight, the bill imposes a complete ban on all real-money gaming platforms, regardless of whether they involve skill or chance. Key provisions include harsh penalties – up to three years’ imprisonment and ₹1 crore in fines for operators, and two years’ jail time plus ₹50 lakh in fines for those who advertise such platforms.
“An estimated 45 crore people lose around ₹20,000 crore every year playing online games,” stated Union Minister Ashwini Vaishnaw, comparing gaming addiction to “drug addiction.” The government chose consumer protection over the lucrative revenue stream these platforms generate.
However, the industry argues this blanket prohibition goes too far. Critics warn that the complete ban could eliminate thousands of jobs and drive users to unregulated offshore platforms, making oversight even more difficult. “This could wipe out India’s entire real-money gaming ecosystem,” industry leaders have cautioned.
The debate highlights the government’s struggle with a complex and rapidly evolving sector. While the bill promotes e-sports and social gaming as legitimate entertainment, it draws a hard line against any form of monetary wagering. Similar regulations in countries like the UK and Singapore offer more nuanced approaches, but India has chosen an absolute prohibition model.
The bill’s passage amid opposition protests – though the demonstrators focused on Bihar electoral rolls rather than gaming – signals the government’s determination to crack down on what it sees as digital gambling. The legislation’s fate was never really in doubt, but its impact on India’s tech ecosystem will be profound and immediate.
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