India Moves to Ban Real-Money Gaming Nationwide

India Proposes Real-Money Gaming Ban Under Online Gaming Act 2025

India’s online gaming industry faces its biggest challenge yet. A draft legislation, The Promotion and Regulation of Online Gaming Act, 2025, aims to impose a blanket ban on real-money games — whether skill-based or chance-based.

According to a draft seen by TechCrunch and confirmed by multiple sources, the law would prohibit:

• All financial transactions linked to real-money gaming apps.
• Advertisements promoting such platforms.
• Celebrity endorsements, with penalties for violators.

If passed, companies could face up to 3 years in prison and fines reaching ₹10 million ($115,000). Celebrities promoting such games could also be jailed for 2 years or fined up to ₹5 million ($57,000).

???? Economic Fallout for India’s Gaming Unicorns

Real-money gaming has been India’s biggest online gaming revenue driver. In FY 2023–24, the sector generated $2.4 billion, making up nearly two-thirds of the country’s $3.8 billion gaming industry.

Startups like Dream Sports, Games24x7, and WinZO — all heavily dependent on real-money games — could see their businesses collapse if the bill passes.

One founder anonymously told TechCrunch:

“Businesses will shut if the legislation comes into force.”

Investors are equally worried, given that companies in this space have raised billions in funding and employ thousands of people.

⚖️ Rising Concerns Over Public Harm

The government’s move follows mounting public pressure over cases of financial ruin and suicides linked to gambling-style apps. While many of these issues stem from offshore betting platforms, regulators appear determined to curb all real-money gaming inside India.

This is not the first crackdown. In 2023, New Delhi imposed a 28% tax on online gaming, which startups called “catastrophic.” Reports suggest this could even rise to 40% under the new framework.

????️ Government Silence Raises Questions

Local reports suggest that the bill could be introduced in parliament as early as this week. However, the Indian IT Ministry has not issued any official statement so far.

Until then, India’s gaming industry — one of the fastest-growing in the world — waits in uncertainty.

✍️ Author: Anish Khan, Founder of TechBoltX