Promotion and Regulation of Online Gaming Bill, 2025

The Promotion and Regulation of Online Gaming Bill, 2025, passed by the Parliament marks a landmark move to shield citizens from the menace of online money games while promoting and regulating other kinds of online games

Introduction

• Passed on 21st August 2025 to regulate online gaming.
• Aims to ban harmful money games while promoting e-sports and social/educational games.
• Protects families from addiction, fraud, and financial ruin.
• Balances digital innovation with social safeguards.

Online Gaming Sector – Three Segments
                                                                                                                                             

• E-sports: Competitive, skill-based digital sports, tournaments.
• Online Social Games: Casual, safe, learning/recreation based.
• Online Money Games: Involving money stakes; linked to addiction, fraud, money laundering, even suicides.

Why the Bill Was Needed

• Addiction & Financial Ruin – Losses of over ?20,000 crore; 45 crore affected.
• Mental Health Issues – Depression, suicides due to money losses.
• Fraud & Money Laundering – Used for illegal activities.
• National Security Threat – Some platforms linked to terror financing.
• Legal Loopholes – Offline gambling banned but online unregulated.
• Healthy Alternatives – To promote e-sports and safe online games.

Key Provisions of the Bill

• Applicability – Across India, including offshore operators targeting India.
• E-sports Recognition – Declared as competitive sport; guidelines by Ministry of Youth Affairs & Sports.
• Social/Educational Games – Govt to register/recognise safe games, launch awareness programmes.
• Ban on Online Money Games – Complete ban on chance/skill/combined money games; banks barred from transactions; IT Act powers for blocking sites.
• Online Gaming Authority – To regulate, categorise games, issue guidelines, handle grievances.
• Penalties – Jail up to 3 years + ?1 crore fine; harsher for repeat offenders.
• Corporate Liability – Companies & officers accountable; exemptions for non-executive directors with due diligence.
• Investigations – Govt officers empowered to search, seize, and arrest under BNSS, 2023.
• Rule-Making Powers – Central Govt to frame rules for promotion, recognition, and regulation.

Related Legal & Policy Measures

• IT Act, 2000 & Rules: Blocking illegal sites, regulating intermediaries.
• Bharatiya Nyaya Sanhita, 2023: Sections 111 & 112: punish cybercrime, illegal betting.
• IGST Act, 2017: Offshore gaming platforms under taxation rules.
• Consumer Protection Act, 2019: Bans misleading ads; penalises celebrities endorsing betting.
• Advisories: From MIB, Education Ministry on safe gaming and misleading ads.
• Cybercrime Reporting: National Cybercrime Portal (cybercrime.gov.in) and helpline 1930.

Conclusion

• Bill bans exploitative money games but encourages e-sports and educational games.
• Ensures technology serves society, not harms it.
• Strengthens India’s role as a global leader in safe and responsible digital policy.