On Tuesday, the government of India proposed legislation that would shut down the multibillion-dollar online gambling industry. The bill would prohibit gambling websites and apps from offering games “played by a user paying fees or depositing money or other stakes” with the hope of monetary gain.
The measure’s proponents cited the potential risks associated with online gambling, including addiction, debt and mental health issues, particularly among the young and poor. Lamenting the “unchecked expansion” of the industry, they expressed concern about “financial fraud, money laundering … and, in some cases, the financing of terrorism”.
They also pointed to Article 47 of India’s constitution, which obligates the state “to intervene when a digital ecosystem threatens public health, order and societal well-being”.
Billion-dollar industry on the line
The move could threaten an estimated INR313,365 (US$3.6 billion) industry that includes fantasy cricket apps played by millions in India. They include Dream11, MPL, MyTeam11, Howzat and League11.
According to Reuters, Dream11 users pay as little as INR8 (US$0.10) to create fantasy cricket teams, with a total prize pool of INR1.2 million. The action explodes during the Indian Premier League season from mid-March until the end of May.
For supporters of the ban, it’s not all fun and games. In the language of the bill, online gambling “often uses manipulative design features, addictive algorithms … while promoting compulsive behaviour leading to financial ruin”.
If enacted, the law would bar any person or entity that “shall offer, aid, abet, induce or otherwise indulge or engage in” real-money online gambling. Offenders would be subject to fines or jail terms of up to three years.
Industry trade groups have slammed the bill, saying it could “strike a death knell” for a sector that employs thousands of Indians and has drawn significant foreign investment. In a letter of protest, the All India Gaming Federation and the Federation of Indian Fantasy Sports said banning “responsible” Indian platforms will simply force players underground, to offshore and unregulated providers.
“Instead of protecting people,” they said, “this bill risks exposing them to fraud, exploitation and unsafe practices.”
Bill also promotes India esports
While cracking down on so-called “money games” the bill also recognises esports as a growing part of healthy gaming culture. Esports are defined as “competitive games of skill played in virtual environments with rules and recognition”.
In 2022, the government recognised esports as a multi-sport event under the Youth Affairs and Sports Ministry, distinct from the broader category of gaming. At the same time, it set up and funded the eSports Federation of India. The new bill would also create a National Esports Authority to promote competitive gaming, regulate casual online social games and create rules for fair play, safety and compliance.
Officials contend that government support of esports will attract foreign investment, create jobs and lead to international tournaments hosted in India.
According to the Times of India, the government’s cabinet has passed the Promotion and Regulation of Online Gaming Bill 2025, which now heads to parliament.
India’s government has introduced a bill that would ban real-money online gambling, citing concerns about addiction, financial hardship and money laundering.