The passage of the Online Gaming Bill 2025 has been hailed by Prime Minister Narendra Modi as a significant step towards establishing India as a global hub for gaming, innovation, and creativity. The Prime Minister emphasized that the bill, officially known as the Promotion and Regulation of Online Gaming Bill, will encourage the growth of esports and online social games while simultaneously safeguarding society from the detrimental impacts of online money games.
PM Modi conveyed his support for the bill via a post on X (formerly Twitter), responding to Union Minister Ashwini Vaishnaw's explanation of the bill's balanced approach, which aims to promote beneficial aspects of online gaming while prohibiting harmful elements for the middle class and youth. The Prime Minister reiterated that the legislation underscores the nation's dedication to fostering a vibrant gaming ecosystem, driving innovation, and nurturing creativity.
The Online Gaming Bill addresses the growing concerns surrounding online money games, particularly their addictive nature and potential for financial fraud and money laundering. The bill explicitly prohibits the operation, facilitation, and advertisement of online money games, seeking to curb the rise of addiction, financial fraud, and money laundering associated with these platforms. It also bans advertisements across all media platforms and prohibits banks and other financial intermediaries from enabling transactions related to these games.
By clearly distinguishing between skill-based activities like esports and real-money gaming, the bill paves the way for increased structure, investment, and legitimacy within the esports sector. The government has pledged to launch schemes and programs to promote esports, signaling its commitment to fostering a thriving esports ecosystem in the country.
Union Minister Ashwini Vaishnaw has emphasized the grave dangers posed by online money gaming, highlighting instances of addiction, financial devastation, and even suicides linked to these games. He also raised concerns about money laundering, terror financing, and misleading celebrity endorsements that lend a false sense of legitimacy to these platforms.
To deter violations, the bill lays out stringent penalties for those who defy its provisions. Offering online money gaming services in violation of the law can result in imprisonment of up to three years, a fine of up to Rs 1 crore, or both. Misleading advertisements of banned games can lead to imprisonment of up to two years, fines of up to Rs 50 lakh, or both. Unauthorized transactions related to banned games can attract imprisonment of up to three years, fines of up to Rs 1 crore, or both. Repeat offenders face even harsher penalties, including a minimum of three years' imprisonment, extendable to five, and fines ranging from Rs 1 crore to Rs 2 crore.
While the bill is aimed at curbing the harmful effects of online money games, there are concerns about its potential impact on jobs and government revenue from taxes. The blanket ban on online money gaming could affect employment in the industry, as well as government revenue from taxes. Several platforms have significant stakes in the Indian sports sponsorship market, particularly cricket, which could also be affected.
