India’s booming real-money gaming industry is staring at an uncertain future as the government pushes ahead with a sweeping crackdown on online gaming. The Promotion & Regulation of Online Gaming Bill, 2025 that proposes to prohibit all money-based online games - irrespective of whether they involve skill or chance - was passed in the Lok Sabha today. 

The bill, tabled by Union IT Minister Ashwini Vaishnaw, was cleared by the Union Cabinet on Tuesday, 20 August.  

If passed in the upper house of the Parliament, the bill will outlaw all money-based online games, ban advertisements promoting such platforms, and bar banks and financial institutions from facilitating such transactions. 

The proposed law prescribes imprisonment or fine, or both, for those offering or advertising them, with violators potentially facing up to three years in jail, according to the draft formulated by the ministry of electronics and information technology (Meity).

Covering a wide spectrum, from fantasy sports to poker and card game apps, the bill will potentially impact major players like Dream11, Games24x7, Winzo, GamesKraft, Mobile Premier League (MPL), and My11Circle, among others.

Drawing a sharp distinction between e-Sports/social gaming and money-based gambling-style games, the bill links the latter to wider risks such as fraud, money laundering, tax evasion, and even terror financing.

The proposed legislation could have a significant impact on India’s booming real-money gaming industry, pegged at approximately USD 3.5 billion in revenue, with the government arguing that the move is essential to establish a uniform regulatory framework for the fast-growing but contentious sector.