In a significant move to regulate the burgeoning online gaming industry, the Indian government has passed 'The Promotion and Regulation of Online Gaming Bill, 2025'. This legislation comes in response to growing concerns regarding money laundering and terror financing linked to real-money gaming entities, IT and Electronics Minister Ashwini Vaishnaw said.
The government had observed alarming trends, including substantial financial losses leading to tragic outcomes like suicides, which had become prevalent across the nation, Vaishnaw informed Parliament.
Vaishnaw's highlighted an issue that has plagued the online gaming sector -- self-regulation. He expressed disappointment over the industry's failure to implement effective measures to safeguard players from the dangers of addiction and financial ruin.
“We saw news of families committing suicides because of losses they made in online money games,” he noted, pointing towards a visible societal impact that the gaming industry could no longer ignore.
The minister was unambiguous about the government's stance, indicating that the bill aims not just at curbing harmful practices but also at fostering a healthy environment for gaming.
He reassured stakeholders that the gaming industry would continue to thrive post-regulation, particularly in sectors like e-sports and online social games, which are viewed as beneficial to society.
Activities such as Sudoku and chess are among the traditional games that are set to receive promotion as part of the new regulatory framework.
Interestingly, this move has garnered bipartisan support, with MPs from all political parties advocating for strict action against real-money gaming operations. Vaishnaw emphasised the widespread consensus on the need for regulatory measures, stating, “Practically every MP from every party... has been asking for action on it because it's visible in society today.”
The unified political stance underscores the urgency with which the government is addressing the associated risks of online gaming.
Concerns about the potential decline of investments in the gaming sector, which was previously viewed as a sunrise industry, were addressed by the minister. He expressed confidence that investments would continue to flow into segments of the gaming industry that are aligned with the new regulations.
The bill includes provisions for establishing an authority to promote e-sports and online social gaming, which suggests a commitment to nurturing these areas while ensuring consumer protection.
Moreover, the issue of illegal offshore gaming applications has been a persistent challenge for regulators. Vaishnaw affirmed that the new legislation aims to counteract the proliferation of such platforms by placing legal liabilities on financial transactions associated with these illegal games.
The government’s enforcement actions against these apps will continue, as part of a broader strategy to protect consumers and maintain the integrity of the gaming industry, he said.
The government had observed alarming trends, including substantial financial losses leading to tragic outcomes like suicides, which had become prevalent across the nation, Vaishnaw informed Parliament.
Vaishnaw's highlighted an issue that has plagued the online gaming sector -- self-regulation. He expressed disappointment over the industry's failure to implement effective measures to safeguard players from the dangers of addiction and financial ruin.
“We saw news of families committing suicides because of losses they made in online money games,” he noted, pointing towards a visible societal impact that the gaming industry could no longer ignore.
The minister was unambiguous about the government's stance, indicating that the bill aims not just at curbing harmful practices but also at fostering a healthy environment for gaming.
He reassured stakeholders that the gaming industry would continue to thrive post-regulation, particularly in sectors like e-sports and online social games, which are viewed as beneficial to society.
Activities such as Sudoku and chess are among the traditional games that are set to receive promotion as part of the new regulatory framework.
Interestingly, this move has garnered bipartisan support, with MPs from all political parties advocating for strict action against real-money gaming operations. Vaishnaw emphasised the widespread consensus on the need for regulatory measures, stating, “Practically every MP from every party... has been asking for action on it because it's visible in society today.”
The unified political stance underscores the urgency with which the government is addressing the associated risks of online gaming.
Concerns about the potential decline of investments in the gaming sector, which was previously viewed as a sunrise industry, were addressed by the minister. He expressed confidence that investments would continue to flow into segments of the gaming industry that are aligned with the new regulations.
The bill includes provisions for establishing an authority to promote e-sports and online social gaming, which suggests a commitment to nurturing these areas while ensuring consumer protection.
Moreover, the issue of illegal offshore gaming applications has been a persistent challenge for regulators. Vaishnaw affirmed that the new legislation aims to counteract the proliferation of such platforms by placing legal liabilities on financial transactions associated with these illegal games.
The government’s enforcement actions against these apps will continue, as part of a broader strategy to protect consumers and maintain the integrity of the gaming industry, he said.
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