• India's Lok Sabha passes the Promotion and Regulation of Online Gaming Bill, 2025, banning online money games.
• The bill is aimed at protecting youth from the risks associated with online gambling.
• The legislation threatens established gaming apps, valued at billions, leading to fears of job losses.
• Regulatory Authority to be created for overseeing online gaming and ensuring responsible use.
• Industry experts consider legal action against the government citing lack of consultation.

The Indian parliament has passed the Promotion and Regulation of Online Gaming Bill, 2025, which aims to foster e-sports and legitimate online social gaming while banning all forms of online money games. According to the government, this legislation is necessary to combat issues related to financial harm and addiction associated with online betting, including compulsive gaming and fraud. The bill describes itself as "striking a balanced path—encouraging innovation while firmly prohibiting harmful online money games," according to IndiaTimes and IndiaTimes.

The legislation includes provisions for establishing a dedicated regulatory authority to oversee the sector and ensure responsible gaming practices. This authority will handle categorization of games, registration, and complaints, as stated in the bill's key sections. It also aims to protect vulnerable populations, particularly youth, from the detrimental psychological effects of online betting, with explicit guidelines for how e-sports and social gaming will be encouraged while banning money games, according to IndiaTimes and Dawn.

This abrupt ban threatens the survival of popular apps such as Dream11 and Mobile Premier League, which are now facing potential shutdowns due to this legislation. Analysts indicate that this legal move could lead to significant job losses and a halt to operations within a sector that was projected to grow to $3.6 billion by 2029. Industry executives have expressed their dismay, indicating they might seek to challenge the legislation in court, alleging unexpected impacts without appropriate industry consultation, according to Dawn and South China Morning Post.

The bill spells out severe penalties for offences related to the facilitation of money games, including imprisonment for up to three years and fines as high as Rs 2 crore. Federal IT Minister Ashwini Vaishnaw emphasized the government's responsibility to act against social evils that perpetuate financial harm, articulating a clear stance against online gambling as part of public policy, as noted in South China Morning Post and Dawn.