President Droupadi Murmu on Friday approved the Promotion and Regulation of Online Gaming Bill, 2025, which had recently cleared both Houses of Parliament — the Lok Sabha on Wednesday and the Rajya Sabha on Thursday. The legislation completely prohibits the offering, running, or enabling of online money-based games.
While the law seeks to curb money gaming services, advertisements, and related financial dealings, it simultaneously aims to encourage e-sports and online social games. Officials clarified that penalties will apply only to operators, advertisers, promoters, and financiers of such games, while individual players will not be punished.
To boost the gaming ecosystem, the government will establish a dedicated framework under the Ministry of Youth Affairs and Sports, recognising e-sports as a legitimate competitive sport in India. Online social games will also be actively promoted under this policy.
The Bill addresses the negative impacts of money gaming, such as addiction, financial distress, and severe consequences like suicides, along with concerns about money laundering and terror financing.
Those found guilty of offering or facilitating online money games could face up to three years in prison and/or fines of up to ₹1 crore. Advertising these games may result in two years’ imprisonment and/or fines of up to ₹50 lakh, while handling financial transactions linked to money gaming can also lead to three years’ jail and/or a ₹1 crore fine.
Repeat offenders will face harsher punishments, including three to five years in jail and fines up to ₹2 crore. Certain violations have been categorised as cognisable and non-bailable offences.
The law also empowers the central government to authorise officers with the ability to investigate, search, seize property, and even arrest without a warrant in specific cases. The government is expected to soon announce the date from which the Act will come into force.
