The Indian Parliament passed the Promotion and Regulation of Online Gaming Bill, 2025, marking a major step in regulating the fast-growing digital gaming sector. Speaking to India TV, Union Minister for Electronics and Information Technology Ashwini Vaishnaw highlighted that the online gaming industry consists of three main segments, with the new law designed to promote beneficial segments while imposing strict curbs on harmful ones.

E-sports recognition and promotion:
E-sports, described as competitive digital sports requiring strategy, skill, and coordination, will now receive legal recognition under the new legislation. A dedicated authority, similar to the Sports Authority of India, will be set up to regulate, monitor, and promote E-sports across India. This move is expected to enhance professional tournaments, boost careers, and encourage international participation.

Support for online social gaming:
The second segment, online social games like Sudoku and chess, will also be encouraged. These platforms are considered educational and recreational, providing users with entertainment, learning opportunities, and social interaction without significant financial risk.

Crackdown on online money gaming:
Online money gaming, which involves financial stakes, has raised serious concerns regarding addiction, financial losses, and social harm. According to Minister Vaishnaw, an estimated 45 crore Indians have been affected, and middle-class families have lost nearly Rs 20,000 crore due to online money gaming. Lawmakers across the country have repeatedly raised concerns about the issue, citing cases of addiction and even suicides linked to monetary ruin.

The bill’s framework distinguishes between beneficial and harmful gaming, aiming to support innovation and healthy competition while protecting vulnerable users. The government intends to impose strict regulations on money gaming platforms, including those operating from offshore jurisdictions, to address challenges of cross-border regulation and interstate inconsistencies.

Why the law was needed:
The unchecked growth of online money gaming posed risks to individuals, families, and society. Minister Vaishnaw emphasized that while digital gaming creates jobs, fosters innovation, and contributes to economic growth, a structured legal framework is essential to ensure responsible gaming practices.

By promoting E-sports and skill-based social games while curbing money gaming, the Online Gaming Bill 2025 aims to strike a balance between economic opportunities and societal safety, ensuring that India’s booming digital gaming industry grows sustainably.

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