3-year jail, ₹1 Cr high-quality: Modi Govt set to ban on-line video games performed with cash; invoice doubtless in Parliament in the present day

Prime Minister Narendra Modi-led Union authorities is all set to ban on-line video games performed with cash. A proposed invoice can be moved within the Lok Sabha in the present day. If handed in Parliament, the transfer would strike a heavy blow to an business that has attracted billions of {dollars} of overseas funding, in keeping with information company Reuters.

The Bill – ‘Promotion and Regulation of Online Gaming Bill 2025’ – cites psychological and monetary hurt which could be brought on by such video games and says that no individual “shall offer, aid, abet, induce or otherwise indulge or engage in” the providing of on-line cash video games and such companies. The ‘List of Government Business on August 20 and 21’ within the Lok Sabha consists of the introduction of the invoice.

Blanket ban on on-line real-money gaming

The proposed legislation, cleared by the Union Cabinet, would impose a blanket ban on all on-line real-money gaming companies, the place customers can play video games after depositing cash within the type of a stake or a wager. According to experiences, the transfer is owing to rising issues about alleged cash laundering by way of these companies.

The 13-page invoice drafted by the Union Ministry of Electronics and Information Technology (MeitY) describes an internet cash recreation as one performed by a person who deposits cash in expectation of successful financial and different enrichment, the information company mentioned. Minister of Electronics and Information Technology Ashwini Vaishnaw is scheduled to maneuver the Bill in Lok Sabha. 

The addictive nature of on-line video games,

“The immersive and addictive nature of online games, particularly with monetary incentives, has led to significant mental health issues among users — especially children, adolescents and young adults,” the ministry mentioned within the proposed legislation.

$9.2 billion by market 2029

“Clinical evidence and field studies have shown a rise in anxiety, depression, sleep disorders, and behavioural problems linked to prolonged gaming.”

The Indian marketplace for such gaming is about to be price $9.2 billion by 2029, enterprise capital agency Lumikai says. At current, the market is price $3.8B, the agency says.

Endorsements by celebrities from cricket, Bollywood, and different advertising and marketing efforts have boosted the enchantment and investor curiosity of actual cash gaming apps.

In a letter to the Union Home Ministry this week, main gaming business our bodies mentioned that the blanket ban would strike a ‘death knell’ for the respectable, job-creating business.

Three-year jail, ₹1 Cr Fine

The authorities will prohibit any individual from providing on-line real-money video games, and failing to conform will end in a jail time period of as much as three years and a penalty of ₹1 crore.

Those selling such platforms, together with social media influencers , might additionally face a jail time period of two years and a penalty of ₹50 Lakh.

“Such games often use manipulative design features, addictive algorithms … while promoting compulsive behaviour leading to financial ruin,” the invoice mentioned.

The authorities, nevertheless, views aggressive e-sports and recreation improvement as a vital driver of the web gaming business and is eager to advertise them through the proposed legislation, the Indian Express mentioned in a report.