India’s Online Gaming Bill 2025 Brings Complete Ban on Money Games, Introduces Strict Penalties and Recognises Esports
The Lok Sabha has passed the Online Gaming Bill, 2025, banning all money-based online games due to risks of addiction, illegal fund misuse, and fraud, while officially recognising Esports and promoting safe, value-based gaming.

The Online Gaming Bill, 2025, has been passed by the Lok Sabha. This is a big change for India's digital gaming industry. Because of concerns about gambling addiction, money misuse, and financial fraud, a new law makes all online games that involve real money. The government wants to safeguard people, especially young people, from the risks that come with playing games that involve money. The Bill will now move to the Rajya Sabha for further approval.
One of the most important things about the Bill is that it makes Esports as a sport. Now, the Sports Ministry will develop rules and standards for Esports events, training centers, and gaming platforms. At the same time, the Bill supports the growth of social and educational games that are appropriate for all ages and reflect Indian cultural values.
But all online games that involve money, whether they are based on skills, chance, or a mix of both, will be banned outright.There is no way to launch, advertise, or promote these kinds of games. Banks and payment services won't be able to handle transactions related to money games either. The Information Technology Act, 2000 will block any existing platforms that offer these services.
A new National Online Gaming Authority will be set up to keep an eye on this sector.This group will oversee the industry, classify games into groups, and deal with complaints from users. It will also decide if a certain game is a money game or not.
The Bill has severe penalties. If you run or promote money games, you might go to jail for up to three years and pay a fine of Rs 1 crore. You might get a fine of Rs 50 lakh or two years in prison for advertising these games. People who break the law more than once could get heavier penalties, like up to five years in prison and fines of up to Rs 2 crore.
When introducing the Bill, IT Minister Ashwini Vaishnaw remarked that the major purpose was to protect society while encouraging safe and genuine gaming. He spoke about a number of recent examples of addiction, fraud, and even suicides that were tied to online money games. The government expects that this regulation would protect people while also encouraging the growth of positive gaming in India.
This article is based on information from Business Standard