India’s new online gaming laws can put criminals in prisons for up to five years.
India’s parliament passed a massive bill banning online gambling after government figures showed that businesses stripped 450 million people a year of $2.3 billion.
This ban will affect card games, poker and fantasy sports platforms, including India’s hugely popular homemade fantasy cricket app.
It also leaves the fate of the main sponsors of the Indian national cricket team in question.
Dream11, India’s largest fantasy sports gaming platform, was named the lead sponsor for three years in July 2023, with its logo jumping to Team India Jerseys.
No announcement has been made by the Indian Cricket Committee (BCCI) regarding its main sponsorship.
“If that’s not allowed, we’ll do nothing,” BCCI Chief Devajit Psychia said Friday. “BCCI follows all the policies of the nations constructed by the central government.”
Promotions and regulations for the online gaming bill were passed late Thursday in both chambers of both Houses of Congress, criminals are facing up to five years in prison, with criminals facing up to five years in prison.
Dream 11 said in a statement posted on its website on Friday that “cash games and contests have been cancelled” following the passage of the bill, but urged fans to “continue tuning.”
Other games remained online Friday, with the bill having to be officially ratified by the president before it came into effect.
“The law is designed to curb addiction, financial ruin and social distress. This is caused by a predatory gaming platform that thrives with the misleading promise of rapid wealth,” the government’s statement said.
India’s wider gaming industry is one of the world’s largest markets, but the new laws have cleared exceptions to esports and educational games, saying the government will be promoted as part of the digital economy.
Prime Minister Narendra Modi said the new law “encourages electronic sports and online social games” and “saves society from the harmful effects of online money games.”
The government said almost a third of the world’s most populous countries have wagered money online.
Industry groups have warned that the move could lead players to illegal offshore platforms, as they were urging regulations and taxation rather than blanket bans.
However, supporters of the bill argued that the social costs were too high to allow.
Officials said the rapid spread of gambling platforms has caused widespread financial distress, addiction and even suicide.
The government said it was also linked to scams, money laundering and terrorist financing.
Technology Minister Ashwini Vaishnaw pointed out that the law distinguishes between online “social” games and those played for money.
“We encourage esports to organize competitive video games and promote safe online social and educational games,” read the government briefing notes.
“It clearly separates constructive digital recreation from betting, gambling and fantasy money games that abuse users with false promises of profit.”
