New online gaming rules kick in from today

NEW DELHI: A new era in online gaming begins from Wednesday with new law — that prohibits money games — coming into play. The Promotion and Regulation of Online Gaming Act 2025, which was passed by the Parliament in Aug, will become effective from Oct 1.

The gaming industry, which earned nearly all its revenue from money play before the new law banned it, has pivoted to various new areas in line with the legislation that was brought in to control the spate of suicides across many states by players who lost money. Also, govt felt that online money platforms were being used for illegal practices such as money laundering and terror financing.

IT minister Ashwini Vaishnaw has said that while money games are moving out, the industry still has high potential with govt’s focus on promoting eSports and social games.

The minister had earlier said that online money gaming had become a serious social and public health issue, with proven significant negative impact on society, as he emphasised that eSports and social gaming will help India emerge as a global game development hub.

“We have observed instances of money laundering as well as terror support. And that’s why we have kept it.... This was clearly visible to the industry also. Had they taken good and effective steps to prevent the harm, obviously things would have been different,” the minister had told TOI. Top gaming companies such as Dream11, Games24x7, MPL, and WinZO have since discontinued money games and have moved into new areas for audience connect.