India Bans Online Gambling with 5-Year Prison Terms

India has implemented a comprehensive ban on online gambling, including fantasy sports and card games, with prison terms up to 5 years. The law targets platforms that caused financial losses for millions while exempting e-sports and educational games.
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India's Sweeping Ban on Online Gambling

India's parliament has passed landmark legislation that imposes a comprehensive ban on online gambling activities, with offenders facing up to five years in prison. The new law, known as the Promotion and Regulation of Online Gaming Bill, criminalizes the offering, promotion, and financing of online games involving monetary transactions.

Impact on Fantasy Sports and Gaming Industry

The ban specifically targets platforms offering card games, poker, and fantasy sports, including India's immensely popular fantasy cricket applications. These platforms, particularly fantasy cricket apps where users create virtual teams using real cricket players' names, have become a multi-billion dollar industry in the country.

According to government statistics, approximately one-third of India's population has lost money through online gambling platforms, with companies reportedly extracting $2.3 billion annually from 450 million users. The legislation aims to address what authorities describe as "addiction, financial ruin, and social distress caused by predatory gaming platforms that thrive on misleading promises of quick wealth."

Exceptions and Industry Response

The new law creates exceptions for e-sports and educational games, which the government intends to promote as part of India's digital economy. Prime Minister Narendra Modi stated that the legislation will "encourage e-sports and online social games while saving our society from the harmful effects of online money games."

Industry groups had advocated for regulation and taxation rather than a complete ban, warning that the move could drive users to illegal offshore platforms. Major gaming companies like Dream11, India's largest fantasy sports platform and current sponsor of the national cricket team, have already begun discontinuing cash-based games and contests.

Global Context and Social Impact

India joins several other nations that have implemented restrictions on online gambling. The government cited connections between gambling platforms and serious issues including fraud, money laundering, and terrorism financing. Officials also highlighted widespread financial distress, addiction problems, and even suicide cases linked to online gambling.

The legislation represents one of the most comprehensive regulatory approaches to online gambling globally and is expected to significantly impact India's gaming industry, which ranks among the largest markets worldwide.

Mei Zhang
Mei Zhang

Mei Zhang is an award-winning environmental journalist from China, renowned for her impactful sustainability reporting. Her work illuminates critical ecological challenges and solutions.

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