by LS Passes Bill Encouraging E-Sports, Social Gaming; Prohibits Harmful Online Money Gaming
New Delhi 20August 2025: The Lok Sabha today passed the Promotion and Regulation of Online Gaming Bill 2025, a landmark legislation aimed at boosting India’s e-sports and online social gaming ecosystem while completely prohibiting harmful online money gaming platforms.
The Bill provides for the establishment of an Online Gaming Authority to ensure policy support, regulatory oversight, and strategic development of the sector. It aims to protect the youth and vulnerable groups from the adverse effects of predatory money-gaming platforms.
Moving the Bill, Electronics and IT Minister Ashwini Vaishnaw highlighted the massive growth of India’s digital sector in the last 11 years, with several start-ups innovating in gaming and technology. However, he warned that money gaming apps have become a serious societal concern, leading to addiction, financial frauds, cheating, and even suicides.
The Minister revealed that at least 32 suicides in the last 31 months were linked to online money gaming addiction. He further stressed that such platforms are also being misused for money laundering and terror financing activities.
Mr. Vaishnaw clarified that the Bill is structured into three key segments:
- E-Sports – to be promoted as a professional competitive sport.
- Online Social Games – encouraged as safe, skill-based, and community-driven platforms.
- Online Money Games – banned due to their exploitative and addictive nature.
The Bill proposes strict penalties for violations: up to 3 years’ imprisonment and a fine of ₹1 crore for first-time offenders, and up to 5 years’ imprisonment and ₹2 crore fine for repeat offenders.
Lok Sabha Speaker Om Birla termed the legislation historic, stating that it addresses rising concerns of suicides, financial losses, and mental health distress linked to money gaming. He appealed to all members to engage in meaningful discussion rather than protest, as many MPs themselves had earlier demanded such a law.
The absence of a legal framework had previously stunted the growth of safe online gaming in India while allowing money-gaming platforms to flourish unchecked. By outlawing them, the Bill not only safeguards families but also creates an environment for innovation, creativity, and digital entrepreneurship in e-sports and social gaming.
With this move, India takes a strong step towards building a safe, secure, and innovation-driven Digital India, ensuring its youth can thrive in healthy digital spaces while being shielded from exploitative practices.
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