If you are/know someone who puts their hard-earned/not-so-hard-earned money on online gaming platforms, waiting for it to get doubled by skill or chance, the recent law passed by the Indian Government- Online Gaming Act on Aug 22, 2025, regarding online gaming involving money is putting a hard stop to it.

The firm stance taken by the Indian government against the rising menace of online money gaming, enacting a comprehensive law that bans all forms of money games on online platforms across the country. As an anti-piracy organization dedicated to safeguarding digital rights and financial security, we fully endorse this crucial legislation aimed at protecting millions of users from fraud, exploitation, and financial harm.

Here we are, decoding the law and sharing the key highlights of the Promotion and Regulation of Online Gaming Act, 2025:

Complete Ban on Online Money Games:

The Online Gaming Act broadly prohibits every online money game, regardless of whether it is based on skill or chance. If a game involves staking money with the hope of winning an increased return, it falls under the ban. This strict approach is vital to shut down countless fraudulent apps and platforms that masquerade as legitimate skill games but exploit unsuspecting users.

Nationwide Applicability and Extra-territorial Reach:

The Online Gaming Act applies throughout India, covering both domestic operators and those offering games from abroad, targeting Indian users. This extraterritorial jurisdiction emphasizes the government’s commitment to controlling illegal online gaming on all fronts.

Establishment of an Online Gaming Authority:

The Online Gaming Act mandates the creation of a national-level regulatory body to classify games into “online money games” or “social games.” This authority will register legitimate games, providing clarity and further preventing misuse.

Prohibition of Advertising and Promotion:

To choke off the flow of new users to illicit platforms, advertisements for online money games are banned outright. Payment gateways are barred from processing transactions related to such platforms, cutting off financial lifelines that fund these often shady operations.

Severe Penalties to Deter Offenders:

The legislation includes stringent punishments for violators of Online Gaming Act:

• Operators facilitating or offering online money games face up to 3 years of imprisonment and fines up to ₹1 crore.
• Repeat offenders may be subject to more severe penalties, including imprisonment for up to five years and fines reaching up to two crore rupees. Violations under key provisions are classified as cognisable and non-bailable offences, meaning that police can arrest without a warrant, and bail is not granted as a matter of right.
• Financial intermediaries processing payments for such games can be similarly punished.
• Influencers, celebrities, or promoters endorsing these platforms risk up to 2 years in jail and fines up to ₹50 lakh.

These measures are a strong deterrent designed to dismantle the entire money-game ecosystem, right from operators to promoters.

Empowerment of Authorities to Block Unlawful Platforms:

Under the Information Technology Act, 2000, authorities will have the power to block access to illegal gaming websites and apps, preventing users from accessing harmful content.

Why This Online Gaming Act Matters from a Consumer Protection Standpoint

Protecting Users from Financial Exploitation: The explosive growth of online money gaming platforms has resulted in millions falling prey to gambling addiction, scams, and loss of hard-earned money. Around 45 crore people in India are negatively affected by online money games.

The Ministry of IT and Communications highlighted that even the World Health Organization classifies “gaming disorder” as a recognized condition, characterized by compulsive behavior and mental health decline. The intense addiction to online money games has tragically led to cases of suicide, with Tamil Nadu alone reporting 47 suicides linked to online gaming addiction between 2019 and 2024. By banning money-based betting under the guise of gaming, the law shields vulnerable individuals from these exploitative schemes.

Cracking Down on Fraud and Money Laundering: Illegal online gaming often serves as a front for large-scale money laundering and financial fraud where people have been losing Rs 20,000 crore per year in online gaming. This online gaming act equips authorities with the tools and legal backing to dismantle these fraudulent networks effectively.

Stopping the Grey Market for Digital Transactions: The ban on advertising and cutting off payment gateways prevents these platforms from operating openly, disrupting their revenue channels and reducing their reach.

Upholding Ethical Standards and Social Responsibility: Penalizing influencers and celebrities involved in promoting illegal games fosters accountability and discourages glamorization of gambling culture.

Ensuring Fair Play in the Gaming Industry: By clearly distinguishing “money games” from “social games,” the Act encourages the growth of legal, skill-based games and esports without the taint of illegal betting or gambling.

The government’s Online Money Gaming Act represents a landmark victory for digital security, consumer rights, and the fight against cyber exploitation. It reflects a bold and necessary move to clamp down on the flourishing yet hazardous ecosystem of online money games. Following this, Dream11 has ceased all real money gaming operations following the passage of the Promotion and Regulation of Online Gaming Bill, 2025, since about 90-95% of their revenue came from money-based contests. They have shifted focus to free-to-play, social gaming formats complying with the new law.

As an anti-piracy company committed to protecting users and maintaining the integrity of the digital environment, we commend the legislation and urge its strict implementation. Together, with vigilant enforcement and responsible participation, India can pave the way towards a safer, fairer online gaming landscape free from the shadows of illegal money games.

To know how we can protect your content, contact us.

Credits: Sri Vasavi Devi (Representative from BLOCK X)