Parliament approves Online Gaming Bill 2025, bans real money games

Under the Online Gaming Bill 2025, offenders risk a jail term of 3-5 years and a fine of up to Rs 2 crore.

On Wednesday, August 20, 2025, the Lok Sabha passed the Online Gaming Promotion and Regulation Bill 2025, followed by the Rajya Sabha’s approval on Thursday, August 21, 2025. The law aims to promote e-sports and safe social gaming, while banning harmful money-based gaming to protect Indian youth.

The bill was introduced by Electronics and Information Technology Minister Ashwini Vaishnaw, who highlighted the dangers of online money gaming, such as addiction, fraud, financial ruin, and even suicides.

“E-sports are rapidly gaining prominence and will now receive legal recognition. Online social games like Solitaire, Chess, or Sudoku, played without monetary stakes, will also be promoted for family and friendly interaction,” Vaishnaw said.

Lok Sabha Speaker Om Birla called the legislation important, stressing the need to safeguard people from financial and social harm caused by such games.

Also Read: National Sports Governance Bill 2025 becomes law after President gives her assent.

“They have become a major societal concern due to addiction and financial losses, leading even to suicides. Algorithms are opaque, and families are being devastated. Terror financing and money laundering are also linked,” Vaishnaw added.

Bans all real-money online games

The Online Gaming Bill 2025 imposes a blanket ban on real-money online games such as poker, rummy, and fantasy sports, whether based on skill or chance.

It introduces heavy penalties: Up to 3 years in jail and ₹1 crore fine for operators, repeat offenses carry 3–5 years jail and fines up to ₹2 crore, celebrities promoting such games are also liable for punishment, most offenses are cognisable and non-bailable, and officials can search and arrest without a warrant.

Banks and financial entities are barred from processing transactions related to real-money games, with violations potentially triggering enforcement actions, including platform blocking under the IT Act.

Online Gaming Bill 2025 promotes E-Sports

The Online Gaming Bill 2025 protects against addiction, fraud, money laundering, and terrorist risks. Also, it plans to promote e-sports and safe social gaming.

E-sports are formally recognised as competitive sports, with support for training academies, research centers, incentives, and integration into national sports policy.

Meanwhile, games designed for cultural, educational, or skill-based engagement will be encouraged and are categorised, registered, and supported through awareness campaigns.

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