On August 21, 2025, India’s parliament passed the Promotion and Regulation of Online Gaming Bill 2025, banning online games played with money, as reported by Reuters. The legislation, which awaits presidential approval, targets “harmful” gaming services, citing financial and psychological risks, and threatens the survival of a $3.6 billion fantasy gaming industry backed by investors like Tiger Global and Peak XV Partners.
The bill prohibits online money gaming platforms, their advertisements, and related financial transactions, with penalties including up to three years in prison and fines. Federal IT Minister Ashwini Vaishnaw defended the move, stating, “It is the duty of the government to take strict action against social evils.” The sudden ban, passed by both houses of parliament this week, has sparked concerns about job losses and the collapse of app-based businesses like Dream11 and Mobile Premier League.
India’s only listed gaming firm may write down the value of its investment in a popular poker game as a ban on online betting apps looks imminent in the country https://t.co/bnN8K7xlhS
— Bloomberg (@business) August 21, 2025Valued at $8 billion, Dream11 allows users to create virtual cricket teams for as little as INR 29, with prize pools up to INR 300,000 ($3,438). Mobile Premier League ($2.3 billion), Games24X7, Zupee, and WinZO also face existential threats. The industry, projected to reach $3.6 billion by 2029, has attracted billions in foreign investment and endorsements from Indian cricketers, boosting its popularity.
Gaming companies are consulting lawyers to challenge the ban in the Supreme Court, arguing it lacks consultation and unfairly targets skill-based games like poker. Two industry sources told Reuters that firms are highlighting the ban’s economic impact and seeking exemptions for certain games. The move could disrupt a thriving sector that employs thousands and engages millions of users.
The ban reflects India’s growing regulatory scrutiny of digital platforms, balancing consumer protection with economic innovation. As companies prepare legal challenges, the outcome will shape the future of online gaming in India, a key market for global investors and tech firms.
