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India’s parliament approved a bill on Thursday to ban online money-based gaming, a move that threatens the future of the country’s fast-growing fantasy gaming industry. The government, led by Prime Minister Narendra Modi, has raised concerns about the financial risks and potential for addiction associated with these games.
The sudden prohibition has caught industry players off guard. Backed by venture capital firms like Tiger Global and Peak XV Partners, the sector was projected to reach a valuation of $3.6 billion in India by 2029. Many app-based companies, which have attracted billions in foreign investment, fear immediate job cuts and a complete shutdown.
The bill outlaws “harmful” online betting services, advertisements, and related financial transactions, citing concerns over psychological impacts. “It is the responsibility of the government and parliament to act decisively against social issues that keep emerging,” IT Minister Ashwini Vaishnaw stated in parliament on Thursday.
The upper house passed the Promotion and Regulation of Online Gaming Bill 2025 after the lower house approved it earlier this week. The final step is for the president to sign the bill into law, a formality that is expected to quickly follow, although no official date has been set.
Industry insiders are discussing plans to challenge the ban in the Supreme Court, arguing it was implemented without sufficient consultation and highlighting that some games—like poker—are skill-based and should be exempt. Two sources familiar with the situation said this is under consideration.
Popular apps such as Dream11 and Mobile Premier League, which use endorsements from prominent Indian cricketers and marketing campaigns, have significantly boosted the sector’s visibility. These platforms allow users to build virtual cricket teams based on real players, earning points according to actual match stats.
On Thursday, Dream11’s app advertised that it was possible to create a team for as little as INR 29 and compete to win a prize pool, which is distributed among thousands of winners, with the top payout reaching INR 300,000 ($3,438).
Dream11 is valued at $8 billion, while Mobile Premier League is worth around $2.3 billion, according to PitchBook. Other notable gaming platforms in India include Games24X7, Zupee, and WinZO, which offer card games like rummy and poker.
Under the new legislation, anyone participating in money-based gaming after the law takes effect could face up to three years in prison and hefty fines.
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