• The Promotion and Regulation of Online Gaming Bill, 2025 was introduced in Lok Sabha on August 20, 2025.  The Bill seeks to prohibit online money games, and promote and regulate certain other online games.

• Prohibition on online money games:  The Bill prohibits offering or aiding online money games and related services.  An online money game is defined as an online game that involves a user paying money or other stakes in expectation of receiving monetary or other enrichment.  This is irrespective of whether the game is based on skill, chance, or both.  Other stakes include credits, coins, and tokens equivalent or convertible to money.  The Bill also prohibits advertising, and facilitating financial transactions for such games.  It empowers the central government to block any information related to online money gaming services from public access.

• Promotion of e-sports and online social games:  The Bill empowers the central government to take steps for recognition and development of e-sports and online social games.  E-sport is defined as an online game that: (i) is played as part of multi-sports events, (ii) is recognised under the National Sports Governance Act, 2025, (iii) has outcome determined solely by factors such as physical dexterity, mental agility, strategic thinking, or similar skills, and (iv) involves organised competitive events conducted in multiplayer format and governed by pre-defined rules.  It may involve payment of registration fees and prize money.  However, it must not involve placing of bets or other stakes, or expectation of any winning out of such stakes.  An online social game means an online game offered solely for recreation, entertainment, or skill development.  It may involve payment of subscription or one-time access fees but must not involve any stakes or monetary gains in return of stakes.

The central government may: (i) create a mechanism for registration of e-sports and online social games, (ii) specify guidelines for conducting e-sports events, (iii) establish training academies for e-sports, (iv) incentivise promotion of e-sport technology platforms, and (v) support initiatives that increase public access to safe social gaming content.

• Authority on Online Gaming:  The central government may constitute an Authority with powers to: (i) determine whether an online game qualifies as an online money game, and (ii) recognise, categorise, and register online games.  The government will prescribe the composition, and terms and conditions for appointments to the Authority.  It may also designate any existing authorities with these powers.

• Search and arrest without warrant:  The Bill empowers authorised officers to enter and search any place without a warrant.  Places include buildings, vehicles, electronic records, and virtual digital spaces (such as emails and social media).  They may also arrest a suspect found during the search without a warrant.  Provisions of the Bharatiya Nagarik Suraksha Sanhita, 2023 will apply in relation to entry, search, and arrest.

• Offences and penalties:  Offering online money gaming services will be punishable with imprisonment for up to three years, a fine up to one crore rupees, or both.  Advertising online money games will be punishable with imprisonment up to two years, a fine up to Rs 50 lakh, or both.  Facilitating financial transactions for such services will be punishable with imprisonment up to three years, a fine up to one crore rupees, or both.  The Bill specifies that offences of offering online gaming services and facilitating financial transactions for such games will be cognisable and non-bailable.

Non-compliance with directions or guidelines issued by the central government or the Authority will be punishable with a civil penalty of up to Rs 10 lakh.  It may also result in: (i) suspension or cancellation of registration, and (ii) prohibition from offering, facilitating, and promoting games for a certain period as notified by the central government.  Such actions will be taken after providing an opportunity for hearing.