Podcast | Will India’s Real-Money Gaming Ban Pass Constitutional Test?

Rapid Summary

• The Government of India enacted the Promotion and Regulation of Online Gaming Bill, 2025, with presidential assent on August 22.
• The legislation provides a legal framework for regulating sectors such as e-sports and social gaming while imposing a blanket ban on money-based online games.
• The rationale behind the prohibition cites concerns over “serious social, financial, psychological, and public health harms” among vulnerable groups, especially youths and economically marginalized communities.
• Multiple petitions have been filed in the Karnataka High Court challenging the constitutionality of the law. These petitions question whether banning money-based gaming is consistent with judicial precedents that distinguish between games of skill and chance.
• The Karnataka HC has requested a response from the Union government regarding an interim plea to stay submission of this legislation.

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Indian Opinion Analysis

India’s rapidly evolving online gaming industry is at a critical juncture following enactment of this law.while addressing concerns over addiction-related harms among youth is commendable, a blanket restriction raises questions about its ability to hold up against constitutional review. Several aspects need scrutiny: First, judicial precedents historically differentiate between games involving skill (constitutional) and those purely relying on chance (often regulated). This distinction might conflict directly with provisions in the new legislation.

Secondly, prohibitions targeting specific platforms could impact economic opportunities for technology startups operating in India’s burgeoning e-sports sector-a global growth area. On balance, policymakers must weigh societal benefits against perhaps stifling innovation or employment within this domain. As court proceedings unfold, clarity around legal definitions will shape future regulatory strategies.

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