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Regulatory Compliance · 20 September 2026

The Online Gaming Act, 2025: What Gaming Platforms, Payment Processors and Promoters Must Now Stop Doing

A guide for online gaming and fantasy sports operators, payment aggregators, and advertisers navigating India's new ban on real-money online games.

By S&S Co. Advocates & Solicitors · Published 20 September 2026 · Informational content, not legal advice — see our disclaimer

A Blanket Ban, Not a Skill-vs-Chance Test

The Promotion and Regulation of Online Gaming Act, 2025 was introduced on 20 August 2025, passed by Parliament, and received presidential assent on 22 August 2025. It imposes a blanket ban on offering, facilitating or advertising 'online money games' — covering games of skill, chance, or a mix of both — played for stakes with monetary returns, regardless of the skill-vs-chance distinction that had previously shielded some platforms from other regulatory regimes.

Criminal Exposure for Operators, Payment Systems and Promoters

Offering or facilitating a banned online money game is punishable with imprisonment of up to 3 years and/or a fine of up to roughly Rs. 1 crore; banks and payment systems are separately barred from processing transactions linked to such games. Celebrities, influencers and other promoters of banned real-money games face independent criminal exposure — imprisonment and fine — for advertising or endorsing such games, not merely a civil or regulatory penalty.

The New Online Gaming Authority

The Act creates a central Online Gaming Authority empowered to classify games as 'online money game,' 'e-sport,' or 'online social/casual game,' and to register and oversee permitted e-sports and social gaming platforms. This classification determines which side of the ban a given platform actually falls on, making an early, honest self-assessment of a platform's classification an essential first step for any operator in the space.

What Remains Legal

E-sports and online social games without monetary stakes remain legal and can seek registration with the Authority. Existing operators offering real-money formats must audit and unwind those offerings and renegotiate or terminate affiliate and promotional contracts built around them, rather than attempting to continue under a different label while the underlying game mechanics remain unchanged.

Frequently Asked Questions

Does the Online Gaming Act, 2025 still distinguish games of skill from games of chance?

No, not for the purposes of the ban. The Act prohibits offering, facilitating or advertising 'online money games' — covering skill, chance, or a mix of both — played for monetary stakes, regardless of the skill-vs-chance distinction that mattered under earlier regimes.

Can influencers still promote real-money gaming platforms?

No. Promoters of banned real-money games face independent criminal exposure — imprisonment and fine — for advertising or endorsing such games under the Act.

Are e-sports and social gaming apps banned too?

No. E-sports and online social or casual games without monetary stakes remain legal and can seek registration with the new Online Gaming Authority, which is responsible for classifying games into the Act's categories.

References & Further Reading

This article references the following statutory provisions. Readers should always verify current rules, fees and timelines against the applicable statute and rules as amended, since these are revised from time to time.

  1. Promotion and Regulation of Online Gaming Act, 2025, assented to 22 August 2025.
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