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Home National & International

₹23,000 Crore Industry Wiped Out as India Bans Real-Money Gaming

Lagatar News by Lagatar News
August 22, 2025
in National & International
₹23,000 Crore Industry Wiped Out as India Bans Real-Money Gaming
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Lagatar24 Desk

New Delhi: India’s Parliament has passed the Promotion and Regulation of Online Gaming Bill, 2025, dealing a massive blow to the ₹23,000 crore real-money gaming industry. The law, which now awaits presidential assent, bans all real-money online games, forcing major companies to suspend operations and leaving thousands of employees facing layoffs.

Industry Fallout

Leading platforms including Dream Sports (Dream11), Mobile Premier League (MPL), Zupee, Gameskraft, and Probo have halted their real-money services. MPL has stopped accepting deposits and will begin processing withdrawals from August 22, while Zupee has suspended all paid games but continues to offer free-to-play titles such as Ludo Supreme. Dream Sports confirmed it will completely shut down real-money operations once the ban is enforced, with reports suggesting layoffs have already begun.

Government’s Rationale

The government said the law was necessary to address growing concerns over addiction, financial distress, manipulation, and underage participation in online gaming. The legislation introduces strict penalties, including imprisonment of up to three years and fines of up to ₹1 crore. A new regulatory body will oversee esports and social gaming, while real-money formats are prohibited.

Wider Implications

For users, the ban means an immediate end to fantasy sports and cash-based gaming. For employees in affected startups, uncertainty looms as layoffs ripple across the sector. Cricket and other sports, heavily backed by sponsorship deals from real-money gaming firms, are expected to see significant financial downgrades. Industry observers say valuations of gaming companies will take a sharp hit as India pivots from overnight success stories to stringent regulation.

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