The Indian government has reportedly drafted a bill seeking to regulate the online gaming sector. According to reports, the draft bill adopts a two-pronged approach to encourage and establish a regulatory framework for e-sports while banning real-money gaming (RMG) advertising. Penalties for betting on esports tournaments or other such competitive games, whether online or offline, are also said to be outlined. A key provision of the draft reportedly defines and differentiates esports from money games. Here are the most important provisions of the reported bill, summarized in five key points.
Government reportedly seeks to define and regulate esports with proposed bill
1. According to a Moneycontrol report, the draft bill, titled the Online Gaming Promotion and Regulation Act, 2025, was proposed by the Ministry of Electronics and Information Technology (MeitY). Citing a copy of the bill seen by the publication, the report said the draft was intended to promote competitive gambling while restricting money games, also known as games of chance. The bill has yet to be submitted to both houses of parliament for consideration.
2. The proposed bill reportedly proposes the establishment of a “National Esports Authority.” The agency is said to be tasked with promoting and regulating the competitive online gaming space. It could reportedly “set rules for fair competition, standards and compliance.” The report states that the agency can also act as a law enforcement agency to ensure that e-sports competitions are held within the framework of the law.
Citing unnamed people familiar with the matter, Moneycontrol said the regulator will coordinate with state governments and endorse sports federations that include esports competitions within their policy ambit.
3. The draft bill is also said to focus on clearly defining esports and money games to differentiate between games of skill and games of chance. It is worth noting that the latter is prohibited and considered online gambling. It reportedly defines esports as “competitive skill games played in a virtual environment with rules and approvals.” RMG, on the other hand, is defined as “a game played online with stakes or bets of money or money’s value.”
The report states that the bill highlights that there are some gaps in the implementation of the law due to the lack of legal definitions of the two. The draft is said to help align India’s online gaming framework with international standards.
According to reports, the draft mentioned: “The development of e-sports can attract large domestic and foreign investments, stimulate job creation, and make India a global center for competitive gaming.”
4. According to reports, another important provision mentioned in the proposed bill prohibits the promotion of money games in any form and channel. According to the report, “No one may advertise, promote or facilitate any money gaming or gambling activity in any form, including through online platforms or intermediaries.” Notably, the proposed rules will also include influencers who create content about such apps and games within its scope.
5. Additionally, it is said to include the legal consequences of betting on eSports events. According to the publication, the bill mentions that “any person found promoting or engaging in esports or social video game betting shall be liable to fines and imprisonment.” This is an important provision because previously, this was considered a gray area in the law, leading to ambiguity in enforcement.
