The Union Cabinet on Tuesday approved the Online Gaming Bill to regulate online gaming and crack down on illegal betting. The move comes as digital betting apps and celebrity promotions have been linked to rising fraud cases.
The bill seeks to bring all online gaming platforms under a clear legal framework. It will make betting through digital apps a punishable offence and could also penalise endorsements of unauthorised platforms. Under previous provisions, illegal betting could attract up to seven years in jail along with fines.
India’s online gaming industry is booming and is projected to reach $9.1 billion by 2029. Real-money games alone account for nearly 86% of the market and are estimated at $3.7 billion this year. The new law is expected to provide a formal regulatory structure while curbing illegal and fraudulent operations.
The government has already taken several steps in recent years. Between 2022 and February 2025, over 1,400 illegal gaming and betting sites were blocked. Since October 2023, online gaming winnings are taxed at 30%, and a 28% GST applies to gaming platforms. Offshore operators are now brought under Indian tax rules.
To address addiction and financial risks, the Education Ministry has issued advisories to parents and teachers. The Information and Broadcasting Ministry mandates disclaimers on gaming ads. Meanwhile, the Home Ministry has strengthened cybersecurity with the Indian Cyber Crime Coordination Centre, a national reporting portal, and a toll-free helpline for online fraud.
Officials say the aim is simple: make online gaming safe, accountable, and responsible for all users.