Online Gaming Act 2025: India Bans Real-Money Gaming With Effect From May 2026
- Kaustav Chowdhury

- 3 days ago
- 2 min read
India's Promotion and Regulation of Online Gaming Act, 2025 (PROGA), which received Presidential assent on August 22, 2025, came into full force on May 1, 2026, following the notification of the Online Gaming Rules, 2026, by the Ministry of Electronics and Information Technology (MeitY) on April 22, 2026. The Act imposes a comprehensive ban on all forms of online money games in India, regardless of whether the game involves skill, chance, or a combination of both.
What the Act Prohibits
The scope of the ban is sweeping. The Act prohibits the offering, operating, advertising, and promotion of any online game where money or monetary equivalent is staked, wagered, or used as entry fees with the possibility of winning money. This applies equally to games of skill (such as fantasy sports and poker) and games of chance (such as rummy with real stakes and casino games). Banks and financial institutions are barred from processing payments related to banned online money gaming platforms. The Act also prohibits the facilitation of such gaming, capturing intermediaries and payment processors within its enforcement net.
Impact on Major Platforms
The practical impact has been immediate and severe. Dream11, India's largest fantasy sports platform valued at approximately USD 8 billion, shut down its real-money gaming operations entirely. CEO Harsh Jain informed employees that there was no legal pathway to continue operations once the law took effect. Other major platforms including Mobile Premier League (MPL), Zupee, WinZO, Games24x7, and PokerBaazi also suspended their real-money operations following the law's commencement.
The New Regulatory Framework
The Act establishes the Online Gaming Authority of India (OGAI), headquartered in Delhi, as an attached office of MeitY. The OGAI is responsible for regulating permissible forms of online gaming, which the Act classifies into two categories: e-sports (competitive skill-based gaming without monetary stakes) and social games (casual gaming without monetary involvement). The OGAI will issue licences, monitor compliance, and enforce penalties. The framework draws a clear regulatory distinction between permitted gaming activities and prohibited money games.
Penalties and Enforcement
The Act provides for significant penalties for violations. Operating a banned online money game can attract imprisonment and fines, with enhanced penalties for repeat offenders and for those who target minors. Advertising or promoting banned games also carries penalties. The Act empowers the government to direct internet service providers and app stores to block access to platforms that continue to offer banned services. Enforcement coordination involves MeitY, state police authorities, and financial regulators.
Key Takeaways
The Promotion and Regulation of Online Gaming Act, 2025, came into force on May 1, 2026, banning all online money games in India. The ban covers games of skill, chance, and hybrid formats alike; the distinction between skill and chance is no longer relevant for regulatory purposes. Dream11 and other major real-money gaming platforms have shut down their staking operations. The Online Gaming Authority of India (OGAI) has been established to regulate permissible e-sports and social gaming. Banks and payment processors are prohibited from facilitating transactions for banned platforms. The Act represents a decisive policy shift from the earlier position where state-level regulation and judicial interpretations allowed many real-money gaming platforms to operate.

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