Dream11, Winzo, My11Circle At Risk As Online Gaming Bill 2025 Targets Money-Based Games

The Union Cabinet has approved the Promotion & Regulation of Online Gaming Bill, 2025, paving the way for what could be the most sweeping crackdown yet on India’s online gaming sector. If passed in Parliament, the law will outlaw all real-money online games – whether based on skill or chance – ban advertisements for such platforms, and bar financial institutions from processing payments. Violators may face up to three years in jail and heavy fines. Also Read: After MPL And PokerBaazi, Games24x7 Cuts Jobs As Govt Ban Hits Real-Money Gaming Sector

Real-Money Gaming at Risk

India’s online gaming industry, valued at $3.7 billion and projected to cross $9.1 billion by 2029, faces an uncertain future. Nearly 86% of current revenues come from real-money formats like fantasy cricket and rummy. Market leaders such as Dream11, Games24x7, Winzo, GamesKraft, KheloFantasy, My11Circle, and 99Games now face an existential crisis if the bill is passed in its current form. Also Read: India Passes Bill to Prohibit Real-Money Gaming Apps: What The Bill Means For Dream11, MPL And Others

According to the draft, all money-based games will be prohibited, regardless of whether courts have previously classified them as skill-based. Banks and payment gateways will be banned from processing transactions linked to such platforms. Advertising and promotional campaigns will also be made illegal. Players will still be able to access free-to-play or subscription-based games, but wagering in any form will not be allowed.

Industry Voices Concerns

The All India Gaming Federation (AIGF) has written to Union Home Minister Amit Shah, calling the proposal a “death knell” for a legitimate, job-creating industry. The federation argued that a blanket ban would push millions of Indian players toward illegal offshore gambling operators, exposing them to fraud and lack of consumer protection.

Industry insiders echoed similar concerns, warning that the move could wipe out over one lakh jobs, kill investor confidence, and weaken India’s digital economy. They highlighted that the sector has attracted $2 billion in FDI between 2021 and 2022, contributes more than Rs 25,000 crore in annual taxes, and supports a wide network of gaming engineers, animators, and designers.

From Taxation to Prohibition

The bill marks a shift in the government’s approach. In recent years, authorities imposed a 28% GST on gaming revenues and a 30% tax on net winnings, while also criminalising unauthorised betting under the Bharatiya Nyaya Sanhita. Over 1,400 illegal sites have been blocked since 2022. Now, instead of regulating, the government is moving toward an outright ban.

Industry stakeholders say the solution lies in progressive regulation, not prohibition. “What India needs is regulation, not a ban. A smart, progressive framework that distinguishes games of skill from chance, ensures user safety and grievance redressal, and secures tax revenue,” one insider said.