IMGL Magazine December 2025

REAL-MONEY GAMING IN INDIA

transferring funds in connection with online money games, as elaborated upon subsequently.

Sports, the nodal ministry in charge of e-sports, must be present at such a determination and concur with the classification. 33 Registration certificates are liable to be cancelled in certain instances, such as material change in the nature of the e-sport, violation of directions or codes issued by the OGAI, amongst others. 34 It may also be suspended in certain scenarios, such as where an inquiry is pending against the operator. 35 It is unclear whether foreign operators are eligible for registration, and clarity in this regard is sought. There is at present no specific prohibition under the Act on offering unregistered e-sports which are not in the nature of online money games. However, the OGAI may subsequently issue such prohibitions through directions, orders or codes of practice, which may attract penalties.

(ii)

E-Sports:

The Act seeks to recognize and regulate e-sports, which has been largely self-regulated in India until now. The Act enables the Central Government to promote and develop the industry through the formulation of guidelines for its conduct, establishment of training academies, and introduction of e-sports within sports policy initiatives. 28 Online games must meet certain criteria to be designated as such under the Act, including recognition under the newly introduced National Sports Governance Act, 2025 (“NSG”) and registration with OGAI constituted under the Act. 29 Accordingly, the Act contemplates dual recognition under two legislations. The NSG introduces new legislation providing for sports to be ‘designated’ by the Central Government, and for federations to be established as governing bodies in relation to designated sports. This could pave the way for the institutionalisation of e-sports. Additionally, online games seeking recognition as e-sports must be part of competitive events and have outcomes determined by physical dexterity, mental agility, strategic thinking, amongst others. Such games must not involve the placing of bets, wagers or other stakes, including any winning out of such bets, wagers or other stakes, 30 however they may involve the payment of participation fees, and performance-based prizes.

(iii)

Online social games (“OSG”):

The Act seeks to recognize and regulate OSGs, and facilitate their development through initiatives such as the creation of programs to support their development, and undertaking awareness programs to highlight positive uses. 36 Online games must meet certain criteria to qualify as OSGs. They must not involve stakes or winnings in return for money or other stakes, though they may be accessed through a subscription or one-time access fee, as long as such payment does not amount to a wager/stake. They must be offered solely for entertainment, recreation or skill-development. 37 It is unclear whether this criteria is exhaustive, and hence whether any social games with additional features, such as real money prizes, would still qualify as online social games under the Act.

Registration requirements

The Draft Rules provide for e-sports to be registered with the OGAI, which will issue a Certificate of Registration valid for up to five years upon verifying compliance with these requirements. 31 The OGAI will make a determination that an online money game qualifies as an e-sport prior to issuance of the certificate. 32 A member of the Ministry of Youth Affairs, and 28 Section 3(1), Section 3(2), Act 29 Section 2(1)(c)(iii), Act 30 Section 2(1)(c), Act 31 Rule 15 and Rule 16, Draft Rules 32 Rule 13(3)(a), Draft Rules 33 Rule 13(3), 13(8), Draft Rules

Registration requirements

Under the Draft Rules, registration of online social games with the OGAI is voluntary rather than mandatory. 38 There is at present no prohibition on offering unregistered social games,

34 Rule 18, Draft Rules 35 Rule 19, Draft Rules 36 Section 4(1), Act 37 Section 2(1)(i), Act 38 Rule 12, Draft Rules

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IMGL MAGAZINE | DECEMBER 2025

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