India drafts new rules to regulate esports, online gaming
India’s Ministry of Electronics and Information Technology (MeitY) has released draft rules to regulate online gaming, marking a major shift from the recent ban on real-money gaming. The proposed framework, open for public consultation, aims to formalise the country’s growing gaming ecosystem by distinguishing between real-money games, esports, and social gaming.
Online Gaming Authority to oversee registrations
At the core of the draft rules is the creation of the Online Gaming Authority of India, to be headquartered in the Delhi-NCR region. This new body will determine whether a game falls under the category of a money game, esports, or social game. Once categorised, each platform must register with the authority.
The authority will include senior representatives from the ministries of information and broadcasting, youth affairs and sports, financial services, and technology. Its role will extend beyond registration to monitoring compliance and ensuring that platforms follow the prescribed rules.
Esports recognised as a competitive category
In a major move, the draft formalises esports as a recognised competitive category under the Ministry of Youth Affairs and Sports. This formal recognition places esports on the same footing as traditional sports. Industry stakeholders have welcomed the move, saying it provides structure and visibility to the sector.
Parth Chadha, Co-Founder and CEO, STAN, “The release of the Draft Rules under the PROG Act is a very progressive step for India’s Gaming Industry. For Social Gaming platforms these rules provide a much needed regulatory certainty. The framework for voluntary registrations, clarity on what constitutes an “Online Money Game” vs “Social Game” and a structured grievance redressal all of these help players like us operate smoothly.”
Registration requirements for platforms
Under the proposed rules, all esports and social gaming operators will be required to register each game with detailed information. This includes the game’s revenue model, age restrictions, data protection practices, and safety features. Platforms will need to make these details public to ensure transparency for users and regulators.
The framework aims to promote responsible gaming by requiring companies to introduce safeguards, including user verification and parental control systems. These steps are designed to reduce risks associated with underage participation and excessive gameplay.
Multi-level grievance redressal system
The draft introduces a three-tier grievance redressal mechanism to handle user complaints. The first level will be managed internally by the gaming companies. If users are not satisfied, they can escalate the issue to the Grievance Appellate Committee. The final level of appeal will rest with the Online Gaming Authority of India.
This system aims to make the complaint process more efficient and accessible. The framework also provides for penalties such as suspensions or prohibitions for platforms that fail to comply with the rules.
Ban on real-money gaming remains
Although the Government has kept the ban on real-money games in place, the new draft signals a broader policy shift towards regulation rather than outright prohibition. The focus is now on creating a structured, transparent, and accountable gaming ecosystem that differentiates between skill-based and chance-based activities.
By encouraging legitimate forms of digital play, the Government seeks to support innovation while protecting users from financial and social harm.
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