India Drafts New Online Gaming Rules with Focus on Esports and Oversight

The new framework aims to balance player protection with industry growth, introducing structured oversight, esports recognition, and a clear regulatory mechanism for operators.

At the heart of the proposal is the establishment of the Online Gaming Authority of India, to be headquartered in the Delhi-NCR region. This national body will be responsible for classifying, registering, and monitoring online games across three main categories — money games, esports, and social games. The authority will include senior representatives from key ministries such as broadcasting, youth affairs, financial services, and technology, ensuring a multi-sectoral approach to governance.

The draft also marks a milestone for the country’s rapidly expanding esports industry. Esports is formally recognised as a competitive category under the Ministry of Youth Affairs and Sports, placing it on par with traditional sports in terms of legitimacy and support. Industry leaders have welcomed the decision, seeing it as a turning point for professional gaming in India. Akshat Rathee, Co-founder of Nodwin Gaming, described the move as one that “creates a framework for structured growth” and could catalyse grassroots programs, sponsorships, and international participation.

Under the proposed system, all esports and social gaming platforms will be required to register their games with detailed disclosures on revenue models, age restrictions, and player safety measures. The framework also introduces a multi-tiered grievance redressal mechanism designed to protect users. Complaints will first be handled by the companies themselves, before escalating to the Grievance Appellate Committee and, if necessary, to the new gaming authority.

Penalties for non-compliance include fines, temporary suspensions, and outright bans on offending platforms. This structured approach is intended to ensure transparency and accountability across the gaming ecosystem.

While the ban on real-money games remains in effect, the new draft signals the government’s intent to formalise and regulate the broader gaming sector rather than suppress it. Officials suggest the move could foster innovation and attract investment, especially in skill-based and social gaming segments.

In a related development, Indian police recently dismantled an illegal gambling operation in Bhayandar West, arresting 18 individuals — underscoring the government’s parallel efforts to curb unregulated betting while supporting legitimate esports and online gaming growth.