The Ministry of Electronics and IT (MeitY) on Thursday released new rules for online gaming that prohibit any game that involves betting and wagering, and entail a framework of multiple self-regulatory organisations (SROs).
"The moment online gaming trespasses into involving betting and wagering regardless of the core content of the game, then it comes into conflict with these new rules," Minister of State for IT Rajeev Chandrasekhar told reporters.
"We are dealing with a framework that allows for all online gaming to be determined as permissible or not by an SRO, and there will be multiple SROs," Mr Chandrasekhar said.
According to a news release, the aim of these amendments is to enforce greater due diligence by online gaming and social media intermediaries with respect to online games and fake or falsely misleading information related to government business.
Elaborating on the new rules at a press conference, the Union Minister said, "It is Prime Minister Narendra Modi's vision and goal that young Indians get every opportunity possible to create startups and innovate for the world. Online gaming is certainly a huge opportunity for India and young Indians. We see the Indian online gaming ecosystem expanding and growing into a multi-billion dollar industry and being an important catalyst for India's one trillion dollar digital economy goal by 2025-26, with very clear restrictions on online wagering and betting."
Here are the amendments that have been drafted after widespread consultations with multiple stakeholders:
1: As per the amended rules, it has been made mandatory on the part of intermediaries to make a reasonable effort to not host, publish, or share any online game that can cause the user harm or that has not been verified as a permissible online game by an online gaming self-regulatory body or bodies designated by the central government.
2: Rules will also ensure that online games or sites that involve wagering will be completely banned, including any advertising or any kind of presence.
3: An online gaming self-regulatory body or bodies (SROs) designated by the Central government will determine whether a real-money game is permitted or not.
4: The self-regulatory body will have the authority to inquire and satisfy itself that the online game does not involve wagering on any outcome, that the online gaming intermediary and the game complies with the rules, the requirements under law for being competent to enter into a contract (currently at 18 years), and a framework made by the self-regulatory body regarding safeguards against user harm, including psychological harm, measures to safeguard through parental controls, age-rating mechanism, and measures to safeguard users against the risk of gaming addiction.
5: There will be multiple SROs, and these SROs will have participation from all the stakeholders, including but not limited to the industry.
6: The intermediary will also have to ensure that no advertisement, surrogate advertisement, or promotion of an online game that is not a permissible online game is hosted on its platform.
7: Permissibility will be determined by the simple principle of whether wagering is involved, and "if wagering is involved, the SRO will be in a position to say that those online games are not permissible."
8: A framework will be made by the self-regulatory body regarding safeguards against user harm.
