India’s Regulatory Sweep Targets Apps That Look Like Games but Act Like Casinos

India is cracking down on apps accused of masking real-money gambling as harmless fantasy or social games. The Supreme Court has requested that the central government respond to a Public Interest Litigation (PIL) filed by the Centre for Accountability and Systemic Change (CASC), which warns that the country’s booming online gaming sector has grown largely unchecked.

The petition states that over 650 million Indians now engage in online gaming, fueling an industry valued at more than $21 billion annually, much of it, the filing alleges, operating outside regulatory oversight and evading taxes. The PIL also names major app store operators, including Google India Pvt Ltd and Apple Inc., as respondents.

The Supreme Court’s latest intervention has put so-called “skill-based” gaming platforms under intense scrutiny, particularly those accused of disguising gambling mechanics beneath the veneer of social or esports-style play. As regulators push for a nationwide framework to curb deceptive practices, the tension between innovation and legality is coming to a head. Yet even amid the crackdown, players still browse through NoDepositKings to find no deposit casino bonuses, a sign that public interest in risk-free wagering and online gaming remains strong.

Rising Concerns

The rapid growth of real-money gaming apps in India has raised concerns over their potential dangers, with experts warning that these platforms often operate more like gambling than entertainment. Players can face significant financial losses and psychological stress by wagering on outcomes largely beyond their control.

Government authorities have highlighted the social consequences of these apps, citing instances where families have lost substantial savings and young adults have developed compulsive gaming habits. In some cases, gambling-related distress has led to tragic outcomes, underscoring the need for stricter oversight.

With hundreds of millions of participants engaging in paid gaming apps, the government views regulation and the recent nationwide ban as a necessary step to protect vulnerable players and curb the risks posed by unregulated platforms.

Not the Solution

However, while the risks are clear, industry analysts warn that shutting down regulated gaming platforms could drive users toward unlicensed offshore apps and informal local networks, which often lack basic consumer protection. The use of VPNs, foreign apps, and local bookies is likely to increase, heightening the potential for financial loss and limiting protections for users. In many cities, online betting has already shifted to messaging platforms such as Telegram and WhatsApp, where transactions take place with minimal oversight, leaving participants increasingly vulnerable to financial and social risks.

Critics contend that a targeted regulatory approach, rather than a sweeping prohibition, could have addressed concerns around addictive behavior and opaque algorithms while maintaining a safer, legal gaming environment. By abruptly halting operations, the government risks undermining an industry that had successfully balanced economic growth, job creation, and responsible gaming practices.

An Industry in Crisis

India’s online gambling sector is reeling after a sweeping federal ban on real-money gaming platforms. The abrupt move has thrown thousands of jobs, start-ups, and investors into uncertainty, undermining an industry that had been thriving despite previous regulatory challenges.

Before the ban, India was home to approximately 400 real-money gaming (RMG) companies. These businesses collectively contributed nearly $2.3 billion in annual taxes and employed over 200,000 people. Leading platforms, including Dream11, had become household names, with high-profile sponsorship deals spanning cricket’s national team, the Indian Premier League (IPL), and grassroots tournaments.

While several states, including Telangana, Assam, Andhra Pradesh, and Odisha, had previously imposed limits on certain gaming platforms, this marks the first nationwide prohibition. At the heart of the controversy is the distinction between games of skill and games of chance. Indian courts, including the Supreme Court, have consistently ruled that fantasy sports and other skill-based games do not qualify as gambling. Many companies structured their businesses around these rulings, making the new ban a profound disruption to the sector.

Cricket, deeply intertwined with India’s fantasy sports ecosystem, has already been affected. The IPL lost Dream11 as a shirt sponsor, while My11Circle, a partnership worth around $15 million annually, faces potential withdrawal. Several franchises, including Sunrisers Hyderabad, Kolkata Knight Rider and Lucknow Super giants, must now seek new sponsors in time for the 2026 season. The industry, which accounted for up to 40% of IPL advertising revenue and billions in annual user-generated income, faces a dramatic funding shortfall. Top players, including Rohit Sharma, Virat Kohli and MS Dhoni, risk losing tens of millions in endorsements tied to these platforms.

What’s Next

India’s gambling industry faces an uncertain future after the federal ban on real-money gaming. Domestic platforms have shut down, driving some players to unregulated offshore apps, which raises risks for users. The ban also disrupts sponsorships, advertising revenue, and jobs tied to the sector.

Moving forward, regulators may need to clarify the distinction between games of skill and chance, while businesses explore alternative models or markets. The industry’s recovery will depend on adapting to new rules, finding safe avenues for players, and attracting investment under a redefined legal framework.