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Legal Status and Regulations for Online Gaming in India

Author: Bimal Das
by Bimal Das
Posted: Feb 14, 2022

Legal Status and Regulations for Online Gaming in India

People of all ages enjoy games for their entertainment value, whether card games or skill-based games. Even though gaming is presently prohibited in India, it has been a part of Indian culture since the dawn of time. The Mahabharata, one of India's earliest mythical epics, has evidence of Indians loving cards games. Due to the country's rising pandemic circumstances, many Indians have become reliant on online rummy games. They've begun to anticipate the prize money of these games to meet both their social and economic requirements.

With the emergence of technical and digital improvements, India's gaming sector has undergone a huge fundamental shift. Given India's largely youthful population and the widespread availability of cell phones and internet access in rural and distant places, the online gaming sector has already experienced phenomenal development. It has a lot of room to grow. Moreover, as a result of the pandemic, many people have turned to the virtual gaming industry, where they have dabbled in many rummy apps online and other fantasy games.

Over the last four years, industry sales have nearly quadrupled, reaching INR 43.8 billion in FY18, and are predicted to expand at a CAGR of 22.1 per cent from FY18 to FY23, reaching INR 118.8 billion. With the exponential increase in the number of online gaming sites over the last decade, many people are still wondering whether it is still legal to play rummy and earn real money online or not.

Is Card Game Legal in India or not?

Card Game is controlled on both a national and state level in India. Card Game is primarily addressed on the national stage by two or three acts:

  • The Information Technology Act, 2000
  • The Public Gaming Act, 1867
  • Prize Competition Act, 1955

Since online card games are officially not included in any of these legislations, it exists in legal limbo. Some contend that the Public Card game Act of 1867, which prohibits all kinds of "card games," applies to the online card game.

States also have the power to control card games to some extent. Even though most types of real-world card games are prohibited in India, people who opt to place bets online won't be facing any legal consequences. As a result, India is a rapidly expanding market for online gaming. With 1.2 billion people and a burgeoning middle class, India has a lot of room for e-gaming companies.

To categorize the games in India, the country divides them into two groups. One is a Game of Skill, and the other is the Game of Chance.

  • Game of Skill- All skill games are played depending on the player's past knowledge or familiarity with the game. In a game of skill, logical thinking, analytical decision-making, capacity, and other abilities are required. In some competitions like rummy, players might need some preliminary training and learn how to play rummy to succeed. The majority of Indian states consider the "game of skill" legal.
  • Game of Chance- Games of chance are when the outcome is determined at random. Most of the "game of chance" results are completely based on luck. These games can be easily played without any prior knowledge or comprehension.

Conclusion

India's card game regulations are perplexing, poorly drafted, and inconsistently enforced. Hence, the fact of it all, especially in terms of internet cards game, is that individuals throughout India place bets online regularly.

About the Author

I am CA of Rummy24 company.

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Author: Bimal Das

Bimal Das

Member since: Nov 23, 2021
Published articles: 5

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