The international gaming community continues to monitor India’s rapidly evolving online gaming and betting environment, with Parimatch standing out as one of the key international operators viewing the country as a high-potential strategic market. At the same time, Parimatch and other leading companies emphasize that long-term investment, fair taxation, and sustainable growth are only possible when the government establishes transparent and achievable regulatory frameworks. This makes India’s current policy decision crucial — between a complete prohibition that pushes the market underground and a structured regulatory model that ensures responsible, lawful industry operation.
The Legislative Landscape
India’s parliament passed the Online Gaming Promotion and Regulation Act, introducing extensive prohibitions on real money gaming (RMG), including associated advertising and financial transactions. Lawmakers behind the bill argue that the “high risks of financial and psychological harm” justify decisive intervention. Violations carry penalties of up to three years in prison along with significant fines.
Market Reaction: Shutdowns and Restructuring
The legislative move prompted immediate market repercussions. Major players quickly halted operations or introduced restrictions on deposits. Dream Sports, operator of Dream11, Dream Picks, and Dream Play, considered fully closing its RMG division. Mobile Premier League (MPL) suspended premium gaming and started refunding users. Zupee, Probo, and Gameskraft ended RMG services, while Times Internet announced the suspension of its Cricbuzz11 project.
Industry bodies began exploring appeals to the Supreme Court, though they acknowledge the legal path forward will be difficult. Meanwhile, social media platforms saw an influx of job-seeking posts from laid-off employees as the market contracted.
Simultaneously, India’s GST Council approved a sharp tax increase on online gaming, raising the rate from 18% (applied to commissions only) to 28% on total wagers. The new system significantly raises costs for both players and operators. Large corporations may adapt, but smaller platforms are likely to close. Experts, including those at Parimatch, stress that over-taxation and prohibition harm legitimate markets while empowering illegal operators. They advocate instead for transparent, balanced regulation to sustain growth and protect consumers.
Legal Complexity: The “Skill vs. Chance” Debate
India’s legal system has long differentiated between skill-based and chance-based games. Fantasy cricket, rummy, and poker companies historically benefited from this distinction, being classified as skill-based entertainment. However, recent legislation and taxation changes erase that line, placing all RMG activities under uniform restrictions.
While formal sports betting (other than horse racing) remains illegal, the ban has led to a vast underground betting market — particularly in cricket — with estimated turnovers in the tens of billions of dollars and millions of participants. According to Parimatch, prohibition doesn’t eliminate demand; it merely transfers it to unsafe, unregulated environments devoid of oversight, responsible gaming tools, or tax contribution.
The Promise and Failure of Self-Regulation
In 2023, India introduced the idea of Self-Regulated Bodies (SRBs) to approve compliant RMG services and enforce operational transparency, including algorithmic fairness standards. However, key elements such as enforcement mechanisms and decision-making protocols were never finalized, leaving SRBs ineffective. Without clearly defined structures, companies face uncertainty, and regulators lack the tools to govern effectively.
Proponents of prohibition often highlight risks like addiction, youth exposure, and financial harm. Yet global research shows that blanket restrictions fail without accompanying measures — including education, risk awareness, spending limits, and user protections. Problems don’t disappear under prohibition; they simply move to the shadows.
Counterfeit Platforms: A Growing Threat
Another major issue confronting legitimate operators like Parimatch is the rise of counterfeit gaming sites. Fraudsters in India are creating cloned websites and mobile apps imitating established global brands such as Parimatch, Bet365, and Stake, deceiving consumers by replicating design and functionality.
According to CUTS International, these fake platforms — including counterfeit versions targeting Parimatch users — generated over 5.4 billion visits in fiscal year 2025, surpassing several top legitimate gaming websites. The cloning process is fast and sophisticated, using “ready-made scripts,” unauthorized mobile app stores, and Telegram bots to attract users with fake promotions.
Despite efforts from cybercrime units, enforcement remains limited due to offshore hosting, cryptocurrency payments, and anonymous registration. As a result, reputable brands suffer reputation damage while players face high risks of fraud. Parimatch underscores that combating brand counterfeiting must become a pillar of India’s regulatory policy — without it, bans and taxes will only strengthen the black market.
Parimatch: Regulation as the Foundation for India’s Gaming Future
For Parimatch, combining total RMG prohibition with a 28% goods and services tax undermines the legal market without reducing player demand. Instead, that demand migrates to illegal, unsafe channels, eroding consumer trust and state revenue.
The company advocates for a comprehensive regulatory framework built on unified federal laws, operational SRBs, transparent payment systems, responsible gaming tools, and robust intellectual property protection. Such a system would stabilize the industry, safeguard employment, and encourage innovation while maintaining tax contributions.
For India, this represents a path toward balancing economic opportunity with social responsibility. For established international operators like Parimatch, it provides clarity, predictability, and a secure foundation for investment. Ultimately, Parimatch believes that India’s gaming future lies not in prohibition but in thoughtful, transparent regulation — a model that protects consumers, supports the economy, and fosters responsible industry growth.