The sector asserted on Thursday that the new online gaming regulations will increase innovation, increase investor confidence, filter out gambling platforms, and make the industry more competitive on a worldwide scale.
The sector praised the laws as a “watershed moment,” “game-changer,” and “landmark,” saying they will help decrease regulatory fragmentation at the state level and promote a more stable business climate.
The move was hailed by the All India Gaming Federation (AIGF) as a vital first step toward complete online gaming regulation, one that will enable the sector to compete on a worldwide scale, and by WinZO Games as “truly bringing the dawn of a global gaming industry right here in India.”
On Thursday, the government unveiled new regulations for internet gaming. These regulations forbid games that involve betting and wagering and require an institutional framework of numerous self-regulatory organizations (SROs) to evaluate if a game is legal.
According to the regulations, the SROs (of which the first three will be notified) must provide a framework on their website to protect consumers from the risk of gaming addiction, financial loss, and financial fraud.
MORE FROM RAVZGADGET: Saudi Astronauts Will Fly On SpaceX Private Mission To The ISS.
The framework should include provisions to allow a user to exclude themselves upon user-defined time or money spending thresholds being met as well as repeated warning messages at increasing frequency after a suitable duration for a gaming session.
According to Roland Landers, CEO of the All India Gaming Federation, “we are grateful to MeitY (IT Ministry) for notifying the amendments to regulate online gaming under the Indian Information Technology Act and acknowledging the long-standing demand of the players and the online gaming industry.”
According to Landers, the government acknowledged the demands of the sector and offered simple yet thorough laws that will encourage innovation, strengthen Create in India and Brand India, and advance India’s Techade.
The rules, in the opinion of the All India Gaming Federation, will go a long way toward promoting consumer interest while assisting the industry’s responsible and transparent growth. They will also aid in reducing the threat posed by the illegal and anti-national offshore gambling sites that have been mushrooming in recent years.
As the oldest and biggest voluntary self-regulatory body for online gaming, the All India Skill Games Council (AIGSC), Landers said, “we look forward to assisting the industry transition to the self-regulatory model envisioned under the rules and use learnings from the years of work that have been undertaken at the AIGSC.”
MORE FROM RAVZGADGET: Netflix Co-Founder Reed Hastings Steps Down As Co-CEO
According to AIGF, which pledged its support to the government in making online gaming a cornerstone of the $1 trillion (roughly Rs. 81,86,175) digital Indian economy, the government maintained “a very open and transparent approach” throughout this process and heard from various stakeholders across the online gaming eco-system since May 2022.
The introduction of the new online gaming regulations, according to the Mobile Premier League (MPL), was a turning point for the sector since it “recognizes online gaming intermediaries and distinguishes them from gambling”
According to Sai Srinivas, CEO and Co-Founder of MPL, “the rules will go a long way in helping us realize our PM’s vision for India to become a global leader in gaming and also contribute to the continued success of Brand India and Create in India.”
Investor trust will increase because to the unified legal framework offered by these regulations.
According to the Hon’ble Minister as well as MPL’s Srinivas, “we anticipate that this will also help reduce regulatory fragmentation at the state level, create a more stable business environment, and weed out gambling platforms.”
He noted that MPL looks forward to cooperating with peers in the sector and other stakeholders as it moves to the self-regulatory model that will be recognized by MeitY.
According to Srinivas, “We think that this effort will contribute to the development of a viable and flourishing gaming ecosystem in India.”
The central, light-touch regulatory framework, according to Paavan Nanda, co-founder of WinZO Games, is a game-changer for India, the largest gaming market in the world.
“The inclusion of Online Games of Skill as the third type of intermediary after Social Media and content-related publishers/OTT players is beneficial for GST differentiation from gambling, providing the necessary stability of regulation, and facilitating a level playing field for all games of skill,” Nanda said.
WinZO games applauded the Center for adopting such robust measures to safeguard Indian consumers from offshore betting and gaming that is prohibited by these laws.
According to Nanda of WinZO Games, “The draft gives the Government the authority, through MeitY, to take the necessary actions to ascertain whether an online platform is a gaming platform or a betting platform and, in response, to take immediate action against betting platforms, particularly the offshore betting platforms, in accordance with section 69(a) of the IT Act.
YOU MAY ALSO LIKE: Amazon Drone Delivery Division Was Hit Hard By Layoffs
The creation of a trustworthy and accountable internet is extremely good news for both the industry and the final consumer.
The guidelines announced, according to Nitish Mittersain, founder and CEO of Nazara Technologies, are historic actions that will greatly benefit the gaming business and bring much-needed clarity to the sector.
The new online gambling regulations, according to Ranjana Adhikari, a partner at IndusLaw, are a step in the right direction and give the federal government control over the industry’s oversight.
According to IndusLaw, “the central government’s proposed light-touch approach and self-regulatory mechanism is progressive and keeps the law nimble for a fast-paced and evolving industry.”
The standards will be crucial in introducing transparency, guaranteeing player protection, luring investment, improving investor trust, and generating job opportunities, according to Malay Kumar Shukla, Secretary, e-Gaming Federation.
We appreciate the government for recognizing the industry’s long-standing need for regulatory clarity and giving the regulations priority by prioritizing and announcing them, Shukla added.
By separating genuine skill gaming businesses from illegal and unlicensed betting and gambling companies, the broad criteria for betting and wagering will protect players and the industry at large.
