The Promotion and Regulation of Online Gaming Bill, 2025, was passed in the Lok Sabha on August 21, 2025. The bill established a new regulatory framework for India's rapidly expanding gaming industry. It imposed a broad prohibition on real-money online games.
The action provoked intense discussion in Parliament and an immediate response from the stock market, which led to volatility in the online gaming-related stocks like Nazara Technologies and Delta Corp.
Let us first understand the details of the Online Gaming Bill 2025
The Ministry of Sports' guidelines and campaigns promote e-sports and non-monetary social or educational games. But the Promotion and Regulation of Online Gaming Bill, 2025, imposes a comprehensive ban on all online money games, including those of chance, skill, or both, to protect users from social, psychological, and financial harms such as addiction, fraud, and money laundering.
The government justified that from a public health perspective, the platforms pose addiction risks, financial ruin and have been associated with suicides. Financially, the government estimates that around 45 crore Indians lose ₹20,000 crore each year through real money gaming.
Nazara Technologies' share price has slumped 16% in just three trading sessions, hitting a low of ₹1,145.55 on the BSE as of August 22, 2025, as worries around the government’s new online gaming regulations sparked heavy selling.
Market fears have largely centred on Nazara’s associate company Moonshine Technologies, which operates PokerBaazi. Nazara holds a 46.07% stake in Moonshine through equity and preference shares worth over ₹1,000 crore, raising worries.
Delta Corp share price has declined nearly 4% over the last 3 days. The stock price faced minimal impact compared to its peers. Last week, Delta Corp in its annual report noted that it exited the online gaming business by divesting Deltatech Gaming (Adda52) to Head Digital Works (HDW) for ₹491 crore, with a post-merger stake of 5.7 per cent in HDW, ensuring continued participation in the digital gaming space through a stronger, consolidated platform.
As of August 22, 12:02 am IST, the stock price was trading at ₹89.11 per share, down by 2.25% and it is up by 16% from its 52-week low.
Unlisted fantasy sports and real money gaming platforms, including Dream11, Games24x7, Mobile Premier League, and PokerBaazi, now face existential threats. The ban could lead to app shutdowns and potential layoffs, putting significant pressure on the sector’s growth and employment prospects.
The Bill prohibits all real money online games, making their operation, promotion, and financial facilitation a serious criminal offence.
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