Ban on Promotion of Online Betting on Social Media
The Government of India is proposing the ban on promotion of Online Betting on the Social Media platforms. The Information Technology (Intermediary Guidelines and Digital Media Ethics Code) Rules, 2021, have recently been recommended for revision by the Central government to control the Indian online gaming market. The suggestion was made to protect consumers from any harm that skill-based games might cause.
Govt seeks ban on Online betting promotion and Regulation on Online Games
- The fact that between 40 and 45 percent of gamers in India are female makes maintaining the security of the gaming industry even more crucial.
- Online gaming companies will need to conduct more due diligence in order to regulate online gaming platforms as middlemen, including:
- User authentication clear money withdrawals and refunds a reasonable distribution of prizes
- Online games will also need to register with a self-regulatory organisation, and only those approved by the organisation will be permitted to legally operate in India.
- The gaming companies will have to adhere to the rules established for organisations under Reserve Bank of India regulation.
Regulation of Online Betting and Online Games
- With the exception of e-sports, which can be governed by the Department of Sports, the Ministry of Electronics and Information Technology would be the nodal ministry for the regulation of online gaming.
- The Information and Broadcasting Ministry may have the authority to regulate some other facets of online gaming, including ads, codes of ethics about content grading, etc.
- For unfair business practises, the sector is subject to regulation by the Consumer Affairs Ministry.
- A self-regulating body will exist, and its board of directors will be composed of five people from various backgrounds, including online gaming, public policy, IT, psychology, and medical.
- There may be several self-regulatory organisations.
Criteria of safe Online Betting and Games
The organisation must make sure that the registered games don’t contain anything that: isn’t beneficial to India’s sovereignty and integrity; defence of India; security of the state; or promotes good relations with foreign states.
The government has suggested banning the promotion of online bookmakers on websites like Facebook, Instagram, and YouTube.
Before hosting an online gaming company’s adverts, social media platforms will need to confirm with a planned self-regulatory agency that the company has been registered with it.