Centre announces e-gaming policy — Its top 5 proposals

The Union Ministry of Electronics and Information Technology (MeitY) has announced an e-gaming policy, proposing self-regulation, mandatory players' verification and additional due diligence. The user base of online gaming is increasing and the users need protection against potential harm, the ministry said.

MeitY has been made the nodal agency for online gaming. Online gaming firms would be covered under the new IT rules, issued in 2021 for social media platforms.

The following draft amendments to the IT Act are being placed in the public for comments, feedback till January 17:

Due diligence: 

Online gaming intermediaries shall exercise due diligence to ensure that online games with gambling, betting are not permitted.

Withdrawals or refunds: Online gaming intermediaries shall inform users of policy for withdrawal or refund of deposit, distribution of winnings, applicable fees

Registration: Self-regulatory bodies will be registered with the MeitY

Online games: Self-regulatory bodies may register online games of intermediaries that are members and meet prescribe criteria.

Complaints' redressal: Self-regulatory bodies will resolve complaints through a grievance redressal mechanism.

Union Minister of State Rajeev Chandrashekhar said the government has made it its mission to ensure that entrepreneurship in the deep tech space grows. "The rules are simple — online gaming, online betting have been brought in the 31B provision," he said, adding that the consultation is expected to start early next week.

Chandrashekhar said he would be meeting gamers, gaming startups, companies and investors. He also spoke about how around 40 to 45 percent of the gamers in India are women, and many of them have given a feedback to keep the gaming ecosystem safe.

He said by early February, the final rules should be in place. He added that online gaming would be permitted, except of those that offer wagers on the outcome. "Online games that offer wagering is a no-go area... If you bet on the outcome of the game, it's prohibited under 31B," he said.