The Union government is considering relaxing regulatory requirements for certain online games by removing the need for mandatory registration, Business Standard reported. The proposed change would apply to social-skill-based games and those that do not involve upfront monetary transactions.
Officials indicated that such games could be treated as “deemed approved” by the Online Gaming Authority of India. They said that in the absence of financial transactions, most games would be allowed to operate without additional scrutiny. Regulatory intervention would arise only if complaints are received or if there are concerns about unfair or unlawful practices.
The move is part of a broader effort to simplify compliance norms for gaming companies. The new rules, expected around May or June, may also remove requirements related to reporting certain updates to games.
Deemed approval and compliance relief
Under the proposed framework, companies offering non-monetary games would not need to undergo a formal registration process. As long as no monetary transactions are involved, firms would largely remain outside stringent oversight, officials told Business Standard.
Earlier proposals had suggested creating a national registry of all online games, including social games, esports, and real-money gaming platforms, with mandatory registration for entities offering such services in India. The Online Gaming Authority of India was expected to manage this registry.
Changes to reporting requirements
Draft rules had also required gaming companies to inform authorities about “material changes” to their platforms after registration. These included modifications to gameplay features or changes in revenue models.
Officials now indicated that once the rules are finalised, companies may no longer need to notify authorities about such changes. However, under earlier proposals, failure to report these updates could lead to cancellation of registration.
Under the framework, games will be classified into social games, e-sports, and online money games, with mandatory registration continuing for e-sports platforms. Online money gaming, where users stake money for winnings, will remain prohibited and attract penalties, including imprisonment of up to three years and fines of up to ₹1 crore.