New Delhi, February 2026 — The landscape of Indian digital entertainment has shifted permanently. Following the enactment of the Promotion and Regulation of Online Gaming (PROG) Act, 2025, the once-ubiquitous “fantasy sports” industry has been effectively dismantled, ending an era of high-stakes digital wagering that critics long labeled as predatory.
The Death of “Games of Skill”
For nearly a decade, platforms like Dream11, My11Circle, and MPL operated under the judicial protection of being “games of skill.” However, the 2025 Act removed this distinction for any platform involving monetary stakes.
The law now classifies all games involving cash deposits and winnings as “Online Money Games,” regardless of the skill required. By re-categorizing these activities, the government has moved to curb what it describes as a public health crisis fueled by financial ruin and gaming addiction.+1
The End of the Celebrity Endorsement Juggernaut
The Act has struck a lethal blow to the marketing machinery of gaming giants. Historically, these apps spent over ₹5,000 crore annually on advertising, frequently using A-list cricketers and Bollywood stars to lend an air of legitimacy to the platforms.
- Strict Penalties: Under the new law, advertising “Online Money Games” is a criminal offense, punishable by up to two years in prison and fines of ₹50 lakh.
- Influencer Impact: Thousands of mid-tier influencers and meme pages, who relied on gaming budgets for nearly 30% of their income, saw their revenue streams vanish overnight.
- The “Celebrity Gap”: The Act exposes a harsh reality: while stars like MS Dhoni and Sourav Ganguly were paid crores to urge fans to “make their team,” many were under performance contracts and rarely engaged with the apps themselves.
A ₹2,000 Crore Advertising Vacuum
Broadcasters and sporting leagues are reeling from the financial aftershocks. During peak seasons like the IPL, fantasy gaming ads previously occupied up to 90% of airtime.
| Stakeholder | Impact of the Ban |
| Broadcasters | Facing a projected ₹2,000 crore shortfall in annual ad revenue. |
| Tech Startups | Massive layoffs; MPL reportedly cut 60% of its workforce following the ban. |
| Financial Institutions | Banks and UPI gateways are now legally barred from processing transactions for these apps. |
From Gambling Fever to “Pure” Sport?
Supporters of the Act argue that this is a necessary “moral reset” for Indian cricket. The goal is to return the focus to the sport itself, rather than the secondary “gambling fever” that inflated viewership numbers.
However, the industry isn’t going down without a fight. Several major platforms have challenged the Act’s constitutionality in the Supreme Court, arguing that it violates the fundamental Right to Trade (Article 19(1)(g)). They contend that a blanket ban is a disproportionate response that stifles innovation and destroys a legitimate $3.8 billion industry.
Bottom Line
The PROG Act of 2025 has unmasked the “illusion economy” of fantasy sports. While it has created a massive sponsorship void, it introduces a level of regulatory clarity that India hasn’t seen since the digital boom began. The message from New Delhi is clear: the national pastime should not be a vehicle for draining the wallets of its citizens.
