Karnataka becomes latest Indian state to address online gambling
The goverment of the Indian state of Karnataka is mulling a new law to regulate online gambling in a bid to crack down on games of chance and, at the same time, allow for skill-based gaming in a regulated environment.
The legislation resembles the Chhattisgarh model, which differentiates between gambling and skill-based gaming and seeks to maintain a balance between industry growth and consumer protection.
Home Minister Gangadharaiah Parameshwara announced on Wednesday the formation of a committee to prepare the bill within a month, saying, “The intent of the new law is to curb online gambling, betting, and games of chance and protect consumers from fraud while supporting innovative and the sustainable growth of the skill-based gaming community.”
Karnataka Information Technology Minister Priyank Kharge also emphasized the promise of the online gaming sector for the Indian economy which he says is valued at US$4 billion, with 25% of the market in Karnataka alone, making it a key hub.
But Kharge cautioned of the emergence of an illegal gambling platform that deliberately exploits users through predatory practices, financial fraud, and cybercrimes.
By encouraging user safety and responsible gaming practices, industry associations like the E-Gaming Federation and All India Gaming Federation have suggested a Code of Ethics for their members.
Kharge said, “This code, adopted by our members and companies, aims to promote user safety and responsible gambling practices across India’s skill-based real-money gaming sector, safeguarding the interests of over [500 million] Indian gamers.”
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