Govt notifies rules for online gaming, to appoint multiple SROs

As per the final rules, the government will appoint multiple self-regulatory organisations (SROs) comprising industry representatives, educationists, and other experts such as child experts, psychology experts, etc. To begin with, the government will notify three SROs, but can add more later.

These SROs will be responsible for declaring online games permissible on the basis of whether games offer wagering.

Further, the new rules define ‘online game’ as “a game that is offered on the internet and is accessible by a user through a computer resource or an intermediary”.

“We are only regulating real money games that involve wagering. By process of exclusion, all other kinds of games will be permissible,” MoS IT Rajeev Chandrasekhar said, addressing reporters.

The SRO can declare online real money game as a permissible if it is satisfied that “the online real money game does not involve wagering on any outcome”.

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Apart from the SRO, the IT ministry has also notified a mandatory KYC verification of online gamers.Role of SROs

In January, Chandrasekhar had said gaming firms that do not comply with the new rules will lose their safe harbour and can be prosecuted.

“Before hosting or publishing or advertising an online game for a consideration, all gaming companies will have to ensure that such a game is registered with and approved by a SRO,” he had said.

The gaming intermediary will also have to display the credentials of the SRO that registered and approved the game, through its website and mobile app. Such SROs will have to be registered with the IT ministry.

Also, the SROs will be empowered to resolve complaints from users through a grievance redressal mechanism, according to the draft rules.