Post-India’s Ban on Real-Money Games: Dream Sports and MPL Start Pulling Back
Prominent Indian startups within the real-money gaming industry are beginning to halt their operations due to an impending ban from New Delhi, as new legislation nears finalization.
On Thursday, the upper house of India’s Parliament approved the Promotion and Regulation of Online Gaming Bill, 2025, aimed at enforcing a complete ban on real-money gaming while encouraging casual online games and e-sports. This vote followed the bill’s passage in the lower house just a day prior, requiring only presidential endorsement to become law—an anticipated formality.
In response to the bill’s passage, Indian startups such as Dream Sports, Mobile Premier League (MPL), along with Gameskraft, Probo, and Zupee, have started to wind down their real-money gaming operations. Several companies informed their employees of these decisions post-passage in the lower house on Wednesday, while others conveyed updates directly to users via their apps.
Dream Sports, backed by investors like Tiger Global, Multiples, Alpha Wave Global, and TCV, has suspended operations for its newly launched quick-play fantasy gaming app, Dream Picks. Other applications involving real-money transactions, such as the popular Dream11 and Dream Play, were still operational at the time of this report. However, sources close to TechCrunch revealed that the Mumbai-based startup plans to fully cease its real-money gaming operations once the legislation becomes effective.
During an internal town hall meeting on Wednesday, the startup informed its employees about the ramifications of the new law, according to a source who spoke to TechCrunch on the condition of anonymity. The Indian site Entrackr previously reported some insights concerning this meeting.
Additionally, Dream Sports was exploring opportunities outside India, as per two sources familiar with the matter, who requested to remain anonymous due to the sensitive nature of the plans.
Moreover, the startup was in advanced negotiations for partnerships regarding its real-money business in India earlier this week, as informed by an investor source to TechCrunch.
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A representative from Dream Sports declined to comment.
Similarly, MPL, which has support from investors such as Peak XV, Times Internet, MSA Novo, and Crown Capital, has ceased all real-money games and stopped accepting deposits.
“Deposit cash (minus GST) will be available for withdrawal from August 22, 2025,” reads a notice on the MPL app.
Zupee, which is backed by WestCap Group, Tomales Bay Capital, Nepean Capital, AJ Capital, and Z47 (formerly Matrix Partners India), has also halted its real-money gaming operations effective immediately.
“In line with the new Online Gaming Bill 2025, we are discontinuing paid games. However, our extremely popular free titles like Ludo Supreme, Ludo Turbo, Snakes & Ladders, and Trump Card Mania will remain available for users at no cost,” stated a Zupee representative.
Probo, another startup backed by Peak XV and supported by investors such as Elevation Capital and The Fundamentum Partnership, has also suspended its real-money gaming activities following the parliament’s approval of the legislation.
“As disappointing as this is, we respect the Indian government’s new Online Gaming Bill. In light of this change, Probo has decided to immediately suspend its real-money gaming (RMG) operations until further notice,” the Gurugram-based startup commented.
Gameskraft, a self-funded startup, has also ceased accepting payments for its rummy applications due to the new legislation. Likewise, Cricbuzz11, a fantasy cricket platform under Times Internet, has halted its operations as well.
“Deposits (net of GST) will be refunded to bank accounts within 30 days,” states a notification to users from the app.
As these startups wind down their real-money gaming operations, many employees are beginning to seek new job opportunities, with hundreds sharing their job searches on social media.
“We no longer have job security, as these companies are anticipated to reduce roles in the coming days to maintain operations and meet investor expectations,” shared an anonymous employee with TechCrunch.
While these startups might consider challenging the legislation in the Indian Supreme Court once it takes effect, most have chosen not to pursue that path.
“This assessment is accurate—they will confront a difficult battle in the Supreme Court,” commented a public policy expert associated with some of these real-money gaming companies, requesting anonymity to safeguard client relationships.
Indian real-money gaming startups possess a combined enterprise valuation of ₹2 trillion (approximately $23 billion) and generate total revenues of ₹310 billion (around $3.6 billion), contributing ₹200 billion (approximately $2.29 billion) annually in direct and indirect taxes, according to estimates shared by industry bodies in communications with the Indian Prime Minister and Home Minister earlier this week. They project a 28% compound annual growth rate, which could potentially double the industry’s size by 2028.
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