New Delhi: India’s gaming industry has been permitted to define its own parameters for what online games will be permitted to operate in India as the centre notified new rules for the sector on Thursday. Self -regulatory organisations (SRO’s), consisting of industry representatives and experts will have the power to decide which games can be offered to users even as the government cautioned that it will not allow wagering or betting of any kind nor permit games that cause harm to consumers. “这些规则不处理所有的细微差别的游戏机会,游戏的技能。我们忽略了一个基本的原则,那一刻一个在线游戏的过犯涉及赌博,赌博,那么它与这些规则,“Rajeev钱德拉塞卡说,电子产品和部长。政府认为“网络游戏生态系统是一个非常重要的和不可或缺的一部分,在印度的数字经济的目标,至1万亿美元,”他说。 新德里:印度的游戏产业一直允许定义自己的操作参数对网络游戏将被允许在印度为中心周四通知部门的新规则。“自我监管组织(SRO”),由业界代表和专家将有权决定哪些游戏可以提供给用户即使政府警告说,将不允许赌博或任何形式的赌博也不允许游戏,对消费者造成伤害。
The new framework that creates a distinction between online games and those allowing betting and wagering has drawn praise from industry members. However, the government’s decision to keep the definition of ‘wagering on an outcome’ open-ended could potentially open up disputes, they added.
“These rules don't deal with all the nuances of games of chance, games of skill. We bypassed that and laid out a basic principle that the moment an online gaming<\/a> trespasses into involving betting and wagering, then it falls afoul of these rules,” said Rajeev Chandrasekhar<\/a>, minister of state for electronics and IT. The government considers “the online gaming ecosystem as being a very important and integral part of the goal of taking India’s digital economy to $1 trillion,” he said.
The SROs -registered under Section 8 of the Companies Act-- will consist of an individual having online gaming industry experience; an individual having experience in promoting interests of online gaming users; an educationist; a mental health expert; an individual with experience in information and communication technology field; a current or former member of an organisation dealing with protection of child rights; a public policy<\/a>, law enforcement or public finance expert; and any other individual approved by the government.
Pointing out that in recent months gaming entrepreneurs and startups have been dealing with ambiguous and often confusing legal framework and running afoul of the state laws, Chandrasekhar said that “ we hope that these rules will create a much more stable, consistent predictable framework for all those startups that are interested in the online gaming ecosystem.”
He said the government plans to start with three SROs and will decide on approving more depending on the number of requests and the workload of the first three SROs.
The notification was part of the amendments to the Information Technology (Intermediary Guidelines and Digital Media Ethics Code) Amendment Rules, 2023 announced on Thursday.
Experts are of the view that the new rules are an attempt “to create an overarching framework for the online gaming industry.”
“If a gaming company goes through the process of being certified by the SRO, it in a way gets whitelisted and ideally should be outside the remit of states and act as an insulation for this sector,” Rameesh Kailasam, CEO of internet industry body IndiaTech said.
nabTerming the clarity provided by the new rules as a boost for investor confidence Trivikraman Thampy, co-founder & co-CEO, Games24x7 said, ‘with consumer protection and responsible gaming at the forefront, the regulatory framework will aid in arresting the proliferation of offshore and illegal gambling and betting platforms in India, which operate with little regard for consumer interest.”
Welcoming the regulations, Harsh Jain, cofounder and chief executive of Dream11 said it would “unlock the potential for our $20 Billion Indian Online Gaming industry” and significantly contribute to the Prime Minister’s “vision of a trillion dollar digital economy\".
Regulatory clarity has emerged as a critical aspect for India’s online gaming industry estimated to grow to $8.6 billion by 2027 from a level of $2.6 billion in 2022 growing at a compounded annual growth rate (CAGR) of 27%, according to estimates by gaming focused venture fund Lumikai.
In recent years, several online gaming platforms such as Dream11, Games24x7, Mobile Premier League (MPL) have become unicorns, or startups with valuation of over $1 billion. The Indian online gaming industry has cumulatively attracted $2.5 billion in foreign direct investment (FDI) so far.
State rules<\/strong>
The debate on what constitutes a game of chance or that of skill is one that online gaming companies have been a part of for several years.
In several orders the Supreme Court has upheld that fantasy sports apps offered games of skill, and not chance. In 2021, the apex court had upheld an order of the Rajasthan High Court which had said that fantasy sports were in fact games of skill and not chance.
Meanwhile, experts hold that games, where predominantly the outcome depends on factors determined by skill, should be termed as such. Whereas those where outcomes depend purely on probabilities are games of chance. Card games such as Rummy and Poker have also been determined to be games of skill.
Moreover, gambling and betting continue to remain a state subject. This means that state governments will still be able to decide if they want to allow gambling, lottery in their jurisdictions.
\"Now games of skill have a clear safe harbour provided by the central government, which protects from any push and pull from the state so long as they are certified. If they aren’t certified then it’s not under the safe harbour and can be treated by the states and courts according to their interpretations,\" a co-founder of an online gaming company told ET.
Pointing to the lack of definition on wagering, in Thursday’s notification, a co-founder of an online gaming company said it “requires language clarity, else would again bring us to the same place with the states”.
“If the lack of definition is read together with laws of the land, and if state governments determine that a particular platform allows gambling, they can still potentially be banned,” he added.
Clarity on Taxation<\/strong>
This move by the government to demarcate online games from online betting follows the Budget announcement earlier this year, which recognised online gaming separately from betting and gambling for taxation purposes.
Industry members said they are now awaiting clarity on the imposition of goods and services tax (GST), and has urged that the indirect tax be levied only on gross gaming revenue, and not on the contest entry amount. The gross gaming revenue is the fee charged by an online skill gaming platform as service charges to facilitate the participation of players in a game on their platform while contest entry amount is the entire amount deposited by the player to enter a contest on the platform.
Terming the notification of MeitY rules as “a pivotal moment for the online gaming industry in India,” Joy Bhattacharjya, director general of industry body Federation of Indian Fantasy Sports said “ it is expected to put an end to the ambiguities that the industry was grappling with and lay the foundation for sustainable and responsible growth.
Pointing out that India’s online gaming industry has already attracted $2.5 billion in FDI he said the industry body was “looking forward to engaging with MeitY to seek requisite clarifications as members initiate the compliance process”.
Payment Rules<\/strong>
To further protect users from financial harm, the government has also mandated that online gaming intermediaries which enable access to permissible online real money games shall not “itself finance by way of credit or enable financing to be offered by third party for the purpose of playing such online game”.
Before accepting any deposit in cash or kind from users, the gaming intermediary will be required to verify the identity of the user by following the know-your-customer norms prescribed by the Reserve Bank of India<\/a>.
“Some of the definitions have been left ambiguous and upon the SROs to decide, but the lack of specific definitions for concepts like wagering, financial loss, user harm, etc. could lead to disputes between the gaming companies and the regulatory bodies,” a top executive at a fantasy sports platform told ET.
Additionally, the rules also mandate the SROs to take measures to safeguard users against the risk of gaming addiction, financial loss and financial fraud. “While financial fraud is clearly laid down by the law, financial loss isn’t. The SROs would have been in a better position to make decisions if there was a threshold defined for financial loss,” a co-founder of an online gaming company said, on the condition of anonymity.
“As we transition to the self-regulatory model that will be recognised by MeitY, we look forward to working collaboratively with our industry peers and other stakeholders. We believe that this effort will help to create a sustainable and thriving gaming ecosystem in India,” Sai Srinivas, chief executive and co-founder, MPL said.
A section of the industry had also raised concerns with the draft regulations issued back in January over potential intellectual property leaks on account of the certification process by the SRO.
“We are thankful to the minister for having addressed these issues completely with a self-declaration mechanism with a three-month window to get certified by the SRO,” said Paavan Nanda, cofounder, WinZo<\/a> Games.
<\/p><\/body>","next_sibling":[{"msid":99291496,"title":"Trai extends comments deadline on draft regulation around metering and billing of telecom services","entity_type":"ARTICLE","link":"\/news\/policy\/trai-extends-comments-deadline-on-draft-regulation-around-metering-and-billing-of-telecom-services\/99291496","category_name":null,"category_name_seo":"policy"}],"related_content":[],"msid":99310109,"entity_type":"ARTICLE","title":"Govt notifies online gaming rules","synopsis":"\u201cThese rules don't deal with all the nuances of games of chance, games of skill. We bypassed that and laid out a basic principle that the moment an online gaming trespasses into involving betting and wagering, then it falls afoul of these rules,\u201d said Rajeev Chandrasekhar, minister of state for electronics and IT. The government considers \u201cthe online gaming ecosystem as being a very important and integral part of the goal of taking India\u2019s digital economy to $1 trillion,\u201d he said.","titleseo":"policy\/govt-notifies-online-gaming-rules","status":"ACTIVE","authors":[],"analytics":{"comments":0,"views":853,"shares":0,"engagementtimems":3211000},"Alttitle":{"minfo":""},"artag":"ETTelecom","artdate":"2023-04-07 08:01:34","lastupd":"2023-04-07 08:01:34","breadcrumbTags":["online gaming rules","rajeev chandrasekhar","reserve bank of india","online gaming","online gaming taxation","Policy","technology news","WinZO"],"secinfo":{"seolocation":"policy\/govt-notifies-online-gaming-rules"}}" data-authors="[" "]" data-category-name="Policy" data-category_id="19" data-date="2023-04-07" data-index="article_1">
政府通知在线游戏规则
新框架,创建了一个区分在线游戏和那些允许赌博,赌博行业成员的赞扬。然而,政府决定让押注于一个结果的开放式的定义可能会打开纠纷,他们补充说。
8节规定进行注册的公司行为,将由个人在网络游戏行业经验;个人经验,促进网络游戏用户的利益;一个教育家;心理健康专家;一个人在信息和通信技术领域经验;一个组织的现任或前任成员处理儿童权利的保护;一个公共政策、执法或公共财政专家;和任何其他个人经政府批准。
指出近几个月游戏企业家和初创公司往往被处理模糊和混乱的法律框架和运行与国家法律相冲突,钱德拉塞卡表示,“我们希望这些规则将创建一个更稳定、一致的可预测的框架为所有那些对网络游戏感兴趣的创业生态系统。”
他说,政府计划从三个自律监管,会决定批准更多取决于请求的数量和前三个自律监管的工作负载。
修改的通知是信息技术(中介指导方针和数字媒体道德代码)修正案规定,2023周四宣布。
专家认为,新的规则是企图“建立一个包罗万象的网络游戏产业的框架。”
“如果一个游戏公司经过“认证的SRO”的过程,这在某种程度上变得白名单,理想情况下应该在州的范围之外,作为绝缘行业,“Rameesh Kailasam,互联网行业的首席执行官身体IndiaTech说。
nabTerming新规则提供的清晰度作为投资者信心的提振Trivikraman Thampy,联合创始人&联合ceo Games24x7说,与消费者保护和负责任的游戏在最前列,监管框架将有助于逮捕离岸的扩散和非法赌博和博彩平台在印度,这对消费者利益的操作。”
欢迎的法规,严厉的耆那教徒,创始人兼首席执行官Dream11表示,它将“释放200亿美元的潜在印度网络游戏产业”和明显有助于总理的一万亿美元的数字经济的“愿景”。
监管清晰已成为印度的网络游戏产业的一个关键方面估计,到2027年增长到86亿美元从2022年的26亿美元的水平增长27%的复合年增长率(CAGR),根据游戏估计Lumikai集中风险基金。
近年来,一些在线游戏平台如Dream11 Games24x7,移动英超(MPL)已经成为独角兽,或创业公司估值超过10亿美元。印度网络游戏产业已累计吸引25亿美元的外国直接投资(FDI)。
国家规定
辩论什么是游戏的技能是一个机会,或者在线游戏公司已经好几年的一部分。
在几个订单幻想体育的最高法院也支持应用程序提供游戏的技巧,而不是机会。2021年,法院支持订单的拉贾斯坦邦高等法院曾说,幻想体育实际上是游戏的技能,而不是机会。
与此同时,专家认为,游戏,主要结果取决于因素取决于技巧,应该称为。而那些结果完全取决于概率游戏的机会。纸牌游戏如拉米纸牌游戏和扑克也被确定为游戏的技能。
此外,赌博和博彩继续话题。这意味着政府仍然可以决定是否允许赌博,彩票在他们的辖区。
“现在游戏的技能有一个明确的安全港提供的中央政府,保护从任何国家只要推和拉他们认证。如果他们没有认证,那么它不是避风港和可以治疗由各州和法院根据自己的解释,“网络游戏公司的联合创始人告诉等。
指向缺乏定义的赌博,在周四的通知、网络游戏公司的共同创始人表示,“需要语言清晰,否则会再次带我们去同一个地方的国家”。
“如果缺乏定义是一起读法律的土地,如果州政府决定一个特定的平台允许赌博,他们仍然可以被禁止,”他补充道。
明确税收
政府此举划分网络游戏从网上赌博遵循预算宣布今年早些时候,分开承认网络游戏赌博和博彩税收的目的。
行业成员说,他们正在等待明确的商品及服务税(GST),并敦促间接税征收只在博彩收入总值,而不是比赛的条目数量。博彩收入总值收取的费用是一个在线技能游戏平台服务费为了方便玩家参与游戏的平台,而比赛入口数量是整个所沉积的运动员进入比赛平台。
并称MeitY规则的通知是一个关键时刻的网络游戏产业在印度,“欢乐Bhattacharjya,行业组织的总干事印度幻想体育联合会表示:“预计结束的模棱两可行业应对,为可持续的和负责任的增长奠定基础。
指出印度的网络游戏产业已经吸引了25亿美元的外国直接投资,他表示,行业组织“期待与MeitY寻求必要的澄清成员发起合规流程”。
支付规则
进一步保护用户免受经济损失,政府还规定,网络游戏的中介,使访问允许网上真钱游戏不得”本身金融通过第三方提供的信用或使融资为目的的玩这样的网络游戏”。
之前接受任何存款以现金或来自用户,游戏中介需要验证用户的身份后,了解你的客户规范规定的印度储备银行。
“一些定义了模糊和自律监管决定,但缺乏具体的定义概念,如赌博,经济损失,用户伤害,等可能导致游戏公司和监管机构之间的纠纷,”一位高管在幻想体育平台告诉等。
此外,自律监管机构采取措施维护规则也授权用户对游戏成瘾的风险,经济损失和金融欺诈。“虽然金融欺诈显然是由法律,经济损失不是。自律会更好地做出决定是否有一个阈值定义为金融损失,“网络游戏公司的创始人说,不愿透露姓名的。
“当我们过渡到自我监管模式将由MeitY认可,我们期待合作与我们的同行和其他利益相关者。我们相信,这一努力将有助于创建一个可持续发展和繁荣的游戏生态系统在印度,”赛斯,首席执行官和共同创始人,MPL说。
部分行业也担心与条例草案发表在1月份在潜在的知识产权泄露账户“认证过程的SRO”。
“我们感谢部长有解决这些问题完全与自行申报机制三个月窗口“认证的SRO”,“Paavan南达说,创始人之一,WinZo游戏。
New Delhi: India’s gaming industry has been permitted to define its own parameters for what online games will be permitted to operate in India as the centre notified new rules for the sector on Thursday. Self -regulatory organisations (SRO’s), consisting of industry representatives and experts will have the power to decide which games can be offered to users even as the government cautioned that it will not allow wagering or betting of any kind nor permit games that cause harm to consumers.
The new framework that creates a distinction between online games and those allowing betting and wagering has drawn praise from industry members. However, the government’s decision to keep the definition of ‘wagering on an outcome’ open-ended could potentially open up disputes, they added.
“These rules don't deal with all the nuances of games of chance, games of skill. We bypassed that and laid out a basic principle that the moment an online gaming<\/a> trespasses into involving betting and wagering, then it falls afoul of these rules,” said Rajeev Chandrasekhar<\/a>, minister of state for electronics and IT. The government considers “the online gaming ecosystem as being a very important and integral part of the goal of taking India’s digital economy to $1 trillion,” he said.
The SROs -registered under Section 8 of the Companies Act-- will consist of an individual having online gaming industry experience; an individual having experience in promoting interests of online gaming users; an educationist; a mental health expert; an individual with experience in information and communication technology field; a current or former member of an organisation dealing with protection of child rights; a public policy<\/a>, law enforcement or public finance expert; and any other individual approved by the government.
Pointing out that in recent months gaming entrepreneurs and startups have been dealing with ambiguous and often confusing legal framework and running afoul of the state laws, Chandrasekhar said that “ we hope that these rules will create a much more stable, consistent predictable framework for all those startups that are interested in the online gaming ecosystem.”
He said the government plans to start with three SROs and will decide on approving more depending on the number of requests and the workload of the first three SROs.
The notification was part of the amendments to the Information Technology (Intermediary Guidelines and Digital Media Ethics Code) Amendment Rules, 2023 announced on Thursday.
Experts are of the view that the new rules are an attempt “to create an overarching framework for the online gaming industry.”
“If a gaming company goes through the process of being certified by the SRO, it in a way gets whitelisted and ideally should be outside the remit of states and act as an insulation for this sector,” Rameesh Kailasam, CEO of internet industry body IndiaTech said.
nabTerming the clarity provided by the new rules as a boost for investor confidence Trivikraman Thampy, co-founder & co-CEO, Games24x7 said, ‘with consumer protection and responsible gaming at the forefront, the regulatory framework will aid in arresting the proliferation of offshore and illegal gambling and betting platforms in India, which operate with little regard for consumer interest.”
Welcoming the regulations, Harsh Jain, cofounder and chief executive of Dream11 said it would “unlock the potential for our $20 Billion Indian Online Gaming industry” and significantly contribute to the Prime Minister’s “vision of a trillion dollar digital economy\".
Regulatory clarity has emerged as a critical aspect for India’s online gaming industry estimated to grow to $8.6 billion by 2027 from a level of $2.6 billion in 2022 growing at a compounded annual growth rate (CAGR) of 27%, according to estimates by gaming focused venture fund Lumikai.
In recent years, several online gaming platforms such as Dream11, Games24x7, Mobile Premier League (MPL) have become unicorns, or startups with valuation of over $1 billion. The Indian online gaming industry has cumulatively attracted $2.5 billion in foreign direct investment (FDI) so far.
State rules<\/strong>
The debate on what constitutes a game of chance or that of skill is one that online gaming companies have been a part of for several years.
In several orders the Supreme Court has upheld that fantasy sports apps offered games of skill, and not chance. In 2021, the apex court had upheld an order of the Rajasthan High Court which had said that fantasy sports were in fact games of skill and not chance.
Meanwhile, experts hold that games, where predominantly the outcome depends on factors determined by skill, should be termed as such. Whereas those where outcomes depend purely on probabilities are games of chance. Card games such as Rummy and Poker have also been determined to be games of skill.
Moreover, gambling and betting continue to remain a state subject. This means that state governments will still be able to decide if they want to allow gambling, lottery in their jurisdictions.
\"Now games of skill have a clear safe harbour provided by the central government, which protects from any push and pull from the state so long as they are certified. If they aren’t certified then it’s not under the safe harbour and can be treated by the states and courts according to their interpretations,\" a co-founder of an online gaming company told ET.
Pointing to the lack of definition on wagering, in Thursday’s notification, a co-founder of an online gaming company said it “requires language clarity, else would again bring us to the same place with the states”.
“If the lack of definition is read together with laws of the land, and if state governments determine that a particular platform allows gambling, they can still potentially be banned,” he added.
Clarity on Taxation<\/strong>
This move by the government to demarcate online games from online betting follows the Budget announcement earlier this year, which recognised online gaming separately from betting and gambling for taxation purposes.
Industry members said they are now awaiting clarity on the imposition of goods and services tax (GST), and has urged that the indirect tax be levied only on gross gaming revenue, and not on the contest entry amount. The gross gaming revenue is the fee charged by an online skill gaming platform as service charges to facilitate the participation of players in a game on their platform while contest entry amount is the entire amount deposited by the player to enter a contest on the platform.
Terming the notification of MeitY rules as “a pivotal moment for the online gaming industry in India,” Joy Bhattacharjya, director general of industry body Federation of Indian Fantasy Sports said “ it is expected to put an end to the ambiguities that the industry was grappling with and lay the foundation for sustainable and responsible growth.
Pointing out that India’s online gaming industry has already attracted $2.5 billion in FDI he said the industry body was “looking forward to engaging with MeitY to seek requisite clarifications as members initiate the compliance process”.
Payment Rules<\/strong>
To further protect users from financial harm, the government has also mandated that online gaming intermediaries which enable access to permissible online real money games shall not “itself finance by way of credit or enable financing to be offered by third party for the purpose of playing such online game”.
Before accepting any deposit in cash or kind from users, the gaming intermediary will be required to verify the identity of the user by following the know-your-customer norms prescribed by the Reserve Bank of India<\/a>.
“Some of the definitions have been left ambiguous and upon the SROs to decide, but the lack of specific definitions for concepts like wagering, financial loss, user harm, etc. could lead to disputes between the gaming companies and the regulatory bodies,” a top executive at a fantasy sports platform told ET.
Additionally, the rules also mandate the SROs to take measures to safeguard users against the risk of gaming addiction, financial loss and financial fraud. “While financial fraud is clearly laid down by the law, financial loss isn’t. The SROs would have been in a better position to make decisions if there was a threshold defined for financial loss,” a co-founder of an online gaming company said, on the condition of anonymity.
“As we transition to the self-regulatory model that will be recognised by MeitY, we look forward to working collaboratively with our industry peers and other stakeholders. We believe that this effort will help to create a sustainable and thriving gaming ecosystem in India,” Sai Srinivas, chief executive and co-founder, MPL said.
A section of the industry had also raised concerns with the draft regulations issued back in January over potential intellectual property leaks on account of the certification process by the SRO.
“We are thankful to the minister for having addressed these issues completely with a self-declaration mechanism with a three-month window to get certified by the SRO,” said Paavan Nanda, cofounder, WinZo<\/a> Games.
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