{"id":777033721,"date":"2025-10-27T10:38:18","date_gmt":"2025-10-27T13:38:18","guid":{"rendered":"https:\/\/focusgn.com\/asia-pacific\/?p=777033721"},"modified":"2026-04-21T17:47:10","modified_gmt":"2026-04-21T20:47:10","slug":"1xbet-betting-ban-in-india-protection-of-public-or-underground-market-rise","status":"publish","type":"post","link":"https:\/\/focusgn.com\/asia-pacific\/1xbet-betting-ban-in-india-protection-of-public-or-underground-market-rise","title":{"rendered":"1xBet: Betting ban in India, protection of public or underground market rise?"},"content":{"rendered":"\n<p>The company analyses the law that bans real-money gambling.<\/p>\n\n\n\n<!--more-->\n\n\n\n<p>Opinion.- From October 1, 2025, <strong>a law banning real-money gambling <\/strong>came into effect in <strong>India<\/strong>. The country now faces a crossroads of economic and social interests. The authorities justify this decision as necessary to protect citizens from gambling addiction, fraud, and money laundering. However, the financial consequences of this approach could be significantly larger, ranging from lost investments in the sports industry to the growth of the shadow market.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Sports economy without partners: who loses most<\/h2>\n\n\n\n<p>India\u2019s sports industry, especially <strong>cricket<\/strong>, has long been a magnet for private capital. However, the new law has effectively cut off access to investments from local and international gambling brands, which have traditionally sponsored clubs, leagues, and athletes.<\/p>\n\n\n\n<p>Before the ban, India hosted around 400 real-money gaming (RMG) companies, generating nearly $2.3bn in taxes each year and supporting over 200,000 jobs. One of them, Dream11, India\u2019s largest fantasy sports platform, became the main sponsor of the national cricket team for three years in July 2023, with its logo even appearing on the team\u2019s jerseys. But now, that is history. Another company, My11Circle, valued at $2.5bn, was a partner of the Indian Premier League. Both companies have stopped operating.<\/p>\n\n\n\n<p>At the global level, several international betting brands invest in sports development through both sponsorship deals and social programs. Among them is <a href=\"https:\/\/focusgn.com\/asia-pacific\/sai-sudharsans-rise-shreyas-iyers-clear-leadership-and-vaibhav-suryavanshis-debut-how-ipl-2025-influenced-fans-favourites-according-to-1xbet\" data-type=\"link\" data-id=\"https:\/\/focusgn.com\/asia-pacific\/sai-sudharsans-rise-shreyas-iyers-clear-leadership-and-vaibhav-suryavanshis-debut-how-ipl-2025-influenced-fans-favourites-according-to-1xbet\" target=\"_blank\" rel=\"noreferrer noopener\">1xBet<\/a>, best known for its partnerships with football and cricket clubs, as well as its support for Indian para-athletes and charitable initiatives promoting inclusion in sports.<\/p>\n\n\n\n<p>Under current conditions, betting companies are unable to collaborate with Indian clubs or sports organisations. As a result, Indian sport misses out on significant investments that could support infrastructure, youth programmes, and athlete development. A clear example is 1xBet, which actively supports cricket outside India, including the Durban Super Giants and the European Cricket Network, investing in the promotion of the game and the cricket ecosystem development.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Tax losses and regulated market potential<\/h2>\n\n\n\n<p>According to the analysis by SCCG Management (\u201cCricket, Cards and Cash: How India\u2019s Digital Betting Market Is Shaping Global Gaming\u201d),<strong> legalised betting could bring billions of dollars<\/strong> to the government each year, creating not only a tax base but also thousands of jobs. Researchers at IJFMR estimate that full legalisation could add 0.4\u20130.6 per cent to India\u2019s GDP in the first three years of a regulated sector.<\/p>\n\n\n\n<p>In contrast, current tax policies and unclear regulations discourage investors. The 28 per cent GST on player deposits is quite high, while most jurisdictions worldwide tax only gross gaming revenue.<\/p>\n\n\n\n<p>These conditions push businesses underground and lead users to play through offshore sites. As a result, the government loses not only tax revenue but also control over financial flows.<\/p>\n\n\n\n<p>It would be more economically beneficial to adopt a \u201ccontrolled legalisation\u201d model with moderate tax rates and auditing. Following examples from the UK or the Philippines, such a system could balance government interests with the market\u2019s commercial appeal.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Responsible gambling and government institutions role<\/h2>\n\n\n\n<p>India\u2019s main problem is the lack of government institutions that could both <strong>control the market and support social programmes<\/strong>. Regulation<strong> <\/strong>is not just about taxes; it should include addiction prevention, support for gamblers, and educational initiatives.<\/p>\n\n\n\n<p>In developed jurisdictions, special agencies (for example, the UK Gambling Commission) not only issue licences but also fund support programmes, research, and training initiatives for operators.<\/p>\n\n\n\n<p>India lacks such structures. Setting up a dedicated commission could be the first step towards proper regulation. Its functions could include issuing licences, auditing algorithms, monitoring transactions, detecting suspicious activity, and funding psychological support centres.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Ban as risk: economic impact and market consequences<\/h2>\n\n\n\n<p>A complete ban on real-money games threatens a multi-billion-dollar industry. Even now, platforms are challenging the law in courts, and major investors are \u201cfreezing\u201d deals, fearing capital losses due to legal uncertainty.<\/p>\n\n\n\n<p><strong>The ban does not eliminate gambling \u2013 it just moves it offshore<\/strong>. Players continue to use international sites outside Indian jurisdiction, do not pay taxes, and, most importantly, do not follow safety standards. As Yahoo Finance notes, this could lead to a \u201cbrain drain,\u201d with top game development specialists and analysts moving to more liberal jurisdictions.<\/p>\n\n\n\n<p>In the long term, economic losses could be significant: instead of developing the tech sector, India risks the growth of an illegal market that creates no jobs, pays no taxes, and is beyond government control.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Conclusion<\/h2>\n\n\n\n<p>A complete ban on betting in India is <strong>an attempt to solve a social problem through administrative measures<\/strong>, but from an economic perspective, it is a strategic mistake. By losing investments in sport, technology, and startups, the government misses the chance to create a controlled, transparent, and socially responsible market.<\/p>\n\n\n\n<p>Regulation, not ban \u2013 the path followed by mature economies.<\/p>\n\n\n\n<p>If India established a legal licensing system for operators and a regulated gambling market, investments from global companies such as 1xBet could flow directly into the country\u2019s economy \u2013 into sports infrastructure, educational projects, training centres, and programmes for gambling addiction prevention. The government would gain tax revenue, strengthen its position in the global digital economy, and cricket would remain not just a game but a tool for development.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>The company analyses the law that bans real-money gambling.<\/p>\n","protected":false},"author":218,"featured_media":777033723,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"is_press_release":false,"is_interview":false,"is_opinion":true,"focusai_summary":"India's ban on real-money gambling, effective October 1, 2025, is projected to cause significant economic repercussions, including substantial tax revenue losses, job displacement, and a detrimental impact on sports sponsorships. The current 28% GST on player deposits and the absence of a robust regulatory framework are driving the market underground, contrasting with potential benefits of a controlled legalisation model. This policy shift presents a critical crossroads for India's economic and social interests, with implications for both domestic and international iGaming stakeholders.","focusai_entities":"Dream11, My11Circle, 1xBet, SCCG Management, IJFMR, UK Gambling Commission, Durban Super Giants, European Cricket Network","focusai_location":"India, UK, Philippines","focusai_target_profile":"ceo_executive (0.9), regulator (0.95), compliance_legal (0.9), operator_casino (0.95), payments_fraud_aml (0.8), investor_analyst (0.95), supplier_vendor (0.85), journalist_researcher (0.9), marketing_crm (0.7)","focusai_suggestions":[{"label":"India's Regulatory Future?","query":"What specific governance frameworks and licensing models, beyond the UK or Philippines examples, could India adopt to balance public protection with economic benefits from a regulated iGaming sector?"},{"label":"Shadow Market Impact?","query":"How will the growth of the shadow market in India impact the efficacy of AML and responsible gambling initiatives, and what enforcement challenges will regulators face without a formal framework?"}],"footnotes":""},"categories":[24777,16334],"tags":[24349],"class_list":["post-777033721","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-partner-news","category-south-asia-news","tag-1xbet"],"_links":{"self":[{"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/posts\/777033721","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/users\/218"}],"replies":[{"embeddable":true,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/comments?post=777033721"}],"version-history":[{"count":3,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/posts\/777033721\/revisions"}],"predecessor-version":[{"id":777033726,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/posts\/777033721\/revisions\/777033726"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/media\/777033723"}],"wp:attachment":[{"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/media?parent=777033721"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/categories?post=777033721"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/focusgn.com\/asia-pacific\/wp-json\/wp\/v2\/tags?post=777033721"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}