5 Reasons Why iGaming Industry Should Be Regulated
In Asia, iGaming is still subjected to a lot of myths and misconceptions which is challenging for most of the leading legitimate platforms to operate. Here are a few reasons why regulating iGaming is important
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The gaming industry for the Indian audience has experienced phenomenal growth over the past few years. As per KMPG, the Indian game users are projected to grow to 657 Million in 2025. The same growth has been reflected in the iGaming industry as well. To put this in perspective, the global iGaming market is growing at the rate of 11.7% from 2022 and 2023 from USD 57.5 Million in 2021. The growing nature of the iGaming market proves the demand for such platforms.
In Asia, iGaming is still subjected to a lot of myths and misconceptions which is challenging for most of the leading legitimate platforms to operate. At the same time, due to a lack of regulation and standard framework, a lot of bogus platforms are targeting underage or people prone to addiction to make quick money. Here are a few reasons why regulating iGaming is important.
Reduce the number of fraudulent platforms
Many times, players complain that the prize money is not getting transferred to their account or that a platform has fixed outcomes. The legitimate iGaming platform usually procures an iGaming license that ensures a fair and transparent gaming experience for the players. However, it is not mandatory at the moment for all iGaming platforms to have a third-party license. This has led to many fraudulent platforms in the market. If regulated, such platforms can be easily banned, ensuring that players indulge in fair and legitimate gaming.
Assist in reducing gambling addiction
Regulating iGaming will also help in curbing gambling addiction to an extent. For example, most leading iGaming platforms have tools in place that identifies patterns for gambling addiction. Depending on the framework that we will have in the country, the platform can report such users to designated authorities for counselling.
Encourage responsible gambling
The platforms can also have AI tools and manual checks to ensure that only players above 18 years can access the platform. Any player who has not uploaded the necessary documents can be banned from the platform.
Support user data privacy.
While India is still waiting on the data privacy bill, regulating iGaming industry will force the platforms to adhere to the data privacy laws of the country. This will ensure that players’ personal and financial data is protected at all times.
Contribute to achieving India's goal of a $5 trillion GDP
iGaming contributes significantly to total tax receipts. The growth of the igaming sector aids in shifting the economic paradigm. The government, industry, and customers all profit from this.
To maximise its beneficial effects, the iGaming business has to be moderately regulated. But the good things are thrilling and are supported by growth.
It is well known that the iGaming industry has seen significant growth in popularity in recent times. The implementation of self-checks, self-exclusion, and player awareness about responsible gaming can be enforced only through regulations. Thus, a clear regulatory framework will be crucial for the industry's continued expansion in a sustainable manner.
Disclaimer: The views expressed in the article above are those of the authors' and do not necessarily represent or reflect the views of this publishing house
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