TNOGA enacts Regulations for RMG Platforms: Bans Minors from Real Money Games, Imposes Restrictions

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The Tamil Nadu Online Gaming Authority has introduced rules to regulate online real money gaming, including a ban on minors participating in such games. The regulations were approved through a government notification issued by Additional Chief Secretary Dheeraj Kumar.

As reported by The Hindu, under the revised guidelines, an ‘online real money game’ is defined as a game where users deposit cash or kind with the expectation of earning winnings. These winnings, as per the regulations, include any form of prize distributed based on a player’s performance in the game.

Key Provisions of the Regulations

Age Restriction: Individuals below 18 years of age are prohibited from playing online real money games.

Mandatory KYC Verification:

Online gaming platforms must implement a Know Your Customer (KYC) verification process during account creation. Players will need to authenticate their identity using Aadhaar-based verification, followed by a secondary One-Time Password (OTP) verification linked to their mobile number.

Responsible Gaming Measures:

Platforms must display real-time pop-up warnings if a player exceeds an hour of continuous gameplay. Additional warnings will appear at 30-minute intervals, reminding users of the total time spent.

Monetary Limits:

Gaming providers must allow users to set daily, weekly, and monthly spending limits. Whenever funds are deposited, a notification in bold text will remind players of their spending limits and total expenditure.

Cautionary Messaging:

The login page of all real money gaming platforms must display a warning message: “Online Gaming is Addictive in Nature.”

Restricted Hours:

A ‘blank hours’ policy has been introduced, barring users from logging into real money gaming platforms between midnight and 5 a.m. (IST).

Regulatory Oversight and Implementation

The Tamil Nadu Online Gaming Authority, chaired by retired IAS officer Md. Nasimuddin, is responsible for overseeing the implementation of these regulations. The authority will issue registration certificates to local gaming providers, identify games of chance for government review, and ensure compliance with the framework.

These measures fall under the Tamil Nadu Prohibition of Online Gambling and Regulation of Online Games Act, 2022 (Tamil Nadu Act 9 of 2023), focusing on curbing online gaming addiction and safeguarding users from financial risks.

The regulations have prompted discussions within the gaming industry, with stakeholders evaluating their impact on operations and user engagement. While the move aims to promote responsible gaming, industry experts suggest that compliance challenges and user adaptability will influence the effects of these rules. Jay Sayta, a Technology & Gaming Lawyer, also points out a major pain point—the difficulty of implementing these regulations for only one state, with the possibility of varying regulations in different states in the future. He stresses the need for nationwide common guidelines or a regulatory framework to ensure uniformity and ease of implementation.

Tamil Nadu establishes a framework for online gaming regulation, reinforcing the government’s stance on protecting minors and promoting responsible gaming practices. However, industry stakeholders continue to express concerns over the practicality of enforcing state-specific regulations, especially with the evolving nature of online gaming laws across different jurisdictions. The industry seeks a balance between regulation and operational feasibility to ensure both compliance and user engagement.

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