Spandan Foundation Calls for Regulations on Fantasy Sports and Opinion Trading Amid Cricket Season

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As the ICC Champions Trophy gets underway and the Indian Premier League (IPL) 2025 approaches, discussions over the regulation of fantasy sports and opinion trading platforms are increasing. Consumer interest organisations and civil society actors have called for regulations to safeguard players from financial risks and misleading advertising tactics.

As reported by Money Control, the Spandan Foundation, a civil society organisation, has submitted a representation to the Finance Ministry highlighting a regulatory gap that leaves consumers unprotected. It raised concerns over deceptive advertisements and the financial harm experienced by players, particularly those facing losses in fantasy sports betting. The foundation urged the government to establish a regulatory framework to address these issues.

This appeal follows a joint representation made by ten organisations, including the New Indian Consumer Initiative (NICI) and PEN Media Literacy, advocating for regulation of opinion trading platforms. These groups argue that such platforms blur the lines between gaming, trading, and investment, exposing users to financial risks.

Growing Concerns Over Financial Risks and Misleading Advertisements

“Fantasy sports and opinion trading platforms operate under the pretence of skill-based gaming, often misleading users. They encourage individuals to stake their money on outcomes that may not yield expected rewards,” Spandan Foundation stated.

Opinion trading, also known as prediction markets, allows users to wager on the outcomes of real-world events, ranging from elections and sports matches to economic trends and entertainment events. The sector has seen notable growth in India, with an estimated 5 crore users and annual trading volumes exceeding Rs 50,000 crore.

Similarly, the fantasy sports market has grown in recent years, with an estimated 22.5 crore users in India and an annual growth rate of 30%. Concerns over financial losses among players have contributed to calls for regulation.

The joint representation also noted that several Asian and Western countries have implemented regulations and restrictions on opinion trading markets. The signatories argue that India should consider similar measures to protect consumers from financial risks.

As investments continue in these industries, discussions about their regulation continue. Whether the Indian government will take action remains to be seen, but with increasing calls from consumer rights organisations, regulatory measures may be considered.

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