Online Gaming or participating in an activity which is a game of skill is creating a new dimensional space in India. The most challenging factor which is dealt by the Online Gaming industry in India is that there is no specific law to govern this industry which is contributing to a large extent to the GDP of India. The only legislation that regulates gambling is the Public Gambling Act of 1867. This legislation was initially applied distinctly to the ten states which were under British control though later, the States formed their own legislations. Different States having their own Legislations and accordingly States that permit gambling/online gaming/ game of skills give certain advantages to this booming Industry.

The main cause of concern in this Industry is there is lot of grey area relating to various laws which attract severe penalties as well as penal actions. The Prevention of Money Laundering Act, The Black Money Act, Foreign Exchange Management Act, The Information and Technology Act are laws which need to be acquainted with by the Entrepreneurs to combat any uncalled-for legal intricacies. For this a strict legal audit has to be regularly maintained for smooth functioning of the business within the legal umbrella.