Analysts urge smart regulation to balance consumer protection and industry growth. A blanket ban could lead to a ₹20,000 crore tax loss.
India’s proposed Online Gaming Bill has sparked debate, with real-money gaming (RMG) in focus as regulators push for tighter controls.
RMG covers poker, rummy, and fantasy sports where players stake real cash.
Nazara Tech, Delta Corp: What Should Investors Do?
SEBI-registered analyst Front Wave Research said Nazara Technologies faces minimal risk as the company has no consolidated RMG revenue, only a non-controlling stake in PokerBaazi. Its business is diversified into e-sports and gamified learning.
Delta Corp, however, carries high exposure since casinos and RMG are core to its business, with regulatory clarity still needed. Industry bodies have warned of a ₹20,000 crore tax loss.
Front Wave added that regulators view RMG as high-risk due to its resemblance to gambling, driving the focus on prohibition. Near-term turbulence is expected, but once compliance stabilises, regulated e-sports and gaming could thrive.
On technicals, Front Wave highlighted that Nazara is in a strong uptrend, but if the stock sustains below ₹1,300 at the end of the week, it would mark a break of structure and not a “buy the dip” case until the long-term structure turns positive.
For Delta Corp, the stock has already been hit by regulatory overhang, but a breakout above ₹97 could flip the structure positive for the first time in months.
Blanket Ban And Industry Pushback
SEBI-registered analyst Pradeep Carpenter said the government’s proposal for a blanket ban on all real-money online games, including skill-based ones like fantasy sports and rummy, threatens a ₹2 lakh crore industry.
He noted this could lead to a ₹20,000 crore tax loss, closure of over 400 startups, and 200,000 job cuts. Industry bodies such as AIGF, EGF, and FIFS have written to Home Minister Amit Shah, urging regulation instead of prohibition.
Carpenter outlined the pros of a ban as protecting youth from addiction and overspending, addressing suicide and fraud concerns, and simplifying enforcement.
The cons, however, include heavy economic losses, a shift of users to offshore gambling apps, and a blow to investor confidence in India’s startup ecosystem.
He suggested alternatives to prohibition through clear definitions distinguishing skill-based games from gambling, a licensing framework for certified operators, strict KYC and age-gating, spending limits, addiction safeguards, advertising controls, and stable taxation.
Carpenter also flagged the importance of youth empowerment through esports and local game development incentives.
Outlook
Front Wave Research expects near-term turbulence but sees long-term potential for regulated esports and gaming.
Carpenter warned that a blanket ban could cripple a sunrise industry and said smart regulation could balance protection with growth, tax revenues, and innovation.
What Is The Retail Mood?
On Stocktwits, retail sentiment for both Nazara Technologies and Delta Corp was ‘neutral’ with ‘normal’ message volume.
While Nazara’s stock has risen 30% so far in 2025, Delta Corp’s stock has declined 13.2% over the same period.
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