Online Gambling in India: A Threat to Financial Crime

A new report by the Digital India Foundation (DIF) warns that India’s online gaming industry is vulnerable to fraud and money laundering. According to the report, “Countering Money Laundering in the Online Gaming Ecosystem,” India’s land-based gambling sector, which has about 90 million daily players, is growing rapidly but needs enhanced security measures.

The DIF report calls for strengthening KYC practices and anti-money laundering systems. Illegal betting sites that circumvent regulations by using VPNs, mirror sites, and cryptocurrencies for payments pose a particular threat.

Arvind Gupta, co-founder of DIF, emphasizes the importance of strengthening regulation because illegal platforms mislead players with promises of quick wins. The report recommends creating a task force to combat illegal gambling and raise awareness among gamblers about the risks.

The illegal sector generates $100 billion a year, posing a threat to India's national security and financial stability.