Domestically, the iGaming industry has raised US$2.8 billion in the last five years with the three largest gaming unicorn companies in India — Game 24X7, Dream 11 and Mobile Premier League.
Crypto gaming in India is expanding quickly, with an estimated US$3.9 billion in revenue by 2025. This is because India has the largest fantasy sports market, with more than 421 million online gamers in 2022. By the end of the year, the figure can reach 442 million.
The play-to-earn (P2E) sector is one of the major segments in the iGaming industry. It allows players to earn cryptocurrency by playing the game, which has attracted many Indian gamers.
Additionally, crypto transactions are anonymous and more secure because they use cryptography. Cryptography is the process of coding information so that only the person with the key can read it.
Thriving Crypto Industry
The security and convenience of crypto transactions became one of the driving factors of crypto expansion in India. According to Statista, India is on track to reach 156 million crypto users by the end of 2023 and 328 million users in 2027.
The report also shows that crypto users in India surged by 760 percent between 2017 and 2022, with 134 million users last year. This huge spike could be attributed to India’s plan to implement a cashless economy, massive smartphone users and the rise of the fintech sector. Cryptocurrency in India is estimated to generate profits of US$3.3 billion this year.
Popularity of Crypto Online Casino
The implementation of blockchain technology has been very crucial in the iGaming industry in India. Although still growing, online casinos integrating crypto are consistently increasing in popularity in several regions in India.
Currently, there is no official law regarding crypto online gambling or overall online casinos in India. However, several states like Goa, Daman and Sikkim have legalized online casinos. More states are expected to follow this and open up a major crypto online gambling market in India.
Indian casinos itself are prohibited from having online casinos. However, offshore gambling companies are not prohibited from having a site that focuses on the Indian market. The only requirement for these offshore companies is to offer payment using Indian rupees. This is why many online casinos already accept payment using cryptocurrencies. A transaction using blockchain is preferred over conventional means of payment.
There are several popular crypto games in India, like Aviator game online. Developed by Spribe, the games will let players bet on a plane that is slowly gaining altitude. The Aviator game is crypto-based and can be played using coins like Bitcoin, Ethereum, and other popular cryptocurrencies.
Each round lasts only a few seconds, so players must decide when to withdraw their bet. If players withdraw too early, the multiplier for the prize is lower. However, withdrawing too late will make you lose as the plane disappears. Your judgment will decide the outcome of this game.
Online casinos also introduced an online version of games already played widely in India, like poker, slot, and sports betting. As a result, many players prefer to play in online casinos rather than going directly to the casinos.
With this increase in online casinos, India is looking to form a new gaming bill to replace the Public Gambling Act of 1867. In 2022, this new bill was introduced in the Lok Sabha on April 1. However, some gambling experts say this new regulation still has many holes and is a work in progress.
Felicia Wijkander, editor-in-chief at ENV Media, said online casinos should not be regulated the same way as gaming platforms like first-person shooters with microtransaction features. These games are widely different from gambling games.