Experts Call for Central Registry and Proactive Measures to Combat Offshore Betting in India

As the popularity of offshore betting platforms continues to rise in India, experts are urging the establishment of a central registry and the implementation of proactive measures to address this growing problem. The International Betting Integrity Association (IBIA) reported a 12% year-on-year and 65% sequential increase in suspicious betting alerts to 56 in the first quarter of 2024, with Asia accounting for 41% of the alerts.

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Why this matters: The proliferation of offshore betting platforms in India poses significant risks, including direct/indirect tax evasion, money laundering, and potential terror funding. Addressing this issue is crucial for protecting Indian players and safeguarding national security.

The Aviator, a popular real-money crash game, has gained significant popularity in India, captivating players with its dynamic RNG-based gameplay, impressive RTP rate, and Provably Fair system. However, experts emphasize the importance of choosing licensed and regulated online casinos to ensure player security. The use of Aviator Predictor, an application that monitors the slot's signals and provides forecasts, is also discussed, with both advantages and concerns raised.

The ambiguous legal status of online gambling in India, where it is neither completely legal nor illegal, has led to the proliferation of offshore betting platforms. These platforms are estimated to receive around ₹8,20,000 crore per annum in revenues from India and have seen a growth rate of 20% over the past three years. They are involved in direct/indirect tax evasion, money laundering, and even potential terror funding, posing a serious threat to national security.

Experts suggest a proactive and multi-faceted approach, including the establishment of a central registry of legitimate online gaming companies, to combat the menace of offshore betting platforms in India. "A comprehensive strategy is required, combining firewalls, user awareness, and collaboration with financial institutions and internet service providers," said a leading industry expert. Establishing a central registry of legitimate online gaming companies, along with a KYC database and validation, could help distinguish legal from illegal platforms.

Experts also suggest that the financial sector and the Reserve Bank of India can adopt a similar approach to tackle the issue of illegal betting apps and platforms, with consumer awareness campaigns to support these efforts. "The Reserve Bank of India and the financial sector can play a crucial role in identifying and blocking transactions related to illegal betting platforms," added another expert.

Key Takeaways

• Offshore betting platforms in India pose risks of tax evasion, money laundering, and terror funding.
• Suspicious betting alerts increased 12% YoY and 65% sequentially in Q1 2024, with Asia accounting for 41%.
• Experts urge a central registry and proactive measures to combat the proliferation of offshore betting platforms.
• The ambiguous legal status of online gambling in India has led to the growth of offshore betting platforms.
• Collaboration with financial institutions and ISPs, and consumer awareness campaigns are suggested to tackle the issue.