In recent years, India has witnessed a surge in the popularity of fantasy gaming apps, with millions of users joining platforms thanks to top sporting and Bollywood stars promoting them in flashy ads. These apps enable users to create virtual teams of real-life athletes and compete based on their performance, with the chance to win cash prizes and rewards.
However, these apps have raised several concerns due to a lack of regulatory oversight and extensive advertising campaigns.
Fantasy gaming apps have been the top advertisers on television during IPL-16, with 18% of the advertising share, up from 15% in the previous IPL, according to a TAM advertising report. These apps use famous cricket players and popular actors in their advertisements, contributing to their immense popularity. A recent report by consultancy RedSeer revealed that the income of fantasy gaming platforms increased by 24 percent during the IPL cricket matches from 2022 to 2023, reaching over 28 billion rupees ($341m).
About 61 million users participated in fantasy gaming activities, with nearly 65 percent of them hailing from small towns.
In response to an increase in advertisements and endorsements for betting and gambling, India’s consumer watchdog had in fact issued an advisory warning celebrities about promoting such activities.
The Central Consumer Protection Authority (CCPA), in a circular had said that any violation of its guidelines would be met with strict legal action, which could mean penalties for all those involved—from manufacturers and advertisers to social media platforms and even the celebrities themselves—while also referring to multiple notifications issued by it in 2022 and 2023.
Endorsement by celebrities gives an impression that indulging in such activity is acceptable. Engaging in the promotion or advertisement of online gambling and betting, given its unlawful status in the majority of the states, renders one equally liable for participating in an illegal activity.
Hence, celebrities and influencers must refrain from endorsing and promoting illegal betting and gambling activities.
The agency, which comes under the nodal ministry of consumer affairs, reiterated that promoting or advertising any illegal activities in itself is also illegal. It had cautioned that any advertisement or endorsement, whether directly or indirectly, of activities which are otherwise prohibited by law, including but not limited to betting or gambling, through advertisements or promotions, shall be subject to rigorous scrutiny.
But there is not much change on the ground. More than a dozen celebrities including cricketers, commentators and Bollywood stars endorse online betting platforms. Many of the celebrity endorsements have not stopped endorsements of e-betting apps despite multiple warnings issued by the authorities.
Online gambling, when endorsed by a celebrity, increases the chances that youngsters exposed to such advertisements will give it a try, according to a survey by researchers from IIM Rohtak, who said this trend may push many into addiction.
Their survey concluded that the intent to gamble multiplied when a celebrity endorsed a gambling app. The survey also found that this tendency reduced if the same celebrity who had endorsed the app also gave the warning against gambling addiction that is mandated under the law.
There’s a growing need for a uniform national law to regulate these apps effectively. Existing laws, such as the Juvenile Justice Act of 2015 and the Information Technology Rules of 2021, are insufficient in addressing the extensive psychological repercussions, especially on minors.
The exponential rise in online betting apps in India has had profound consequences, particularly on the country’s youth.
Online gaming betting is a prevalent addiction, and platforms like online gaming and trading are often used for betting purposes.
The allure of potential winnings can lead individuals to engage in continuous gambling, even to the detriment of other aspects of their lives. This addiction can result in severe financial and psychological consequences, including depression, anxiety, and stress.
The celebrities are social influencers. People blindly follow whatever the celebs do. Therefore, it is their moral responsibility not to indulge in activities that can destroy lives.