With the advent of Online Fantasy Sports Platforms (OFSPs), sports fans all across the planet located a new avenue to take their fandom to newer heights. More than just a medium of enjoying their favourite live sports, fans got a platform to show their abilities, which have been otherwise restricted to just conversations. They could back their claim of getting an professional with actual information, and it was only a matter of time ahead of Fantasy Sports became a phenomenon.
Let’s have a appear at how the business has grown more than the years
Going by FIFS’ report, there’s no denying that sports fans have welcomed the innovation of fantasy sports. Along with the development of the userbase from 2 Million in 2016 to 90 Million in 2019, the competitors in the space has also improved manifold. From much less than 10 operators in 2016 to more than 140 at the finish of 2019, the marketplace is obtaining crammed with every single passing day.
It all began nearly two decades ago with ESPN-Star Sports launching its ‘Super Selector Fantasy Game’ in the year 2001. The format permitted the customers to have their personal group and register it for free of charge for a month or the duration of a precise series. Over the years, quite a few other well known tournaments like the UEFA Champions League, English Premier League, ICC Events, and now IPL have began building games by way of which folks could have the knowledge of managing their personal teams.
The rise of Digital paved way for the good results of the business
The ever-evolving digital infrastructure, smartphone penetration, low price of information, and higher-speed world-wide-web catalysed the speedy development of the OFS business. KPMG India in its report noted that the business has grown at a CAGR of 212 per cent and that it could attract the FDI of more than Rs 10,000 Crore in the next couple of years though creating 1.5 Billion transactions by 2023.
What the future holds?
The fantasy sports business at the moment employs 3,000-3,400 folks straight and supports one hundred-200 ancillary businesses dealing in analysis, analytics, coaching, and tutoring fantasy sports fans, indirectly. It additional has the prospective to produce more than 5,000 direct and 7,000 indirect jobs in the coming 2-3 years. The very same report by PwC India also noted that the OFSP business has generated a income of more than Rs 250 Crore for the marketing business and estimates the development to Rs 2,000 Crore inside the next couple of years.
According to Labourfile.org — Fantasy sports that are primarily based on the ability of participants to identify the outcome, are exempted from the definition of a bet or wager due to the fact they do not relay on possibility or luck to win, in contrast to on line bingo and on line casinos. Fantasy Sports are classified as ‘Games of Skill’, exactly where ability dominates more than possibility, with the outcome dependent upon the “relative knowledge, training, attention, experience, and/or adroitness of the participants”. This suggests that ‘games of skill’ like fantasy games do not fall below the regulations prohibiting gambling below Indian law, even though some state laws may perhaps differ.
At such a time of exponential development of the OFS and the Indian on line gaming business as a complete, adverse regulatory developments like the banning of fantasy sports and on line actual cash gaming, which are primarily ability-primarily based games, could slow down the development trajectory. With increasing international investor interest in this nonetheless fledgling business, state governments should really appear at collaborating with relevant bodies and create a regulatory regime with the purpose of defending the consumers’ interest.
The recommendations proposed by NITI Aayog for uniform national-level regulation of Indian OFSPs is the way to go. It will not only implement a single national policy but will also provide additional clarity to the platforms, customers, and regulators, as a result supporting the accountable development of the business and streamlining the ecosystem. It will dissolve the legal ambiguity about the sector and harmonize the way in which distinctive states treat this ability-primarily based game. Furthermore, it will fill the gaps triggered by the absence of regulations pertaining to the OFSPs particularly and curb the malpractices of offshore businesses, which normally take a toll on other law-abiding platforms. I think not just OFS, due consideration should really also be provided to other ability-primarily based platforms in the RMG sector like on line Poker and Rummy, which also have an immense prospective to develop.
As a accountable operator, we have constantly understood our onus. We have in no way missed out on an chance to take measures towards establishing accountable gaming and fair-play policies and practices and will continue to do so, regardless of the fate of the proposal.
Navkiran Singh is Founder & CEO of Baazi Games (parent group of BalleBaazi.com). Views expressed are the author’s personal.