License Name
Nagaland Prohibition of Gambling and Promotion and Regulation of Online Games of Skill License
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Issuing Country/Region
Nagaland, India
Regulatory Body
Finance Commissioner, Government of Nagaland
Types of Regulated Games
Online games of skill (e.g., poker, rummy, fantasy sports)
Market Coverage
All Indian states where such games are legal
Regulator's Reputation
Good
Legal Entity Requirements
Company registered in India with substantial Indian holding and control; no prior gambling interest
Minimum Share Capital
Not specified
Directors and Shareholders Requirements
Indian control required; no directors or stakeholders with gambling history
Anti-Money Laundering (AML) Requirements
Compliance with PMLA 2002 and related Indian AML laws
Data Protection Requirements
Adherence to Indian IT laws and data protection procedures
Reporting Requirements
Dashboard access for regulator; periodic financial and operational reporting
Audit Requirements
Gaming and operational audit rights reserved by regulator
Software Certification Requirements
RNG and software certification mandatory
RNG Certification
RNG certification required
Payment System Requirements
Only RBI-regulated payment/banking services; KYC for cash transactions
Server Location Requirements
Servers must be located in India
Domain Name Requirements
Not specified
Language Support Requirements
Not specified
Currency Support Requirements
INR (Indian Rupee) only
Legal Compliance Costs
Compliance, technology, and certification costs apply; see fees below
Background Checks
Criminal background clearance mandatory for all major stakeholders
License Scope Restrictions
Games of skill only; no games of chance or betting
Jurisdictional Tax Compliance
Royalty of 0.5% of gross revenue (after payment gateway/bonuses deductions) payable to Nagaland government
Player Data Storage Requirements
Indian data residency and disclosure to regulator
Cross-Border Operations
Permitted only in Indian states where skill gaming is legal; not allowed where considered gambling
License Application Transparency
Details and dashboard must be accessible to regulator
Regulatory Contact Point
Directorate of State Lotteries, Nagaland
Compliance Officer Requirement
Not specifically mandated but recommended
Local Partnership Requirements
Physical office in Nagaland may be required within 12 months
Legal Dispute Resolution
Nagaland laws and courts
License Transferability
Not specified
Sub-Licensing Rules
Not allowed
License Cost
INR50,000 application fee; INR10 lakh to INR25 lakh annual fee based on games and period
Annual Fees
INR10 lakh for a single game, INR25 lakh for multiple games for first 3 years; doubles after 3 years
Income Taxes
Tax and GST as per Indian law; royalty of 0.5% gross revenue to Nagaland
Player Winnings Taxes
As per Indian income tax laws
Financial Guarantees
May require financial guarantee; confirmed bank account required
Liquidity Requirements
Not specified
Financial Reporting Requirements
Periodic financial and operational reporting to regulator
Application Processing Time
Up to 6 months possible
Required Documents
Company incorporation, RNG/software certification, tax, KYC, AML documents
Business Plan Requirements
Not specified
Internal Policy Requirements
KYC, AML, responsible gaming
Testing Requirements
RNG and technical audits
Certification Requirements
Software and RNG certification
Staff Qualifications
No criminal record for any staff member
Physical Office Requirements
Required in India, office in Nagaland advisable or required within 12 months
Local Representative Requirements
Not mandatory
Marketing Restrictions
“Play Responsibly” disclaimers, no marketing to restricted states, strict advertising rules
Responsible Gaming Measures
Self-exclusion, KYC, deposit/payment controls
Self-Exclusion System
Mandatory
Age Verification Procedures
Robust mandatory KYC/age verification
KYC Procedures
Aadhaar, passport, or government ID checks
Customer Support Standards
Not specified
Complaint Handling Procedures
Required mechanism for resolving player complaints
Player Funds Protection
Not specified
Payout Timelines
Not specified
Bonus and Promotion Regulations
Not specified
Permitted Games List
Skill games (e.g., poker, rummy, chess, fantasy sports)
Betting Limits
Not specified
RTP Requirements
Not specified
Jackpot Regulations
Not specified
Live Game Requirements
Not specified
Mobile App Compliance
Not specified
Affiliate Program Rules
Not specified
Security Standards
Strong IT/data security procedures
Encryption Requirements
SSL/TLS protection for all player communications
Backup Requirements
Data retention and regular backup required
Monitoring Systems
Regulator dashboard monitoring system
Operation Logging
Comprehensive operation logs must be maintained
Anti-Fraud Systems
Strict AML/anti-fraud rules
API Integration Standards
Not specified
Hosting Requirements
India-based hosting for all systems
CDN Usage
Not specified
Scalability Requirements
Not specified
Uptime Requirements
Not specified
Technical Support Availability
Not specified
License Duration
5 years (annual fee payment required; renewal procedure at expiry)
Renewal Procedure
Annual fee and compliance review for renewal
Penalties for Non-Compliance
Fines, suspension, and license termination for violations
Ownership Change Rules
Must be declared, subject to regulatory review
Mergers and Acquisitions Rules
Not specified
Subcontractor Regulations
Key third-party providers must comply with license
Branding Requirements
License and regulatory info must be clearly displayed
Intellectual Property Protection
Not specified
Dispute Arbitration
Nagaland courts
Insurance Requirements
Not specified
Charity Contributions
Not specified
Staff Training Requirements
KYC, AML, responsible gaming
Innovation Support
Not specified
Sustainability Initiatives
Not specified
Accessibility Standards
Not specified
Multilingual Support
Not specified
Cryptocurrency Support
Not permitted
Esports Betting Regulations
Not specified
Fantasy Sports Regulations
Permitted as game of skill if certified
Official Address
Directorate of State Lotteries, Finance Commissioner, Government of Nagaland, Kohima, Nagaland, India
FAQ Question 1
What is Nagaland Prohibition of Gambling and Promotion and Regulation of Online Games of Skill License?
FAQ Answer 1
It is a regulatory license issued by Nagaland for operating online skill-based games (poker, rummy, fantasy sports) in India, excluding states where such games are prohibited
FAQ Question 2
Which jurisdiction issues Nagaland Prohibition of Gambling and Promotion and Regulation of Online Games of Skill License?
FAQ Answer 2
The Finance Commissioner, Government of Nagaland issues the license under the Nagaland Prohibition of Gambling and Promotion and Regulation of Online Games of Skill Act, 2016
FAQ Question 3
What is the cost of obtaining Nagaland Prohibition of Gambling and Promotion and Regulation of Online Games of Skill License?
FAQ Answer 3
INR50,000 application fee; INR10-25 lakh annual fee for first 3 years, then doubles; 0.5% royalty on gross gaming revenue
FAQ Question 4
What are the main requirements for Nagaland Prohibition of Gambling and Promotion and Regulation of Online Games of Skill License?
FAQ Answer 4
Indian-registered company, no criminal background, India-based servers/infrastructure, certified RNG/software, compliance with AML and responsible gaming laws, substantial holding in India