As India confronts a silent underage gambling crisis thriving behind screens and promises of easy money, what begins as pocket-money play often spirals into secrets, loss, and stress.
The Indian government
on Friday blocked 242 illegal betting and gambling websites. It was more than a regulatory action; it was a warning signal. Behind flashy apps, influencer endorsements and appealing ‘harmless-looking’ games lies a growing problem quietly pulling children and teenagers into the world of gambling.
Many young users cross the line without even realising they are gambling, mistaking chance-based play for skill, fun or quick income. As digital access deepens and boundaries blur, psychologists warn that the developing minds of adolescents are especially at risk, making this crisis as much psychological as it is legal.
A Push Against A Growing Threat
The government’s recent crackdown on illegal online betting platforms was taken under the Online Gaming Act, which came into force in October 2025. With more than 7800 illegal betting platforms blocked so far, authorities say enforcement has intensified to protect users, particularly youth, from financial and social harm.
Dr Rajendrakumar Muljibhai Parmar, Associate Professor of Psychology at CVM University in Gujarat, describes the current situation as a serious mental health and social issue. “As a psychologist, I view the rising trend of underage gambling in India as a serious psychological and social concern,” he explains.
“Children and adolescents are particularly vulnerable because their brains, especially the prefrontal cortex responsible for decision-making, impulse control, and risk assessment, are still developing.”
This neurological immaturity makes it easier for gambling platforms to exploit young users. Dr Parmar notes that online betting environments are designed to promote “easy money,” instant rewards and constant stimulation, all of which trigger dopamine release in the brain.
“Unlike traditional gambling, online betting is easily accessible, anonymous, and available 24/7, which makes it significantly harder for minors to resist,” he says.
Gambling Without Realising It
One of the most worrying aspects of the crisis is that many adolescents do not even recognise their behaviour as gambling. According to child health experts, gambling today extends far beyond casinos and betting shops.
Smartphone games, loot boxes, fantasy sports and in-app purchases are a phenomenon widely described as “gamblification.” This involves risking money or valuables on an unknown outcome, where the odds of winning are generally low.
Dr Pragya Rashmi, Consultant Psychologist at Yashoda Hospitals, Hyderabad, explains why young people fall into this trap so easily.
“Children and teenagers are more vulnerable because their ability to control impulses and judge risks is still developing,” she says. “They are naturally curious, thrill-seeking and strongly influenced by peers. Unlike adults, they focus on short-term excitement rather than long-term consequences, which makes gambling feel less dangerous.”
She adds that many adolescents believe they can stop whenever they want, without realising how quickly habits can turn into addiction.
The Adolescent Brain And The Dopamine Trap
Both psychologists and psychiatrists agree that the adolescent brain responds to rewards very differently from a mature adult brain.
“In adolescents, the part of the brain that responds to rewards is highly active, while the part responsible for self-control is still maturing,” Dr Rashmi explains. “This means betting wins feel far more exciting and emotionally powerful for young people. At the same time, losses do not create the same caution they would in adults.”
This imbalance also increases the likelihood of chasing wins and repeating risky behaviour without fully considering consequences.
Dr Rahul Chandhok, Senior Consultant and Head of Psychiatry at Artemis Lite NFC, New Delhi, echoes this concern. “Teenagers are still growing emotionally and mentally,” he says.
“They don’t yet know how to deal with risk, loss and disappointment. Because their brains release more dopamine when they win, the excitement feels stronger, making it easier to forget losses and keep playing.”
According to Dr Chandhok, the brain’s decision-making and self-control systems are still developing, making teens far more impulsive and vulnerable to addiction patterns.
The Illusion Of Control And Easy Money
When it comes to psychological traps for young gamblers, it is the illusion of control, the belief that skill, strategy or persistence can influence outcomes. From fantasy sports leagues to betting apps designed to look like video games, young users are repeatedly told that knowledge and smart choices can beat the system.
Influencers posting screenshots of wins, flashy advertisements promising quick returns and peer discussions about “strategies” reinforce the idea that money can be made easily and consistently.
Dr Parmar explains why this narrative is so persuasive. “Adolescents are naturally drawn to quick rewards and instant gratification. Online platforms amplify this tendency through flashy visuals, fast payouts and constant stimulation,” he says.
“Repeated exposure to wins, without showing losses, creates a distorted perception that betting is normal and achievable.”
Dr Rashmi adds that limited financial experience further worsens the problem. “Young people often don’t fully understand odds or losses. Combined with the desire for quick rewards and social validation, ‘easy money’ feels real, achievable and hard to resist,” she says.
Dr Chandhok points out that teenagers are also prone to overconfidence. “They tend to believe they can do more than they actually can. Because they lack real-world financial experience, they fail to see the hidden risks behind promises of easy money,” he explains.
From Play To Problem
Not every teenager who gambles develops an addiction, but the risks are significant. According to the data from Mass.gov, gambling addiction can begin in children as young as 10, with problem gambling affecting 4-8% of youth, far higher than among adults. By high school, 60-80% of students report having gambled at least once in the past year.
The consequences extend far beyond money. Dr Parmar observes these patterns frequently. “Early involvement in gambling can lead to addiction, anxiety, depression, secrecy, declining academic performance, and strained family relationships,” he says. Children with high impulsivity, stress or poor emotional regulation face even greater risk.
Where It Often Begins
For many families, exposure starts innocently. A parent buys a lottery ticket and asks a child to scratch it. Teens watch adults play bets during cricket matches, and video games introduce paid currencies, loot boxes and simulated casino elements.
With nearly 90% of teenagers playing video games online, digital platforms have become the primary gateway. As legal gambling becomes more visible in society, the line between entertainment and risk grows increasingly blurred. What seems harmless at 12 can become habitual by 16, and destructive by adulthood.
Warning Signs Parents Should Watch For
Parents often underestimate gambling risks or assume their child would never be interested. Experts warn that adolescents may hide their behaviour, or may not even recognise it as gambling.
Some of the warning signs include:
- Sudden changes in spending habits
- Frequent requests for money
- Secrecy around screen use
- Declining grades
- Poor sleep
- Withdrawal from activities
- Missing cash
- Anxiety
- Betting language
- Aports scores
- Heightened aggression or obsessive interest in winning
The Role Of Parents And Schools
“Parents must maintain open communication, set clear digital boundaries and educate children about financial risks rather than simply imposing restrictions,” Dr Parmar says. Monitoring screen time, discussing online safety and modelling responsible financial behaviour are essential.
Dr Rashmi emphasises timing and tone. Open discussions during relaxed moments, rather than confrontational lectures, make children more likely to share honestly.
Experts also emphasise systemic changes.
Financial literacy, digital well-being education and mental health awareness should be integrated into school curricula, alongside stricter controls on advertising and influencer promotions.
A Crisis That Needs Action
India’s regulatory push marks an important step, but experts agree it cannot work in isolation. Stronger enforcement against advertisers and promoters, responsible gaming design, clear age-verification systems and education at home and school must work together.
As Dr Parmar puts it, “Only a combination of parental guidance, education and stronger regulation can truly protect young minds from this growing crisis.”
As access to technology expands and the promise of easy money grows, the real challenge lies in ensuring children learn the difference between chance and change before the cost becomes too heavy.
