Real Money Gaming Ban: Gameskraft’s Layoff Count Climbs To 400

Gaming startup GamesKraft continues to reel under the impact of the ban on real money gaming (RMG) in the country. The startup’s layoff toll, after it fired 120 employees in September following the ban, has now crossed 400.

“As part of the organisational restructuring undertaken approximately 400+ employees across teams and functions were impacted after careful deliberation,” Gamkeskraft said in a statement. 

The startup said that the additional layoffs were part of the restructuring efforts undertaken by it following the ban on RMG. 

“The decision was driven by business continuity considerations, following the implementation of the Promotion and Regulation of Online Gaming Act, 2025, which triggered a fundamental shift in the operating environment for real money gaming companies,” the statement added. 

Gameskraft is offering the laid off employees a severance package of one month’s pay per completed year of service (up to three months), notice pay, leave encashment, extended insurance coverage, placement assistance, and waivers on joining bonus recoveries and relocation expenses.

As per LinkedIn, Grameskraft employed about 600 employees in total. 

Founded in 2017 by Prithvi Singh Raj, Gameskraft runs gaming platforms such as RummyCulture, Playship, RummyPrime and LudoCulture. In May 2024, the startup had announced a “strategic pause” on the operations of its poker platform, Pocket52. 

In September this year, Grameskraft also alleged that its former CFO Ramesh Prabhu siphoned off over INR 250 Cr, forcing a write-off of INR 270 Cr in FY25. 

Notably, the Lok Sabha and the Rajya Sabha passed the Promotion and Regulation of Online Gaming Bill, 2025 in August. It got President Droupadi Murmu’s assent in the same month, becoming an Act. 

The Act instantly brought the RMG industry in India to its knees, leading to industry-wide layoffs. All the players, including WinZO, Dream11, Zupee, among others, had to shut their RMG offerings overnight. While some of them pivoted to other business models such as microdrama and fintech, others shifted their base to overseas markets like the US and the Middle East. 

As part of the layoff spree in the RMG industry, Games 24×7, operator of PokerBaazi, laid off 500 employees in September, while MPL also sacked 60% of its employees.