Offshore Gambling Apps Surge in Nepal After India Ban

Nepal is seeing an unexpected surge in offshore gambling apps, creating a fast-moving digital ecosystem that authorities are struggling to rein in.

The spike comes only months after India imposed sweeping bans on online betting. With their largest market restricted, offshore operators mostly registered in Curaçao and similar jurisdictions have turned aggressively toward Nepali users, despite the country’s long-standing prohibition on online gambling for citizens. The sudden influx has exposed how outdated enforcement tools are against fast-scaling digital platforms.

Social media becomes the primary gateway

The companies behind these apps are expanding through hyper-local marketing, heavy influencer promotion and referral bonuses designed to spread quickly across social platforms.

Brands such as Khalti88’s K88, IME88, JW8 Nepal and JayaBazi Online Casino have flooded Facebook, Instagram, TikTok and creator channels with Nepali-language content, often featuring landmarks and cultural references. Several apps appear to use local banking routes for deposits and withdrawals, even though citizens are legally barred from gambling online. This gap between law and practice has enabled offshore operators to advertise openly and reach users at scale.

Enforcement numbers reveal a sharp escalation

Police data shows how dramatically the issue has grown. From just two cases reported in 2020 and 2021, authorities documented 147 cases in 2023 and 2024. Many involved foreign nationals or coordinated cross-border networks linking Nepal with India and beyond.

Officials at the Central Investigation Bureau and Cyber Bureau say they intervene in serious cases, but admit the current approach is largely reactive leaving room for offshore apps to flourish after India’s regulatory crackdown.

Experts highlight a lack of digital accountability

Digital-rights advocates say the problem extends beyond operators to the platforms running their ads.

Santosh Sigdel, executive director at Digital Rights Nepal, argues that social media companies should be held responsible for profiting from promotional content tied to banned activities. He points out that Meta told Reuters this year that roughly 10% of its global revenue comes from advertisements linked to scams or prohibited goods.

Although Nepal’s Penal Code includes rules against gambling and advertising illegal content, the country lacks a dedicated framework to regulate social platforms allowing these apps to maintain high visibility in newsfeeds.

Why the surge now?

India’s ban created an immediate vacuum and Nepal where digital controls remain limited quickly became a strategic fallback.

Offshore operators that once targeted India are now using Nepal as a new entry point, relying on less-developed monitoring systems and loopholes in local enforcement. Observers say the trend illustrates how swiftly offshore platforms shift focus when legal barriers rise in a neighbouring country.

What it means for the region

The situation shows how regulatory gaps can fuel explosive market entry, even in jurisdictions with strict prohibitions.

For industry suppliers, it signals growing demand for compliance tech, payment screening tools and risk-monitoring solutions if Nepal decides to modernise its oversight. Without a stronger regulatory response, offshore operators are likely to deepen their presence, expand referral networks and continue leveraging major social platforms for user acquisition.

As the digital market evolves faster than enforcement, the key question becomes: how long can Nepal’s regulators hold off structural reform while offshore operators continue to outpace existing controls?