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Kavin Mittal attributed the exit decision to the “rushed” online gaming Bill, high GST rates on the gaming sector and regulatory ambiguity around cryptocurrencies
Hike operates blockchain-based real money gaming platform Rush, which allows users to play both skilled and casual games such as ludo, carrom and quizzes
The founder added that Rush is witnessing 10X higher ARPU, 2X retention and “superior ROAS” in “global markets” compared to India
Following the Centre’s crackdown on online real money gaming (RMG), Web3 gaming startup Hike has said it will suspend the India operations of its RMG platform Rush and exit the country.
In a post on X, founder and CEO Kavin Mittal said, “After 4 years building Rush in India, we’ve made a tough decision – exit India completely and go all-in on the US and global markets”.
In a blog post, he attributed the decision to a slew of factors – the “rushed” Online Gaming Bill which bans RMG, high GST rates on the sector and regulatory ambiguity around cryptocurrencies.
“The Government of India has made its position clear: RMG will not be allowed to exist in the country. Through GST hikes (rumoured now at 40%), regulatory ambiguity, and most recently, a bill rushed through to ban all RMG — without industry consultation — the message is loud and clear,” Mittal said.
In the same breath, the Hike founder said that he understands the government’s decision to take a “moral stance on what it believes to be right for society”.
However, he rued that the decision on the RMG ecosystem could have been made sooner and with clearer communication, which could have saved billions in investment and avoided leaving the industry in regulatory limbo for years.
“India is one of the most exciting markets in the world for entrepreneurs and investors. But sudden regulatory reversals like this can cause turbulence and make investors wary of backing bold new ideas here,” he said.
As per him, Rush scaled to over $500 Mn in gross revenue in India within four years of launch in 2021. For context, Hike operates blockchain-based real money gaming platform Rush, which allows users to play both skilled and casual games such as ludo, carrom and quizzes.
Hike was initially founded in 2012 by Mittal as an instant messaging app but later pivoted to a Web3 gaming platform to cash-in on the burgeoning ecosystem in the country. Since rebranding itself as a gaming company, the startup has raised capital from crypto investors such as JumpCrypto, Tribe Capital, Republic, Polygon, among others.
Hike’s Path Forward
On Rush’s next course of action, Mittal said that the startup will completely exit India and focus “100%” of its efforts on the US and other global markets. Citing his rationale, he said that the RMG platform’s early product metrics are stronger in foreign markets.
Elaborating on this, the Hike founder said that Rush is witnessing 10X higher ARPU, 2X retention and “superior ROAS (return on ad spends)” in “global markets” compared to India.
“The US opens up new business models beyond RMG — including advertising and virtual goods, multi-billion-dollar categories with far higher consumer spend than in India. The US also offers a more stable regulatory environment,” he added.
Besides the US, the company has also now set its eyes on expanding to the UK, Canada, Australia, and other markets in Africa and South East Asia. “Globally, we finally have the room to unlock our Hike Gaming Nation vision: a Company 2.0 where players aren’t just participants, but citizens and owners of the networks they help build,” Mittal said.
The development came on the day the Upper House of the Parliament passed the “Promotion and Regulation of Online Gaming Bill, 2025” which proposes to ban all online games involving money.
The Bill also proposes to block ads of real money gaming platforms, and prohibit banks and other financial institutions from processing financial transactions of such companies. It also underlines stringent punishments to curb violations of the proposed law.
The Bill has hit the country’s RMG ecosystem hard. Five companies including MPL, Gameskraft, Probo, Zupee and Cricbuzz11, have discontinued their RMG operations. This has also put the jobs of about 2 Lakh employees of the RMG ecosystem at stake.
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