Opinion trading platform TradeX shuts down Real-Money Gaming operations

TradeX, an opinion trading platform, has announced the shutdown of its real-money gaming operations in India following increasing legal restrictions and mounting regulatory challenges. The decision comes after the platform was banned in Chhattisgarh and faced prohibition in Haryana.

TradeX, launched in 2021 by entrepreneurs Divij Goyal and Ankit Shrivastava, allowed users to trade on public opinions and events. The startup had raised $1 million in seed funding in 2022 from TDV Partners, SoMa Capital, and prominent investors including Anupam Mittal, Maninder Gulati, and Justin Mateen.

In a memo issued to users, TradeX stated: After careful consideration, we are shifting from a real money gaming platform to a free-to-play, casual social gaming platform focused on fun and entertainment. Keeping that in mind we have stopped deposits of all users as well as stopping trading activities. This change is driven by the heavy 28% GST tax, which favours bigger players and made growth and profitability difficult for us. Your existing funds are safe and accessible."

"We still believe in prediction markets and crowd wisdom in a world full of misinformation. But sadly, we have parted ways. We appreciate you being part of our community. As founders, we believe in building products. Though we were unable to sustain the journey of prediction markets, that doesn’t mean we can’t create something new. As someone said, it’s not the end but the beginning of something new. With the same passion, we are now working hard to launch a fresh, fun, free-to-play social gaming experience for you."

The move follows legal actions taken by the Chhattisgarh government, which blocked TradeX along with other platforms like SportsBaazi and Probo under the Chhattisgarh Gambling Prohibition Act, 2022, classifying them as online gambling services.

Regulatory bodies have also voiced their concerns. The Advertising Standards Council of India (ASCI) recently released a whitepaper titled “Examining Opinion Trading in India,” highlighting the urgent need for regulatory clarity in the fast-growing but largely unregulated sector. The council stated that any future advertising in this space must be accompanied by appropriate disclaimers and warned it would forward any questionable ads to relevant authorities.

Adding to the scrutiny, the Securities and Exchange Board of India (SEBI) issued a public advisory warning consumers against engaging with opinion trading platforms. According to SEBI, these platforms operate as unregulated gambling models under the guise of investment simulation and fall outside any existing investor protection framework. The agency clarified that such entities are not recognized stock exchanges or registered intermediaries, and any financial transactions on them would be deemed illegal.

In March 2025, FIR was filed against directors of Probo (opinion trading platform) Ashish Garg, Sachin Subashchandra Gupta and Shweta Sharma under Section 13 of the Public Gambling Act, 1867 (gambling in streets) and Section 318(4) of the Bharatiya Nyaya Sanhita (cheating and dishonest delivery of property) on basis that complainant Abhishek Jain, a resident of Gurugram lost around Rs. 20,000 while playing on the Probo app, which presents “Yes” or “No” questions on various events for which he was lured and induced into gambling and betting.

The Ministry of Electronics and Information Technology (MeitY) is also reportedly monitoring the situation. Internationally, countries such as the United States, United Kingdom, and Australia regulate opinion trading as wagering platforms. In India, however, the lack of dedicated legislation continues to create ambiguity around their legality.