I will tell you the truth about what colour trading is all about.

Since there exists so much BS, and individuals are losing real money, being fed half-truths.

Allow me to deconstruct precisely what is going on here, why it is important, and what you should be aware of prior to you even considering touching this stuff.

Two Faces of Colour Trading

Here’s where it gets confusing.

The term “Colour trading” signifies two totally different concepts and individuals confusing the two is robbing people of their savings.

First definition: It’s Online gambling in a fancy outfit.

You are betting on red, or green, or violet. A computer produces some unpredictable outcome. You make or lose your money in seconds.

Second definition: It is the real financial market technical analysis.

Price charts are studied by traders using red and green candlesticks. Red means the price dropped. Green means it went up. This is used to make informed decisions.

One is gambling. The other is valid market analysis.

Don’t confuse the two.

How These Colour Prediction Games Work

I would like to take you through the process of playing these games.

Step one: You register in some application or the website.

Barely any verification. In most cases, it only takes a phone number and you are in.

Step two: You put money into your wallet.

₹100, ₹500, maybe more. UPI makes it stupidly easy.

Step three: You pick a colour.

Red, green, or violet. Sometimes numbers 0 through 9. You choose your bet amount.

Fourth step: The algorithm takes its course.

The decision is determined by a Random Number Generator. Takes maybe 30 seconds.

Step five: You win or lose.

Win: Approx 1.8 to 2x your bet (less the platform fee).
Lose: Your money’s gone.

Simple, right?

Too simple.

Also Read: Colour Trading Apps Download

The Math That Works against You

Here’s what they don’t advertise in big letters.

Colour Trading websites are delighted to spend 97% RTP (Return to Player).

A nice phrase until you realize what this is.

Let’s do the math:

You bet ₹100. The platform promises 97% RTP. That is to say, of millions of rounds, the platform retains ₹3 to every ₹100 bet.

“Only 3%? That’s nothing!”

Wrong.

That 3% compounds. It’s guaranteed. It does not cease to work against you.

Real scenario:

You play 50 rounds with ₹1,000. Math says you should get back ₹970.
Reality? You win ₹2, 000 or lose all. But play 500 rounds, 5,000 rounds? You are heading towards that 97% turnover. Which is costing you 3 percent of all that you invest.

The mathematical certainty is the house edge.

You can’t outsmart it. It is impossible to find your way around it. You can’t “just win more.”

The Legal Reality Nobody Wants to Talk About

Is the colour trading legal in India?

Brief response: It is a complex question, and not to your advantage.

The main legislation is the Public Gambling Act of 1867.

Yeah, 1867. It does not specifically talk about online gambling as well because the internet was not there.

But here’s what matters:

A number of states have explicitly prohibited this stuff.

Andhra Pradesh? Banned.
Telangana? Banned.
Tamil Nadu? Banned.
Karnataka? 15-year-old underage (subject to ongoing court battles).
Assam, Odisha, Sikkim (no, you are not licensed)? Banned.

Most other states?

Grey area. No specific laws. Which doesn’t mean “legal.” It has the meaning of being unclear, and you are risking.

The distinction that is important to the courts is this one:

Skill games = usually alright (such as poker, rummy).
Game of Chance = usually unacceptable.

Prediction of colour is all guesswork.

No skill. No analysis. Only a random number generator.

And that is what is really important:

It has no regulatory safeguard. No consumer safeguards. No dispute resolution. Platform shuts down? Your money’s gone. They will not have your withdrawal? Good luck.

You’re completely exposed.

Regulatory Concerns

• By 2025, colour prediction apps are more or less unregulated:
• None of the mechanisms of protecting the consumer.
• None of the dispute resolution systems.
• Problems with withdrawal are common.
• Shutting down of platforms with no refunds recorded.

Risk to the user: There is no protection of banking or securities laws on money deposited on these platforms.

In case You are still thinking about playing (Don’t, But If You Do…)

I am going to be clear: I believe that this is a horrible idea.

But in the event that you are going to do it then here is how to do it in a limited manner.

Set a hard budget:

Money you can physically place on fire and get away with. Not rent money. Not loan money. Not credit card money. Maybe ₹500 a month, max.

Track everything:

Every deposit. Every bet. Every withdrawal attempt.

Never chase losses:

Lost ₹1,000? That money’s dead. Don’t bet ₹2,000 trying to “get it back.” It is the way people lose everything.

Immediately withdraw test:

Won ₹500? Try to withdraw ₹100 right away. See if it actually works. Several websites do not allow withdrawal.

Also Read: How to Withdraw Money from Colour Trading Apps

Look for these red flags:

• Unable to locate company registration information.
• Not in Google Play or App Store.
• The marketing of the guaranteed wins or secret patterns.
• Intensive referral schemes (pyramid scheme vibes)
• The support does not reply to the customer.
• Processing- taking days or weeks
• Withdrawal Process- taking days or weeks to withdraw.

If you see any of these, run.

Why Real Trading Is Different (And Actually Worth Learning)

You would like to make money out of markets?

Learn actual trading.

SEBI-registered trading in the stock market:

Zerodha, Groww, Upstox & Angel One etc.

These are regulated. Your money is under the protection of law. Disputes can be resolved. You have actual recourse.

This is what trading is like in reality:

You study companies, analyze market trends & study technical and fundamental analysis. You take informed decisions in accordance with data. You build wealth over time.

Key Differences btw Colour Trading vs Stock Trading

One is pretending to be trading. The other is actually trading.

Types of Color Trading Game

Colour trading games comes in a variety of creative forms. If you intend in the creation of prediction games, you should think about these options:

• Colour Prediction Based On Card 
• Dice Game 
• Virtual Game
• Roulette Style Game  
• Colour Wheel Predictions 
• Numbered Ball Draw 

Also Read: Best Colour Trading Apps 2025

The Myths People Believe (And Why They Are Broke Because of Them).

Myth: “I have discovered a pattern of the results.

No, you haven’t.

Random Number Generators are not patterned. That’s literally the point. What you are observing is the attempt by your brain to derive meaning out of randomness. It is known as apophenia, and it is robbing you of money.

Myth: “97% RTP means I’m only losing 3%.”

That is an average of millions of rounds and thousands of players.

YOU might lose 100%. Someone else might win 200%. The platform never waives its 3% though. Always.

Myth: It is trading, which means it is more or less investing.

Marketing words do not alter the fact.

When slot machine is referred to as investment gaming it is not investing. This is betting with additional measures and better branding.

Myth: “People are earning every day income out of this.

Show me those people in a year.

Even better, present me their bank statements. The majority of those who claim to make daily income are operating referral schemes. They do not make money by predicting colours, they make money off you signing up.

Myth: “Demo mode is the way to prove it is a fair game.

Real money play may be on a totally different algorithm than the demo mode.

It is constructed to inspire your self-esteem. To show the actual game nothing.

Also Read: what is slot gacor Microstar88.gcr site

What to Do If You’re Already In Deep

You have perhaps already made a loss.

Maybe you’re chasing losses. YMaybe you’re thinking about gambling constantly or you are lying to people of the degree of loss.

Here’s what matters:

That’s not a character flaw. It is addiction, and it is a fact.

Warning signs:

• You always think about gambling.
• Lying about your gambling
• Gambling to get away with problems.
• Borrowing money to bet
• Disregard of work or relationships.
• You get fidgety when you attempt to cease.

If any of this sounds familiar:

Visit the National Gambling Helpline. Speak to Gamblers Anonymous India. Tell someone you trust. Block the apps. Block the websites.

This isn’t about willpower. It’s about getting help.

The Bottom Line

What is colour trading in most contexts people use it?

It’s gambling.

Pure and simple.

wrapped this in technology term and trading lingo, yet gambling.

The risks are real:

You will lose money in the long-run (mathematical certainty). You have no legal protection. You can develop addiction. Social networking will evaporation of money.

Also Read: Risks & Rewards of Colour Trading

The legal status is shaky:

Banned in multiple states. Grey area in others. No regulatory oversight. No consumer protection.

Your better options:

Get real stock market investment. Brokers in control accounts. Build real wealth over time. Or don’t gamble at all.

Here’s my take:

Should you wish to spend money on gambling as a way to have fun, you can just allocate a small amount of money and be prepared to lose it.

But to become a wealthy person, learn the actual art of trading, or never get your hands on markets at all.

Money making from the colour prediction apps is not easy.

The math doesn’t work. The law doesn’t protect you. The platforms do not give a damn about you.

Make smarter choices.

You will be grateful to your future self.

Colour Trading Resources and Help

Gambling Addiction Support

SAMHASA National Helpline: 1-800-662-4357

Financial Literacy

SEBI Investor Education: www.investor.sebi.gov.in
NSE Investor Education: www.nseindia.com/education

Legal Information

Cyber Crime Portal: www.cybercrime.gov.in
State Gambling Laws: Consult local legal resources

Wait not until you have lost all to contact.

Important Disclaimer

This Article is about Online gambling. The games of colour prediction are associated with real money and high financial risk. They do not make a good source of revenues and could be unlawful in your area. In case you or a person you know has a gambling problem then call the National Gambling Helpline or get professional assistance as soon as possible.

FAQs Realted to Colour Trading