Another facet of online video games—in this case loot boxes—has raised concerns in Britain about exposing minors to gambling.
Labour politician Daniel Zeichner has asked Britain’s Department of Digital, Culture, Media and Sport to examine and clarify policies on loot boxes in video games. The boxes are seen as a type of gambling as they can be purchased—in some games with real money—in the hopes of acquiring rare virtual weapons and items for use in the game. The anticipation of gaining rare items creates the same anticipation as placing a bet, Zeichner said.
Zeichner wants to “help protect vulnerable adults and children from illegal gambling, in-game gambling and loot boxes within computer games.”
He also said loot boxes are a highly contentious addition to the gaming world, and are already regulated under gambling law in some Asian countries. He also pointed to a recent decision by the Isle of Man to include virtual items in gambling regulations.
Also, an online petition in the UK raising concerns about gambling in video games has drawn more than 11,000 signatures.
Initially, loot boxes were found by players within the game, but many games have since added features where the boxes can be purchased with either in-game currency of with real money. That often leads to skins betting, where those rare items can be traded, purchased and even gambled on outside websites to the game. In many cases, the loot boxes themselves can now be traded and gambled.
The UK Gambling Commission responded to the request by noting it had issued a position paper on in-game gambling in video games in March that detailed existing protections in place for in-game gambling, virtual currencies and loot boxes.
The paper stated that “where items obtained in a computer game can be traded or exchanged outside the game platform they acquire a monetary value, and where facilities for gambling with such items are offered to consumers located in Britain a Gambling Commission license is required. If no license is held, the commission uses a wide range of regulatory powers to take action.
“The government recognizes the risks that come from increasing convergence between gambling and computer games. The Gambling Commission is keeping this matter under review and will continue to monitor developments in the market.”
Recently, the Pan European Gaming Information trade body organization was asked by gamers to offer a statement about how loot boxes are used in games like Forza Motorsport 7, Middle-Earth: Shadow of War, and the upcoming Star Wars: Battlefront II from Electronic Arts and DICE.
The trade body said determining whether trading and buying loot boxes are a type of gambling has to be decided by local gambling regulators.
Also, Britain’s Entertainment Software Rating Board recently ruled that loot boxes were “simulated gambling,” which means games that contain them do not have to be accompanied by an Adults Only rating.
Zeichner has asked Karen Bradley, Secretary of State for Digital, Culture, Media and Sport, to clarify what steps the government is taking to protect vulnerable players from the risk of loot box gambling in the UK.
