Loot Boxes fail to meet the definition of Gambling according to the UKGC
The UKGC has stated that loot boxes do not meet the legal definition of gambling.
The question of whether loot boxes are a form of gambling has been going on since at least the end of 2017. This was when Electronic Arts was accused of adopting characteristics of casino games into some of their video games. The same developer also caught the attention of the Belgium regulator with FIFA 18 and FIFA 19. Loot boxes are once again in our news as the UK Gambling Commission concluded that while it technically could be a form of gambling, it really does depend on the circumstances and that at present the laws makes it difficult to call them gambling. We've got some information for you next.
Loot Boxes: What are they?
Loot boxes have been around for only a few years now. They can be found in popular games such as FIFA 18 and Star Wars Battlefront II from developers such as Electronic Arts. So what are loot boxes? Loot boxes are virtual packages that can be redeemed for game equipment and avatar customization. The appeal of them is that it is not always known what is in them.
In recent years, we've seen loot boxes in popular games such as Star Wars Battlefront II and FIFA 18 from Electronic Arts.
Debate Rages On
The question of how to classify loot boxes has been a matter for debate amongst regulators worldwide. The director general of the UKGC has voiced his concerns over loot boxes and their impact on the welfare of children. Still, according to the current legal definitions in the UK, loot boxes do not meet the definition of gambling.
There are concerns amongst some experts that loot boxes can be considered addictive, particularly to minors. Clearly this topic will continue to stir debate into the future.