Germany is investigating the option to ban loot boxes in games

“Loot boxes” is a generic term for in-game purchases or rewards that offer a random element, often preventing players from receiving the items they want while encouraging players to spend money on the system. This risk/reward element can cause some players to overspend, or get addicted to the practice in a similar fashion to traditional gambling.  

According to the German Newspaper Welt, researchers found that only a small portion of players account for the majority of the revenue generated by such systems, offering a striking similarity to the gambling market. These similarities could place games with loot boxes in a position where they violate laws which ban gambling for children and minors. 

The Chairman of the German Youth Protection Commission, Wolfgang Kreißig, stated that “Lootboxes could violate the ban on gambling for children and adolescents” and that developers could be fined if they are found to be breaking these laws. 

Germany is one of Europe’s largest economies, placing them in a position where they can influence legislation across the continent, setting off a series of mousetraps that could have global consequences for video game developers.