Loot boxes: more gambling than a nice extra?
Bogdan LashchenkoGames are not just fun. Behind this has long been a sophisticated billion dollar industry. Passionate gamers spend a lot of money on the games and the associated hardware. But it often does not stop at the acquisition costs: both paid and free games lure with so-called loot boxes that can bring special items to light. The surprise boxes pull the money out of the players' pockets. Often times, players don't know exactly what they are getting for the purchase. Critics therefore speak of a kind of game of chance that one is at the mercy of here. What is behind the hype about loot boxes and how justified is the criticism?
What are loot boxes?
A loot box is a virtual container. This is used in various video games and contains random items. Special items or weapons, for example, are popular items that players can then get hold of. Loot boxes can be found randomly in a game or unlocked over time. They can also be bought - either in exchange for game currency or real money.
Loot boxes are often criticized because there are always desirable items that cannot be acquired through normal play. This drives the pay-to-win systems, because players who do not buy the loot boxes are clearly at a disadvantage. It doesn't stay at the normal price that you already paid for the game. The pricing policy behind it also seems to be quite arbitrary at times. The player is free to buy the boxes. But the pressure is often greater than you think.
Are loot boxes addictive?
You want to buy new outfits or a much sought-after weapon - and often watch yourself faster than you think how loot boxes are bought in order to unlock something new. Virtual money is then converted into real money. This often means that players lose track and don't even know how much money they ended up spending. With loot boxes, even supposedly free games suddenly become bestsellers. Loot boxes are also popular with games that are already expensive, such as Fifa. You are dealing with a game of chance here insofar as you can try to get hold of a particularly high-quality football professional via the Lootbox. The surprise box is bought - but you don't know beforehand who will really be part of the team. The surprise effect creates a thrill, but can also be addicting.
You probably know classic games of chance from the casino or, as a sports fan, you might think of sports betting. At first glance, one may be reluctant to accept that loot boxes are also a form of gambling. Just as an online casino with a € 5 deposit can quickly tempt you to invest even more money, it can also happen with the loot boxes: If things go well, you want to try your luck again soon. If it goes bad, too. No matter how the game of chance ends: Loot boxes are a lucrative business for game developers and very tempting.
Legally, it is currently not a game of chance
So critics equate loot boxes with games of chance - but what does the law say? According to the current status, these surprise boxes are not considered to be a game of chance in Germany. However, developments relating to costs are under observation in many countries. They are also often bought in France, England or the Netherlands, for example.
It is also interesting that some of the games are not subject to any age control. Fifa21 can also be played by children, for example, there is no recommendation here. In contrast, games of chance are only allowed in Germany from the age of 18, and with good reason. Critics agree that children and young people with the loot boxes come into contact with gambling mechanisms far too early. It becomes absolutely socially acceptable to hope for profits from a young age - and also to risk losses.
EA is also not the only video game company that could face lawsuits in the future. More and more games come under criticism. In 2020, for example, the developer of Clash of Clans ended up in court for accused of anti-competitive practices. Because this game is also based on loot boxes. Just as with EA, the same argument was made here: Loot boxes are clearly comparable to slot machines. That makes them games of chance.
Players are under pressure to buy
Not only the comparison to slot machines is often drawn. There are also other criticisms associated with loot boxes: loot boxes manipulate the players and put them under pressure to spend money. In addition, game manufacturers often do not provide enough information about the probability of winning. You also don't know exactly what you will get for the purchase. Critics agree that costs would be deliberately concealed. Overall, there is simply a lack of transparency. Here and there are then microtransactions payable to obtain special items. Those who want to keep up with their opponents often decide to buy. The pressure is particularly difficult to bear for children and young people, which is why they often carry out transactions on an impulsive basis. After all, you want to have the best equipment yourself or, as in the case of Fifa, be able to shine with the best player. It is also conceivable that children do not really understand the manipulation they are exposed to.
How exactly it will continue with the loot boxes is unclear. People who campaign for the containment of the crate system will certainly not be upset in the future. It remains to be seen what precedents will be set in the near future. Other countries have already recognized the problem. In Belgium, for example, the loot boxes have already been banned. Here you have clearly positioned yourself: The boxes are like a game of chance. They have therefore even been banned completely. In the United Kingdom, the boxes have also been on the radar for a long time, but have not yet been able to take regulatory measures. The reason is the Gambling Act 2005, which does not cover loot boxes. Now, however, it is required that the purchasable boxes are included in order to finally have better control.
In autumn 2017, the highest German gaming supervisory authorities came to the conclusion that the boxes were not to be equated with a game of chance under German law. In this context, it was also established that legal requirements that define games of chance as such are not met with the loot boxes. For the time being, the boxes can still be bought. At least better control would also be desirable in this country in order to better protect young players in particular.
Bogdan Lashchenko – content manager at EgamersWorld.Bogdan has been working at EGamersWorld since 2023. Joining the company, he began fillin the site with information, news and events.