The debate surrounding loot boxes—a video game feature where players pay for a chance to receive in-game items via a random number generator—has intensified in Spain. Last year, the Dirección General de Ordenación del Juego (DGOJ), the country's gaming regulator, initiated a consultation to assess whether new regulations were necessary, if these mechanisms should be treated as gambling, or if they should be banned altogether. This current inquiry follows an earlier one from 2021 and acknowledges a 'clear similarity' between loot boxes and gambling, while recognizing notable differences that require careful consideration.
According to the report, for an activity to qualify as gambling, it must fulfill three specific criteria. The unique characteristics of loot boxes, however, call for a tailored set of regulations. Key among these is a prohibition on loot boxes for those under 18. The report emphasizes the need for operators to implement systems for verifying the identities of users to uphold this ban.
Further regulations stipulate that advertising for loot boxes must adhere to time restrictions similar to gambling promotions, permitting broadcasts only from 1 AM to 5 AM. Advertisements must not encourage impulsive behavior nor mislead consumers regarding potential rewards. Moreover, they must include warnings advising moderation in usage.
When purchasing a loot box, players must also receive clear information about the likelihood of obtaining specific items, and prices must be displayed in euros rather than solely in in-game currency. Game developers are required to create self-exclusion mechanisms, allowing players to opt out of loot box access, with provisions for possible reimbursement of funds spent exclusively on these features.
Players will be allowed to set personal spending and usage limits for loot boxes. Serious violations of these regulations, such as failing to disclose the odds of winning specific items, may incur fines of up to €200,000. More severe breaches, like permitting a minor to engage with loot boxes, could result in penalties of up to €3 million. Public feedback on the draft law is invited until July 23.
