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Are loot boxes really gambling-European authorities think so

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Over the recent months there has been quite some turmoil regarding various game developers and their provision of the “loot boxes”, a certain feature that lets the gamers win an in-game item or a game skin at a random chance. While loot boxes have been existing for years, only in September 2018 the controversy in opinions started to be seen. The main reason behind this was that previously game developers were limiting loot box items to various skins, things that do not really have an impact on the game result. In other words, if a player wanted to open a loot box in Counter-Strike GO, he might have received a weapon skin worth over $1,000. Obviously, such expensive in-game items could only be unlocked by opening a loot box, and could easily be exchanged for real money. Considering this, many people would regard such activity as a type of the esport betting or some sort of in-game built gambling, even this game skin would not be any better than a default one, it is just rare. In contrast, newer versions of the loot boxes would provide players with the features that can hardly be obtained without paying.

Are loot boxes gambling?
When thinking of gambling, casinos are the first thing that pop in our mind. Let us quickly analyse the difference and similarities shared by the concept of the loot box and casino. It is clear that when claiming a bonus from an online casino and playing some online slot machines or any other game, a player is expecting both the experience and the chance for winning. Quite a different case happens when opening a loot box. A gamer is not really expecting to get any sort of experience as the experience is provided by an actual game. Besides that, a gamer is certainly provided with a payout in a form of an item. In most of the cases, however, the value of the item will be significantly lower than the cost of opening a loot box.

While the technical aspects are quite different, the concept of a loot box does seem to remind us of good old games of chance. First of all, a player has absolutely no impact on the final outcome. Unlike poker, which is often considered a game of skill, both roulette players and loot box openers do not have any impact on the outcome of their bet. Secondly, the math behind loot boxes is rather simple. Imagine it costs 10 candies to place a bet, and you have a chance of winning anywhere between 1 and 1000 candies, would you consider such activity gambling? Most probably.

European authorities fight loot boxes
By now Dutch and Belgian Gambling Authorities have stated that some loot boxes are actually pure gambling and the game developers will be required to apply for the local gambling license in case they want to continue offering loot boxes. Even though games like PUBG, FIFA and DOTA 2 are not actually allowing the players to sell their in-game items and skins for money that can be cashed out, many gamers can still easily find an option to sell their items outside of the game. Most importantly, it became clear that such items carry a value. As a result, Dutch and Belgian authorities might exercise penalties against the game develops as of June 20th 2018 in case these develops fail to either remove the loot boxes or apply for the local regulation. Besides that, the authorities want to make this regulation adopted in other EU member states.

How about US?
Until now the US authorities have been considering loot boxes as a fully legal mechanism that is not related to gambling. However, the main debate in the US has been going on about how such games should be labelled and whether the gamer’s age should be restricted.

The final thought
While it is clear that loot boxes represent a great income stream for the game developers, we also have to understand that the whole experience of opening a loot box is built on excitement and a feeling of getting a large payout. However, unlike casinos that have age restrictions, loot boxes are targeting a vulnerable part of our population – the youngsters. In many cases EU regulations have been much more consumer-friendly than the ones from the US, and it certainly interesting to see how these regulations will develop in the remaining part of the 2018.


Source: Latest News on European Gaming Media Network

George Miller (Gyorgy Molnar) started his career in content marketing and has started working as an Editor/Content Manager for our company in 2016. George has acquired many experiences when it comes to interviews and newsworthy content becoming Head of Content in 2017. He is responsible for the news being shared on multiple websites that are part of the European Gaming Media Network.

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Betway become Official Betting Partner of the Alpine Hexagon Cup

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Betway, a leading global online betting and gaming brand, has announced today a new agreement to become the Official Betting Partner of the current edition of the Alpine Hexagon Cup 2025.

The tournament will take place from January 29 to February 2 at the Madrid Arena, with a capacity for 12,000 people, and will be broadcast in Spain through the streaming platform DAZN and RTVE.

The competition, now in its second edition, will feature eight teams led by celebrities such as Eva Longoria, Andy Murray, the Rafa Nadal Academy, Robert Lewandowski, as well as this year’s new additions Sergio ‘Kun’ Agüero and Formula 1 driver Pierre Gasly. The tournament will also include players Arturo Coello and Agustin Tapia, the number one male pairing in the ranking, as well as Ariana Sánchez and Paula Josemaría, who also hold the top spot in the women’s ranking.

Maria Meseguer, General Manager of Betway Spain, commented: “We are very excited to announce our sponsorship of the Hexagon Cup and to add padel, the fastest growing sport in the world, to our sponsorship plan.”

“With padel increasing in popularity worldwide, especially in Spain, we are happy to be part of the continuous growth of this sport through our partnership with the Hexagon Cup.”

Astrid Thams, Commercial Managing Director of the Hexagon Cup, expressed: “We are undoubtedly very pleased to announce this sponsorship agreement with Betway. It is further evidence of the tournament’s growth. Padel is increasingly a valuable asset and, in this case, they are a reference in the sector. Hopefully, it will be a partnership that allows the event to continue developing at a great pace.”

Betway is a proud sponsor of numerous international sports events held in Spain, and has a prominent global sponsorship portfolio that extends to football, cricket, and tennis. It will continue to promote responsible gambling to ensure that all its customers bet in a fair, safe, and protected environment.

 

The post Betway become Official Betting Partner of the Alpine Hexagon Cup appeared first on European Gaming Industry News.

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SG:certified extends BetComply partnership into new markets

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SG:certified, the leading centralised regulatory platform for the gambling industry, has extended its partnership with BetComply to bring ComplyCheck into new markets, including Malta, Curaçao, Ontario and Estonia.

SG:certified first partnered with BetComply last year, to power ComplyCheck, a new self-assessment / audit hybrid tool created to help licence holders navigate regulatory requirements.

The tool is currently available in the Netherlands and the UK, with SG:certified and BetComply committed to bringing it to additional markets over the coming months.

Eric Hollreiser, Advisor at SG:certified, said: “The combination of the SG:certified platform with BetComply’s regulatory expertise is a gamechanger for operators. Demand for the product continues to grow, and this extension to our partnership with BetComply will enable us to deliver it in even more markets.”

Mike de Graaff, Chief Compliance Officer at BetComply, said: “Since we first partnered with SG:certified last year, we’ve had great success helping operators simplify and strengthen their compliance processes with ComplyCheck. Expanding it into new markets is a natural next step, and we couldn’t have a better partner than SG:certified to help us do just that.”

ComplyCheck combines unparalleled regulatory know-how from the BetComply team with SG:certified’s centralised regulatory platform to empower operators to navigate compliance in regulated markets and manage their licensing requirements with greater efficiency.

SG:certified and BetComply, both recently nominated for the prestigious European Compliance Technology Supplier award at the EGR Europe Awards 2025, will be showcasing their industry-leading ComplyCheck solution at ICE Barcelona on 20-22 January, 2025. Additionally, attendees can join their experts at SG:certified’s webinar on 15 January at 10:00am GMT, where industry leaders will preview innovations shaping a sustainable gambling future—register here.

 

The post SG:certified extends BetComply partnership into new markets appeared first on European Gaming Industry News.

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Clemence Dujardin, MyAffiliates Group CEO, to speak at iGB Affiliate, Barcelona to highlight the Importance of Transparency

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MyAffiliates, the leading* iGaming affiliate tracking software platform, announces that their Group CEO, Clemence Dujardin, will be a key speaker at the forthcoming iGB Affiliate 2025, Barcelona this month – sharing insightful words on the critical role of transparency between affiliates and operators, as part of a highly coveted inspirational panel.

Following over 13 highly successful years at MyAffiliates, Clemence Dujardin is highly regarded in the iGaming industry – and in 2023 was unveiled by iGB as one of the top 10 most influential women in the iGaming industry. Her formidable career has covered a number of industry sectors, including affiliate management and affiliate software technology companies before joining MyAffiliates, based in Malta, in 2012.

Other significant accolades include Malta’s Best Gaming Woman Leader of the Year in 2018 and 2019 and CEO Woman Of The Year at SiGMA in 2021.

Her panel speaker slot at the iGB Affiliate, Barcelona will take place at 15:15-16:00 on Wednesday 22nd January 2025 and is titled: ‘Trust and Transparency: What Does a Win-Win Affiliate Data Share Look Like?’

In iGaming, transparency can make or break partnerships; however, many affiliate relationships still lack transparency, leading to friction and mistrust. Sharing data and providing access to analytics is key, as it gives affiliates detailed insights into traffic sources, player behaviour, and campaign outcomes.

iGB Affiliate, Barcelona – part of the global gaming exhibition at Fira Barcelona Gran Via – takes place from 20-23 January 2025 and brings together over 8000 iGaming affiliates and operators, providing the ideal landscape for networking with industry leaders and peers. And, with over 200 exhibitors, it is a truly inspirational exhibition showcasing the latest products and services across the industry. Delegates can meet Clemence and learn more from her team on stand A60.

Other news from MyAffiliates includes the launch of a new, groundbreaking AI affiliate assistant – Boostbox by MyAffiliates. This revolutionary AI tool will help affiliates access brand data in a split of a second, giving them real time access on new promotions, bonus requirements, T&C updates and more. Boostbox by MyAffiliates generates unique content tailored to each brand and affiliate, helping affiliates save resources on research and content creation, allowing them to be reallocated to other tasks.

The team will also anticipate the results of the International Gaming Awards – following the MyAffiliates nomination in the highly competitive ‘Customer Service Company of the Year’ (Supplier) category.

Clemence Dujardin, Group CEO at MyAffiliates, comments, ”As the gaming industry continues to grow, 2024 has been an exceptionally strong year for us here at MyAffiliates. We’re excited to be visiting iGB Affiliate once again and provide delegates with the opportunity to trial our programmes first hand. Speaking alongside such strong thought-leaders will be inspirational and I look forward to learning from their insights on the panel. It should make for a great discussion.”

She continues, “As we continue to expand into new markets, whilst fostering our established partnerships with over 300 operators- and launching new features like our cutting edge BoostBox – we know 2025 is going to be huge. What better way to kick things off than at iGB Affiliate. We can’t wait. Put the date in your diary and we look forward to seeing you there.”

MyAffiliates has long been a powerhouse in affiliate marketing software, empowering iGaming operators to bring all their brands and products together under one seamless affiliate system. Since its launch in 2007, MyAffiliates has set the standard in the industry, becoming the go-to platform for iGaming operators.

For further information and details on BoostBox by MyAffiliates integration, set up a meeting with the team: calendly.com/milan-myaffiliates/igb-barcelona-2025?month=2025-01&date=2025-01-20 Or visit myaffiliates.com

*StatsDrone recognised MyAffiliates in April 2024 as the most-used affiliate marketing software in the gaming industry—solidifying its role as a trusted leader and innovator.

 

The post Clemence Dujardin, MyAffiliates Group CEO, to speak at iGB Affiliate, Barcelona to highlight the Importance of Transparency appeared first on European Gaming Industry News.

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