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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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ELA Games Announces New Slot Game – Big Wave Delight

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ELA Games, an innovative slot provider in the iGaming industry, is thrilled to announce the release of its latest slot machine game, Big Wave Delight. This new game features an advanced design, original mechanics, and a unique “Bonus Purchase” feature, setting a new standard in the gaming industry.

“Dive into the ultimate Hawaiian surf adventure with Big Wave Delight,” says Mike Cini, Business Owner of ELA Games. “Our latest slot machine offers players a thrilling gaming experience with every spin. The unique ‘Bonus Purchase’ feature and the ‘Wild Wave Respin’ feature, where every Wild landing triggers a respin and summons a massive surfing board as a Wild symbol on the reel, are sure to keep players engaged and entertained.”

Players can also hit the waves with Free Spins, scoring 10 thrilling spins with random multipliers (up to 10x) on each whirl. With up to 3 Wild Surfboards on every spin, players can expect epic wins!

The ELA Games team has just returned from SIGMA Americas in Sao Paulo, which took place from 22-24 April. The team is now preparing for the CasinoBeats Summit 2024 in Malta, where Mike Cini will be participating in a discussion panel titled “Navigating niche – mainstream opinion on alternative games“ on 22nd May.

The post ELA Games Announces New Slot Game – Big Wave Delight appeared first on European Gaming Industry News.

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CasinoBeats Summit, Headlined by ‘Doom Guy’ John Romero, to Draw 4,500 Delegates to Malta

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From May 21st to 23rd, 2024, InterContinental Malta will host the highly anticipated CasinoBeats Summit. With 4,500 delegates expected, the event will once again be the hub for all things casino, featuring insightful discussions on innovation and providing a firsthand look at the hottest products in the casino world.

A highlight of the event is the keynote address by John Romero, renowned game programmer and designer behind classics like ‘Doom,’ ‘Wolfenstein 3D,’ and ‘Quake.’ Romero will also join returning host Trudy Kerr to co-host the Game Developer Awards on Thursday evening.

The educational component of the event, featuring over 150 experts, will provide in-depth insights into various aspects of the gaming industry, ranging from slot games and live casino experiences to alternative game types. Special attention will be given to areas such as game design, mechanics, creativity, and innovation. Additionally, stages will cover advancements in the industry, leadership topics, marketing, and affiliation.

Notably, SEO will be a focal point across multiple sessions, including the return of the three-part SEO chatshow led by Ivana Flynn, SEO Director at Betinia and Campobet. These sessions will explore the intersection of SEO with AI and the latest updates from Google, among other relevant topics.

SEO will also be highlighted in a workshop led by International SEO Consultant Aleyda Solis, tackling the audience’s ongoing challenges in the SEO field. Another workshop will focus on grey hat SEO tactics. Additionally, SEO will be a key feature in a hackathon led by technical SEO experts Batuhan Sasi (Medier) and Héctor Izurrategui (888/William Hill). They will demonstrate how tools like ChatGPT can enhance the efficiency of SEO professionals, offering a practical overview of their capabilities.

Workshops and hackathons will be key features of this year’s event, offering more intimate and practical settings for learning about various topics. Workshops will cover areas such as the impact of brand design, led by Philip Sultana (Head of Design/Brand & UX/UI, PressEnter Group), building successful VIP programs with Gali Hartuv (CEO, WarriorLab), ESG with Floris Assies (CEO, Better World Casinos) and harnessing HR technology for strategic excellence. Additionally, hackathon-style sessions will provide opportunities to engage with regulators, including representatives from Curaçao and the UKGC.

Over 50 exhibitors will enliven the exhibition floor, creating a dynamic environment filled with product showcases. The show floor will also host various networking activities, including the Women in Gaming Breakfast and IMGL meet-ups. Special features will include a slot tournament led by casino streamers testing new game releases from the studios debuting their games at the event, as well as a dedicated women in gaming poker tournament.

The poker tournament is just one of the many activities at the event tailored for women in gaming. Female attendees can expect a variety of sessions, including yoga and meditation classes for stress relief, empowerment and leadership workshops, and sessions where real-life experiences of women in the industry will be shared by industry leaders.

Another exciting event highlight will be the abundance of roundtable discussions to join, totalling 19 on Day 1. These intimate discussions, lasting for one and a half hours each, will delve into the regulatory landscape and explore challenges and opportunities in various markets, including the UK, Italy, Malta, Spain, Brazil, and more.

During the evenings, attendees can enjoy networking in relaxed settings at the networking events. These include the CasinoBeats Malta Opening Party at SKYBEACH on Tuesday, 21st of May, the Official Networking Party at Infinity by Hugo’s on Wednesday, 22nd of May, and the Official Closing Party at Sky Club on Thursday, 23rd of May.

Additional evening networking events comprise the Game Developer Awards, a celebration honouring successful teams and individuals in the casino industry at Hilton (a separate ticket is required) on Thursday, 23rd of May. There are also invite-only VIP Dinners for C-level SBC Leaders at Caviar & Bull on Wednesday, 22nd of May, and for Affiliate Leaders at Sole by Tarragon on the same day.

The post CasinoBeats Summit, Headlined by ‘Doom Guy’ John Romero, to Draw 4,500 Delegates to Malta appeared first on European Gaming Industry News.

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BOS: “Of course the minister is right when stating that the state should not operate casinos”

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The Swedish Trade Association for Online Gambling (BOS) expresses itself in an op-ed, published today in Sweden’s largest newspaper Aftonbladet, about financial market minister Niklas Wykman’s statement that “It should not be a politically ordered task for a state company to operate casinos”. The minister made the statement in an op-ed in Aftonbladet due to his announcement that the government intends to close Sweden’s last land-based casino, located in central Stockholm.

In a response from BOS, Secretary General Gustaf Hoffstedt welcomes the minister’s principled statement about the inappropriateness of running state casinos. Hoffstedt also reminds the minister that the state continues to do exactly that online and that the same principled stance should also apply online.

-We welcome this principled firm stance on the part of the minister and foresee that a winding down of the state as a commercial operator in the casino market can take place during the mandate period, which extends until 2026, says Gustaf Hoffstedt.

The post BOS: “Of course the minister is right when stating that the state should not operate casinos” appeared first on European Gaming Industry News.

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