Post

The Norwegian gambling regulator 🇳🇴, after being tasked with investigating #LootBoxes (with input from the consumer and media regulators and the Norwegian Film Institute) proposed various regulatory approaches for public consultation, all of which entail stricter regulation:

(1) amend the definition of gambling by removing the existing requirement that the prizes must have economic value, which would regulate all paid loot boxes (including beyond video game contexts) as gambling;

(2) do not amend the definition of gambling but adopt a dedicated section just regulating paid loot boxes in video games; and

(3) do not amend the definition of gambling but explicitly clarify that paid loot boxes whose prizes are transferable between players are regulated as gambling, which would mean other paid loot boxes without transferable prizes will remain unregulated by gambling law (consumer law always applies).

1 repost1 like

The gambling regulator prefers either of the first two approaches because all paid loot boxes would be duly regulated, addressing the concerns. This is supported by research evidence that loot boxes with transferable prizes of “economic value” are not significantly riskier or more harmful.

Importantly, only enforcing existing information disclosure-based consumer law and relying on any anticipated loot box provisions in the forthcoming EU Digital Fairness Act at the regional level were deemed insufficient. National regulation is needed.