An Australian Senate inquiry will begin in Melbourne today into the potential harm caused by video gaming “loot boxes” – chance-based items that can be purchased by players in-game.
At the heart of the inquiry, titled “Gaming micro-transactions for chance-based items”, is whether the purchase of loot boxes and he subsequent ability to monetize their contents constitutes a form of gambling. It will also look into the adequacy of the current consumer protection and regulatory framework for in-game micro transactions for chance-based items, including international comparisons, age requirements and disclosure of odds.
Loot boxes are essentially mystery prizes, or boxes, that can be either awarded to players during play or purchased at any time in-game. Their contents, ranging from new avatar options to special armour or weapon “skins”, can then be monetized by trading or selling to other players. However, the value of items contained within a loot box can vary significantly and is essentially a game of chance with no way for players to know the contents of a loot box until they have acquired it.
Among the primary concerns surrounding loot boxes is their availability to minors.
Today’s Senate proceedings will include submissions from the Victorian Responsible Gambling Foundation, the Australian Council on Children and the Media, the Australian Communications and Media Authority, the Classification Board and Department of the Communications and Arts, the eSports Association of Australia, Interactive Games & Entertainment Association and Game Developers’ Association of Australia.
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