New Gaming Regulations in China Aim to Reduce Player Spending

On December 22, Chinese regulators announced new rules aimed at reducing player spending within video games. The changes will impact how games reward players for logging in and making purchases, as well as limit the amount players can top up their digital wallets.

Prohibited Game Rewards and Spending Limits

As reported by Reuters, the new regulations will ban online games from providing daily log-in rewards to players. Additionally, rewards for consecutive or first-time spends will also be prohibited. Luck-based draw mechanics, such as loot boxes, will be banned for minors, who will also be unable to participate in auctions of virtual items.

The Controversy Surrounding Loot Boxes

Loot boxes in video games offer random in-game items, often cosmetic in nature. While they can be earned through gameplay, they are also available for purchase with real money. This has made loot boxes a source of controversy within the gaming industry, leading to recommendations for increased player protections and transparency.

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