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Lack of regulation and enforcement of gambling law in relation to illegal loot boxes in video games offered by Steam

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View Open Access Article View Snapshot Back to Search Results

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Author(s): Xiao, Leon Y. ; Henderson, Laura L.

Journal: International Gambling Studies

Year Published: 2024

Date Added: October 29, 2024

Loot boxes are gambling-like features in video games that are not currently well-regulated. This study looked at whether loot boxes in video games offered on Steam, an online platform, comply with the gambling law of many countries. The researchers analyzed descriptions of video games offered on the Steam Community Market. As of February 2023, there were 165 video games on the platform that offered buying/selling of in-game items. Among those games, 36 had loot boxes with content that could be bought and sold between players, which violate the gambling laws of many countries. None of these video games featured a warning label about the presence of loot boxes, which violate consumer protection law in certain countries.

A year after the study results were provided to the gambling regulators of several countries, all 36 video games were still offering loot boxes with content that could be bought and sold, and 35 still had no warning label. These findings suggest that illegal loot boxes are currently available on one of the most popular video game platforms, and gambling regulators have not enforced the law regarding such loot boxes.


Citation: Xiao, L. Y., & Henderson, L. L. (2024). Illegal video game loot boxes with transferable content on steam: A longitudinal study on their presence and non-compliance with and non-enforcement of gambling law. International Gambling Studies. Advance online publication. https://doi.org/10.1080/14459795.2024.2390827

Article DOI: https://doi.org/10.1080/14459795.2024.2390827

Keywords: consumer protection ; gaming ; illegal gambling ; loot boxes ; video gaming regulations

Topics: Information for Operators

Conceptual Framework Factors:   Environment - Culture of Social Responsibility ; Exposure - Convergence of Gaming and Gambling ; Gambling Environment ; Social - Deviance ; Environment - Public Policy ; Gambling Exposure

Study Design: Observational: Longitudinal

Study Population: Games containing paid loot boxes with transferable content available on Valve’s Steam platform (n = 35) and Steam’s trading card system

Sampling Procedure: The researchers reviewed games available on Valve’s Steam platform to identify games containing paid loot boxes with transferable content that could be purchased or sold with real-world money. A total of 165 games were identified through the Steam Community Market webpage, of which 35 games fit the criteria (in addition to Steam’s trading card system).

Study Funding:

This study was supported by a PhD Fellowship funded by the IT University of Copenhagen awarded to Leon Y. Xiao.

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