Loot boxes have been argued to be structurally and psychologically similar to gambling. Many countries are deciding how best to regulate loot boxes. Requiring video game companies to disclose the probabilities of obtaining rewards in loot boxes is one consumer protection measure. However, the reward structures of most loot boxes are complex. This reduces the potential of disclosures to meaningfully protect people from financial harm. In this article, the authors propose four ways to ethically design loot boxes for consumer protection: (1) capping the number of loot boxes per game; (2) capping the maximum number of potential rewards per loot box; (3) making the probabilities equal across rewards; and (4) implementing “exhaustible” loot boxes that guarantee people will not receive duplicate rewards.
