Here's a recap of the Belgian Paid Lootboxes "ambiguïty" in three parts:
1: Gambling is illegal in Belgium unless you get a license and get checked by regulators (check the odds and algorithms): https://www.gamingcommission.be/opencms/opencms/jhksweb_en/law/
They also threw in a bunch of recommendations to everyone:
(The fourth one, Star Wars Battlefront II, removed theirs earlier due to international outcry.)
But there is no practical sign of the Gaming Comission going out of their way to check more games: https://www.gamingcommission.be/opencms/opencms/jhksweb_en/gamingcommission/news/news_0061.html
The position seems to be waiting for the industry to auto-regulate based on the given recommendations.
1: Gambling is illegal in Belgium unless you get a license and get checked by regulators (check the odds and algorithms): https://www.gamingcommission.be/opencms/opencms/jhksweb_en/law/
2: Gambling is defined by "Game of Chance", which is a 3-parts definition that covers most gambling types: https://www.gamingcommission.be/opencms/opencms/jhksweb_en/games/In Belgium a ban on games of chance is in place. Since an absolute ban across the board once prompted the uncontrolled proliferation of illegal games of chance, the government decided to implement a policy aimed at channelling gambling activities by way of licences. To this end, the Gaming Commission was instituted by the Act of 7 May 1999 on games of chance, bets, gaming establishments and the protection of players. In a bid to appropriately guide and control the operation of games of chance, we award different types of licences.
3: In a recent 25 pages report, the Game of Chance Comission recognised some Paid Lootboxes as Game of Chance, as well as some things that they found should be better legislated (usage of celebrities, chance manipulation etc.). But it also recognised that there is currently no legislation for Lootboxes, and no way to get a license either: https://www.gamingcommission.be/ope...zoeksrapport-loot-boxen-Engels-publicatie.pdfThis is the legal definition of a game of chance: "Any game by which a stake of any kind is committed, the consequence of which is either loss of the stake by at least one of the players or a gain of any kind in favour of at least one of the players, or organisers of the game and in which chance is a factor, albeit ancillary, for the conduct of the game, determination of the winner or fixing of the gain".
The three elements stake, win or lose and chance must be cumulatively present if one is to speak of a game of chance. The definition of games of chance is very wide.
For example, it is not important if a "skin" in Overwatch, FIFA 18 or C-S: GO is merely of aesthetic value. What is important is that players attach value to it and that this value is also emphasised by the game developers themselves.
Winning is not even a decisive criterion in the Belgian Gaming and Betting Act. The mere loss of a wager can suffice and can also be of any type. If a player pays a certain amount for the purchase of a loot box, then the player's loss will consist of the value of the wager minus the value of the obtained item. Therefore, even though developers and distributors maintain that the obtained items in loot boxes have no value, the amount of the wager will constitute an integral loss for the player and an integral win for the distributors and game developers.
The paid loot boxes in the examined games Overwatch, FIFA 18 and Counter-Strike: Global Offensive fit the description of a game of chance because all of the constitutive elements of gambling are present (game, wager, chance, win/loss). The loot box system in Star Wars Battlefront 2 prior to the official release of the game also fits this definition, but this is no longer the case today
The investigation clearly shows that the purchase of loot boxes by players in the examined video games is highly problematic, both in terms of the purchase as well as in terms of the techniques used to allow players to bet using loot boxes. The self-regulating classification system of video games does not offer the protection envisioned by the Gaming and Betting Act. In fact, there is no single systematic protection of consumers, minors or gambling addicts from gambling. More and more people, including young people, are confronted with gambling without realising it.
The examined games with paid loot boxes such as those that are currently being offered and operated in Belgium violate the Gaming and Betting Act and can be criminally prosecuted. From the legal-technical perspective, the loot boxes themselves do not fall under the definition of gambling, but they can teach young and vulnerable players gambling. Free loot boxes are also problematic if players are directed to paid loot boxes through free loot boxes.
Just as measures were undertaken with regard to Game of War in the past, the paid loot boxes must be removed from the video games in order to comply with the Belgian Gaming and Betting Act. If the video games are not revised in compliance with the Gaming and Betting Act, the active operators risk a prison sentence of up to five years and fines of up to EUR 800,000 for a first violation. These penalties can double if the violation was perpetrated against a person younger than 18.
They also threw in a bunch of recommendations to everyone:
The gaming industry's self-regulation does not (adequately) protect the player.
The three games cited in the report stopped selling Lootboxes in Belgium (FIFA, Overwatch, Counter-Strike: Global Offensive).Recommendations [...]
With regard to the regulator: [...]
With regard to the granters of licenses such as the international football association FIFA and Disney:
- Update the Gaming Commission [with more power over video games prevention]
- Specific permits must be developed for games of chance in video games.
- Principal ban on minors purchasing games with paid loot boxes.
With regard to game platforms that facilitate payments that can be used in video games:
- Take into consideration quality standards if the licence is granted to a game developer (no illegal gambling, no promotion of match fixing, etc.).
With regard to distributors and game developers (EA, etc.):
- The age requirements of the platform and the used video game must be the same. If a game is not approved for minors, they must also not be able to make any payments.
- Clear indication of the chances of winning for the various item values.
- Permit complete control of the random number generators used for the loot boxes by the Gaming Commission's Technical Assessments team.
- Provision of the data of players and payments.
- Introduction of a financial ceiling for the monetary amount that can be spent on loot boxes.
- The presence of paid loot boxes may not impede or disadvantage a normal game without paid loot boxes.
- A game symbol 'gambling' is needed (e.g.: "contains gambling")
(The fourth one, Star Wars Battlefront II, removed theirs earlier due to international outcry.)
But there is no practical sign of the Gaming Comission going out of their way to check more games: https://www.gamingcommission.be/opencms/opencms/jhksweb_en/gamingcommission/news/news_0061.html
The Gaming Commission has reached the conclusion that paying loot boxes are games of chance. If these are operated further, a criminal approach is indicated. Since the phenomenon goes farther than the 4 games analysed, the Gaming Commission is making a number of recommendations for both those responsible for the policy, the game manufacturers, the game platforms and the licensors such as FIFA.
The position seems to be waiting for the industry to auto-regulate based on the given recommendations.
Last edited: