New Zealand Says Loot Boxes Do Not Meet Legal Gambling Definition

Loot Boxes

“Does Loot Boxes In Video Games Equals To Gambling” this topic has become an international issue and many Game developers, Publishers, Rating Boards and Government Bodies have given their view on it. some say it is Gambling and it should be Banned and some say it cannot be classified as Gambling as it does not fit the criteria of gambling under the existing law.

Well now the latest statement comes from New Zealand Department for Internal Affairs and according to them Loot Boxes are not Gambling. In a letter received by Gamasutra from theĀ  compliance manager of the Department Trish Millward says the following

“While the payment of money for a loot box with the contents of which are determined by chance many appear to be gambling, the Department is of the view that loot boxes to not meet the legal definition of gambling.”

In the letter, Millward also states that the boxes cannot be classified as gambling because gamers buy it enhance their experience and not to win money out of it.

“There are many games which enable the user to enhance the gaming experience. loot boxes are a variation on this theme. Gamers do not purchase loot boxes to win money or something that can be converted into money. They Buy loot boxes so that they can use their contents within the game and thereby have a better gaming experience.”

This is the same argument which has been iterated many times by some Government bodies, Developers, Publishers and Gamers who support loot boxes. the key point here is that the in-game content cannot be converted into money so it cannot be classified as gambling.

Currently, Belgium, Victoria, and Hawaii have acknowledged that loot boxes are similar to gambling and working on bringing new legislature to regulate it in video games.

But Queensland, UK, and New Zealand have conducted their own investigation and have concluded that it is not gambling under the legal definition of gambling. almost all major rating boards like ESRB, Pegi, UKIE have also said that it is not gambling.

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