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Video game loot boxes and problem gambling among adolescent gamers

by Jason Smith

Video game loot boxes and problem gambling among adolescent gamers

Video games have become one of the favourite pastimes for millions of people all over the world. Over the last twenty years, gamers of all ages have become accustomed to sitting down in front of their desk or TV and enjoying whatever game is popular that month.

The gaming industry has developed much since the 90s and has become a global phenomenon. Nowadays, thousands of studios work around the clock to bring us the games we love to play. But as with any industry, the gaming scene has seen its fair share of controversy. From accusations of glorifying violence to supposedly setting players on the path of addiction, gaming is no stranger to intrigue. In recent years, another topic has arisen, one that has managed to stay under the radar for longer than most. Of course, we are talking about loot boxes and the effects they have on those who purchase them.

What Are Loot Boxes?

Loot boxes first started appearing in the mid-2010s as a form of micro-transaction, primarily to help publishers generate additional revenue. It was a time when the gaming industry as a whole was targeting a mass audience and was trying to be as accessible as possible. This meant that publishers could not realistically increase the cost of games above the $60 mark, which had become standard some time before the start of the PS3/Xbox360 era. However, with inflation eating away at the profits, the cost of development exponentially increasing with time, and ever stiffer competition, publishers had to turn to another way of generating a profit.

First came micro-transactions and DLCs – small pieces of content that were cool to look at, which would cost pennies or at most a couple of dollars. This became the norm for a couple of years until some developer had the bright idea of putting multiple pieces of content in a box and randomizing them. In practice, they worked as virtual baseball cards and players could purchase them from the developer’s online platform.

No one can say for certain when the loot box trend went mainstream. Some argue that it was with Valve’s Team Fortress 2, others state it went as far back as 2004 with Japanese MMORPG’s. Regardless, loot boxes have become one of the hottest topics in the modern gaming world. It all came to a head in the mid-2010 when loot boxes increased in video games as never before.

The Problem with Loot Boxes?

So, I can hear you asking, what is the actual problem with loot boxes? Aren’t they just a way for the publisher to make something extra? That they are but they are also something else. Something that has grown far beyond the original scope of the concept and has become a nefarious system that many would like to see gone from the industry.

The thing about loot boxes is that it brought publishers a lot more money than most people anticipated. As this was happening, we can only imagine that executives were seeing dollar signs and set to optimize loot boxes for maximum profit. The way this was done was by introducing gambling mechanics where one would not suspect.

Loot boxes are at their very core random. When you open a loot box, usually, bright colours shine on screen and the game slowly reveals what you have won. Most of the time, it’s junk but if you open enough loot boxes, you might come across something mind-blowing. This incentivizes players to purchase more and more loot boxes until they get the thing they want, whatever it may be.

If this sounds very much like a slot machine, it is because it is designed to behave like one. This then brings up the question of whether it is appropriate to have faux-Vegas in games children can play, which is the main crux of the matter.

Loot Boxes and Their Effect on Players

There is a reason why gambling is an adult-only activity in every country on this Earth. Children are not prepared to handle the effects of gambling and for this reason, casino establishments only allow people of legal age to enter.

What gaming publishers have done is snuck gambling past the law and into millions of homes all over the globe. Since loot boxes are not the main attraction of a game that features them, they are allowed to pass under the radar unnoticed. According to info provided by casinoguardian.co.uk, people do not rightfully understand the danger behind loot boxes and treat them as any other gameplay element.

The developing minds of kids are ill-suited to handle the effects of loot boxes or gambling. This has led to many younger gamers showing signs of problem gambling. It even affects full-grown adults, as well. This only shows the intent behind the system, which is to get customers hooked and coming back for more. Even The Entertainment Software Rating Board is warning users about loot boxes and their effects on consumers.

It has come to the point where gambling regulatory boards have started investigating the matter. Notoriously, the Belgian Government has intervened in 2018 and banned all games publishers from offering loot boxes to residents. Other countries have also taken measures to curb the effect of loot boxes.

However, despite this publishers continue to sell them wherever possible. Considering the overarching influence loot boxes have on the industry, it is unlikely that they will go away any time soon.

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