Question:Mr Melvin Yong Yik Chye: To ask the Minister for Home Affairs in view of the potential risks of predatory monetisation strategies in video games that induce vulnerable individuals to gamble, whether the Ministry has plans to review its position on regulating lootboxes in such games.
Answer:
Mr K Shanmugam, Minister for Home Affairs and Minister for Law:
1. There is already risk-calibrated regulation of loot boxes in
online games. Under the current class licensing regime, operators are permitted to
introduce loot boxes in online games if they implement safeguards to mitigate gambling
inducement risks.
2. For online games where players may pay for a chance to play, prizes from loot boxes
must be designed primarily for use within the game. Operators are prohibited from
offering money as prizes, or from redeeming the prizes in exchange for money.
3. Games that are free of charge pose lower gambling inducement risks. They are
therefore subject to less stringent requirements. There are no restrictions on the types of
prizes that operators may offer. However, the game must not involve any prohibited
game – for example, mahjong and poker – or display any article associated with
prohibited games. A player’s chance to play such games, such as game tokens that
players can accumulate, also cannot be transferable to other players.
4. The Ministry of Home Affairs will continue to monitor the gambling landscape, and
review the regulations as necessary.