The EU has initiated actions against major game companies over their in-game currency practices, mandating transparency and consumer rights.
EU Takes Action Against Gaming Giants for In-Game Currency Issues
The European Commission has revealed that consumer authorities have initiated coordinated actions against ten prominent gaming companies concerning their virtual currency sales practices. This move targets major titles including Minecraft and Candy Crush Saga, among others.
The Consumer Protection Cooperation Network, which oversees national enforcement agencies, identified companies such as Activision Blizzard UK, King.com, and Ubisoft EMEA in this crackdown. The selected games were chosen for their popularity, accessibility across devices, and diverse age ratings.
New guidelines stipulate that real-world prices for in-game items must be transparently displayed, and players will have a 14-day right to withdraw from purchases involving unused virtual currency. The regulations aim to eliminate practices that obscure actual costs or encourage excessive spending by players.
Particular attention is being given to the protection of minors, as games not solely aimed at adults are expected to attract many underage players. The guidelines also highlight the need for fairness in games that target high-spending players, often referred to as "whales."
Interestingly, cryptocurrencies are explicitly excluded from these regulations, which focus instead on currencies purchased with real money within gaming ecosystems. The EU's regulatory framework does not apply to currencies earned through gameplay or those defined in the EU's anti-money laundering directives.
Moreover, the network is scrutinizing variable reward systems such as loot boxes, especially those that appeal to children, alongside aggressive marketing tactics that may violate existing EU laws. Concerns have also been raised regarding data collection practices and the addictive design of certain games.
Despite previous discussions with industry stakeholders aimed at reform, the network has noted a lack of significant changes in game practices, prompting this coordinated enforcement action.
