Review of Electronic Game Loot Boxes as Form of Gambling

Mr Leon Perera asked the Minister for Home Affairs whether electronic game loot boxes are being reviewed as being a form of gambling, as seen in some other jurisdictions.

Electronic game loot boxes are virtual items that can be bought using real-world money or in-game credits. These loot boxes yield a range of prizes that can be used in the game, for example, weapons. The specific prizes in each loot box are determined by chance.

The Remote Gambling Act (RGA) covers games of chance conducted over remote communications and the Internet which allow players to win money or money’s worth.

Given the randomness of the prizes in loot boxes, they are a game of chance. However, whether the loot boxes are considered a form of gambling under RGA depends on whether there are in-game facilities that allow players to convert game credits or any in-game items, for example, weapons and skills, to real-world money or merchandises.

The Ministry of Home Affairs has been studying different aspects of this matter.