Federal Government Committee Recommends Strict Age Verification to Be Imposed for Loot Boxes in Australia

This week, a Federal Government committee recommended that Australia should see a mandatory online age verification for local residents who want to access certain adult-only content on the Internet. As part of the controversial proposal aimed at maximising the protection for underage individuals, an interesting suggestion regarding controversial loot boxes was made into the same report.

The truth is that most media put the suggestion about age verification at adults-only website into the spotlight, but apart from that, the “Protecting the Age of Innocence” committee was also empowered to investigate age verification for online gambling and betting operations. As part of that probe, the committee turned back to the inquiry into micro-transactions in 2019, which also included some concerns regarding loot boxes’ offering in the country.

Following some concerns that loot boxes could have a massive negative impact on underage individuals in the country, the Australian House of Representatives Standing Committee recommended that access to so-called loot boxes and other simulated gambling elements available in computer and video games should be restricted to people under 18 years of age. This recommendation may end up with Australian gamers being required to provide proof of age before they are allowed to access loot boxes in video games in case that the Federal Government decides to take further measures on the issue.

Mandatory Age Verification Aimed at Tackling Loot Boxes’ Possible Negative Effect on Children

The recommendation made by the aforementioned committee includes the use of “mandatory age verification” before an individual to be allowed to access loot boxes and other in-game items offered in computer and video games. The objective of the suggestion is obvious – to safeguard Australian consumers, especially underage and vulnerable ones, from the possible negative effect that online gambling may have on their well-being.

The recent push of the Australian House of Representatives towards stricter regulation of loot boxes and in-game items emerges at a time when regulation and restriction of loot boxes have already been one of the hottest trends in global gambling regulations.

So far, the Gaming Commission in Belgium recognised the sale of loot boxes as a criminal act because of the items’ design that pretty much resembles a game of chance. Because of this, loot boxes are currently banned in the country. Loot boxes have also been a controversial topic in the UK, but for now, the country’s gambling authorities do not consider loot boxes offering a gambling activity. On the other hand, several US lawmakers have attacked the gaming industry over the sale of loot boxes, saying that these in-game items use gambling mechanics, which could be very dangerous for more vulnerable users and children.

What many lawmakers across the world find concerning is the “gambling” aspect of loot boxes – the fact that users do not actually know what they are buying before making a payment. According to some of them, there is enough evidence that loot boxes could serve as a gateway to gambling addiction and all associated gambling harms at a later stage of a customer’s life.

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Daniel Williams

Daniel Williams has started his writing career as a freelance author at a local paper media. After working there for a couple of years and writing on various topics, he found his interest for the gambling industry.
Daniel Williams
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