Video Game Loot Boxes Deemed Not Gambling By New Zealand Regulator
New Zealand does not recognize video game loot boxes as a form of gambling. This is according to the country's gambling regulator who stated that loot boxes don't meet New Zealand's legal definition of gambling.
In an interview with Gamasutra, the Gambling Compliance office of New Zealand's Department of Internal Affairs said, "The Department is of the view that loot boxes do not meet the legal definition of gambling."
According to Trish Millward, a licensing compliance manager at the DIA, her office has been following the international debate regarding loot boxes closely. However, the department doesn't find the video game feature to be in violation of New Zealand's Gambling Act 2003. She also added that it's not illegal for New Zealanders to gamble online with overseas providers.
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New Zealand seems to be adopting a wait-and-see approach which suggests a very complicated legal minefield for both governments and publishers. A number of companies already announced their decision to either pull some microtransaction systems from their game as well as expressed their intention to not include such systems in future titles.
But while New Zealand's views are shared by those in the ESA and ESRB which states that because loot box contents cannot be traded for cash, they cannot be considered gambling, other countries are more than willing to crack down on this practice. Victoria, Australia'a gambling regulator recently revealed its stance where it acknowledged loot boxes to be a form of gambling.
Loot boxes were first accused of being gambling by Hawaii State legislator Chris Lee in the wake of "Star Wars Battlefront 2" loot box controversy. His sentiments were echoed by other governments around the world who expressed their intentions to regulate video games that employ such practices.
EA DICE has since removed any form of microtransaction from "Star Wars Battlefront 2." However, many of its games still carry the loot box system as a form of post-launch monetization.
