The Legal Battles Over Loot Boxes: Gambling or Just Entertainment?

21 November 2025

If you’ve ever played video games, especially in the last decade or so, there’s a good chance you’ve encountered loot boxes. These little virtual treasure chests have become a staple in modern gaming, popping up in everything from mobile games to massive AAA titles. Some players absolutely love the thrill of opening one, but others see them as a sneaky cash-grab by developers. And then there’s the legal side of things—the part where world governments are debating whether loot boxes are harmless fun or a form of gambling. That’s the hot debate we’re diving into today.

Let’s break it all down. What exactly are loot boxes? Why are they causing so much drama? And what’s the legal fuss all about? By the end of this article, you’ll have a clearer picture of why loot boxes are one of the most controversial topics in gaming.

What Are Loot Boxes, Anyway?

Before we dive into the legal mumbo jumbo, let’s cover the basics. Loot boxes are virtual items in video games, typically purchased with in-game currency or real money. When you open one, you get a random assortment of rewards—this could be anything from new skins, weapons, or characters to absolutely nothing of value.

Here’s the catch, though: you don’t know what’s inside until you crack it open. It’s like buying a pack of trading cards when you’re hoping to pull that shiny Charizard but end up with a bunch of duplicates instead. Sometimes, you strike gold. Other times? Well, let’s just say it’s a big old disappointment.

Why Are Loot Boxes So Popular with Game Developers?

It's no secret—game developers are a business, and loot boxes bring in a ton of cash. Back in the day, you’d buy a game, maybe shell out for an expansion pack, and that was that. Today? Monetization has taken center stage, and loot boxes are one of the biggest moneymakers around.

Take EA’s “FIFA” franchise, for example. A significant portion of their revenue comes from FIFA Ultimate Team (aka FUT), where players can buy card packs (loot boxes) in hopes of building the ultimate squad. And let’s not forget games like “Overwatch,” which popularized the concept of loot boxes for cosmetic items. It’s a brilliant strategy from a business perspective—it keeps players engaged while tempting them to spend more.

But here’s the rub: while some players have no issue spending a few bucks on loot boxes here and there, others find themselves sliding down a slippery slope, spending hundreds (or even thousands) of dollars chasing rare items. Sound familiar? Yeah, that’s where the gambling comparison comes in.

Gambling or Just a Game of Chance?

This is where things start to get messy. At their core, loot boxes operate on random chance. You’re paying for the opportunity to get something good, but it’s never guaranteed. For some, that unpredictability is part of the fun. For others, it’s eerily similar to the rush you get from slot machines in a casino.

Critics argue that loot boxes exploit the same psychological mechanisms as gambling. You know, the whole “variable rewards” thing. Why do people keep pulling the lever on a slot machine? Because the next one might be the jackpot. Loot boxes work the same way—players keep buying them because the next one might have the item they’re after. And let’s not forget the dopamine hit that comes with even the smallest wins.

Supporters, on the other hand, say that loot boxes aren’t gambling because you’re always getting something in return. Even if you don’t get the rare item you want, you still walk away with something—whether it’s in-game currency, a common skin, or some other minor reward. But is that “something” really enough to differentiate loot boxes from traditional forms of gambling? That’s the billion-dollar question.

The Legal Landscape: What Are Governments Saying?

Around the world, lawmakers are struggling to figure out how to classify and regulate loot boxes. Are they gambling? Are they just harmless microtransactions? Different countries have taken wildly different approaches, and the legal status of loot boxes often comes down to local gambling laws.

The Netherlands and Belgium: The Harshest Critics

When it comes to loot boxes, Belgium and the Netherlands don’t mess around. Both countries have outright banned the sale of loot boxes in most games, deeming them a form of gambling. In 2018, Belgium’s Gaming Commission ruled that loot boxes violate the country’s gambling laws because they involve paying real money for a chance-based outcome.

Game developers weren’t thrilled, to say the least. Some, like EA, initially pushed back but eventually removed loot boxes from their games in these regions. Others, like Blizzard, simply pulled their games from the market altogether. Harsh? Maybe. But it’s a clear sign that these countries are taking the gambling debate very seriously.

The United States: A Mixed Bag

In the US, the loot box debate is still raging. Some lawmakers have called for stricter regulations, particularly when it comes to protecting kids from the potential harms of loot boxes. The argument here is pretty straightforward—if loot boxes are a form of gambling, they shouldn’t be so easily accessible to minors.

In 2019, Senator Josh Hawley introduced the Protecting Children from Abusive Games Act, a bill aimed at banning loot boxes and pay-to-win mechanics in games targeted at kids. While the bill didn’t gain much traction, it sparked a broader discussion about how loot boxes should be regulated.

The UK: A Work in Progress

The UK is another country that’s still figuring out how to handle loot boxes. In 2021, the government launched a public inquiry into the impacts of loot boxes, particularly on young players. The Gambling Commission has stated that loot boxes don’t currently meet the legal definition of gambling, but that could change in the future.

Are Loot Boxes Harmful?

A big part of the loot box debate revolves around their potential harm, especially for vulnerable players like kids or those prone to addictive behaviors. Several studies have linked loot boxes to problem gambling, with some even suggesting that players who spend heavily on loot boxes are more likely to develop gambling issues.

Then there’s the issue of transparency—or lack thereof. Many games don’t disclose the odds of getting specific items from a loot box, leaving players in the dark about their chances. It’s like wandering into a casino and playing a game without knowing the rules. Not exactly comforting, right?

On the flip side, some argue that loot boxes are just another form of entertainment. People spend money on all kinds of hobbies and pastimes, so why should gaming be any different? If someone wants to drop $50 on loot boxes for a chance to get a cool skin, who are we to say they shouldn’t?

What’s the Future of Loot Boxes?

So, where do we go from here? The truth is, loot boxes aren’t going anywhere anytime soon. They’re too lucrative for game developers to give up entirely. However, we’re already seeing some changes in how they’re implemented.

For example, some games now disclose the odds of getting specific items, a practice largely inspired by China’s strict laws on loot boxes. Others, like “Apex Legends,” have introduced crafting systems or guaranteed drop rates to make loot boxes feel less random.

At the same time, the push for regulation is only growing stronger. Whether or not loot boxes will eventually be classified as gambling remains to be seen, but one thing’s for sure: the legal battles over them are far from over.

Wrapping It All Up

Loot boxes sit right at the intersection of fun and frustration. For some gamers, they’re a harmless way to spice up the gaming experience. For others, they’re a gateway to compulsive spending and addiction. And for lawmakers? They’re a legal headache that’s not going away anytime soon.

As the battle over loot boxes rages on, one thing is clear: there’s no one-size-fits-all answer to this debate. Whether you see them as gambling or just entertainment probably depends on your own experiences—and maybe a little bit on luck. After all, isn’t life itself a bit like a loot box?