Money laundering concerns leads to loot box restrictions

avatar

Published by Daniel Hardman on November 4, 2019 in Industry News

featured image

Over the past few years governing bodies of several countries have started focusing more closely on any and all activities that resemble gambling.   
 

The idea for many countries is to strictly regulate anything gambling related in an effort to protect citizens against gambling problems.
 

The main concern for many is to find and eliminate any gambling activities that might affect children or teenagers.  

Loot Boxes have been deemed too similar to games of chances and have been banned in several areas.  

Just recently a popular game developer announced that they will be introducing stricter restrictions to Loot Boxes.  
 

Loot Box News 

The game developer, Valve, announced late October that they will be introducing restrictions to loot boxes due to money laundering concerns. According to the company any new keys bought during the game will no longer be tradeable in online communities, and will also not be marketable in such a way.  

This latest loot box news comes shortly after UK regulators criticized their use as gambling and urged for the government to implement stricter laws on loot boxes. At the time the government acknowledged concerns regarding the loot boxes but chose not to limit the purchasing of loot boxes. Now developers themselves are making forced changes to the loot boxes over fears that these boxes might be used for money laundering.  
 

Blocking possible money laundering fraud 

In the recent press release by Valve the company stated that as of now all keys bought for the purpose of unlocking loot boxes will remain linked to the account from which they were purchased. This means that you will no longer be able to trade these keys in communities such as Steam or sell them off for a profit.  

According to the developer all keys that were sold previously will still be subject to old rules and the new rules will only apply to future purchases.  

The main reason for the stricter rules on loot box keys are due to global fraud networks making use of keys to liquidate their assets. According to Valve most of the keys that are currently available to trade or sell are supplied by a fraudulent source. With this in mind Valve has implemented stricter rules and believes that blocking all types of selling and trading is the answer.  
 

Not the latest scandal 

It seems that Valve has had a few knocks when it comes to scandals and that this was just the latest scandal to hit the developer. Before this the company was connected with third-party betting sites that used game skins as a form of currency for gambling. Before this was put to a stop the sales generated $5 billion in bets, and Valve was believed to have received a share through Steam trades.  

And just a few months ago Valve made the news when their loot boxes were accused of being an encouragement for children to gamble. This was strongly contested by the developer as loot boxes are nothing more than extra rewards to amplify in-game fun.  

With the new restrictions in place there is hope that Valve can curb down the scandals and end of the year more positively.

player reviews

No players have reviewed this article.

Write a review
Write a review for

We respect your privacy. We are committed to responsible handling and protection of your personal information. By subscribing, you are agreeing to our Terms & Conditions and our Privacy Policy and you confirm that you are 18+. If you no longer want to receive our occasional offers and news, you may opt-out at any time. All our emails include an unsubscribe link.

Minimum 15 words required.

Submit review

Your reviews help other players find the best casino sites and games to play. Please be honest with your feedback and rating. All submitted reviews will be checked by CasinoTopsOnline quality control team. Submissions that do not follow our review guidelines will not be posted.

Latest News View all
The future of land-based Las Vegas Casinos July 1, 2020

The past few months have results in a drastic revenue loss for many US states where casino games are legal. For states such as Pennsylvania where online casino games are legal gambling industries has been saved from a total collapse. While brick and mortar casinos has been forced to shut their doors due to the pandemic, online casinos in the US are still accessible in states where online gambling is legal.

Read more
The future of gambling in the UK post lockdown July 1, 2020

As all others, the UK economy has experienced significant and long-lasting impacts from the coronavirus crisis. Every industry from the hospitality to the retail, education and entertainment has had to change and adapt in these trying times. The gambling industry like all others have felt the impact of the coronavirus which resulted in massive lockdown in March.

Read more
Most Popular
The future of land-based Las Vegas Casinos July 1, 2020

The past few months have results in a drastic revenue loss for many US states where casino games are legal. For states such as Pennsylvania where online casino games are legal gambling industries has been saved from a total collapse. While brick and mortar casinos has been forced to shut their doors due to the pandemic, online casinos in the US are still accessible in states where online gambling is legal.

Read more
The future of gambling in the UK post lockdown July 1, 2020

As all others, the UK economy has experienced significant and long-lasting impacts from the coronavirus crisis. Every industry from the hospitality to the retail, education and entertainment has had to change and adapt in these trying times. The gambling industry like all others have felt the impact of the coronavirus which resulted in massive lockdown in March.

Read more
Pragmatic Play’s Grand €/£2,000,000 Prize Pool! June 30, 2020

If you missed out on Pragmatic Play’s Drop & Wins promotion or simply loved it so much, you’ll be pleased to know that you can still be in the chance to win a share of the mega prize pool worth €/£2,000,000 in cash prizes!

Read more
US Casinos requesting the option of cashless payments June 25, 2020

The coronavirus has had a big impact on many industries over the past few months including the gambling industry. While the majority of it has been bad it has also resulted in the American casino industry asking for cashless payment transactions.  The industry has asked that gambling regulators make it easier to adopt cashless payment transactions on the casino floors. With one of the top reasons being a desire to help customers avoid handling money during the outbreak.

Read more
TOP 5 Tips for Responsible Gambling June 25, 2020

Online gambling has quickly become one of the hottest forms of entertainment enjoyed by the masses. As an online casino player, it is important to utilize a few responsible gambling tips to ensure you don’t develop a gambling problem.  In light of Safer Gambling Week, here are the top 5 tips for Responsible Gambling:.

Read more
Atlantic City legislation to bring relief to casinos during lockdown June 22, 2020

The novel coronavirus has resulted in a number of businesses being shut down across the world. Casinos are among the many that have had to close their doors in the US since the shutdown was first ordered. New Jersey’s Atlantic City Casinos have been closed since the evening of March 16 resulting in major financial distress and job losses.

Read more
TOP Online Casino Games With Massive Payouts June 12, 2020

Online casino games have become one of the best sources of entertainment for many across the globe. Not only does it provide high-quality fun but it could potentially award you big wins or frequent rewards on the side. The industry is booming and there are hundreds of different games to choose from to get your fill of entertainment and winning. Variety is great but it often makes it difficult to find the games that could award the biggest and best payouts.

Read more
US States Start Gradual Reopening of Land-Based Casinos June 12, 2020

The COVID-19 pandemic has caused many businesses to close their doors over the past few months. In an effort to prevent the spread, social distancing and isolation was required resulting in even casinos and sportsbooks closing. For casinos and sportsbooks in the US, things are looking up with many states granting authorization for reopening. Some states have even given the go ahead for a number of land-based casinos to reopen after closing their doors in March this year.

Read more