In 2018, Belgium became the first country to classify loot boxes as a form of gambling. This controversial ruling was delivered by the Belgian Gaming Commission, which concluded loot boxes violated Belgian gambling legislation. This prompted game developers to change a few things, such as removing the ability to purchase random-chance loot boxes and shifting to free-to-play models. Some studios geo-blocked certain features, while some removed their games entirely from the Belgian market. Other countries have since implemented similar laws, while others continue to allow loot boxes.
What Belgium’s 2018 Loot Box Ruling Actually Said
The Belgian Gaming Commission’s 2018 decision to ban loot boxes was based on its investigations into games like FIFA 18, CS:GO, and Overwatch. The Gaming Commission argued that purchasing loot boxes was a game of chance. It put forth the theory that paid loot boxes worked the same as spinning a slot reel or placing a bet. Money goes in, and a random result comes out. Players cannot control what they receive.
The Gaming Commission determined that loot boxes satisfied four key legal elements of gambling. Therefore, it applied the very same legal framework that applies to the online casino Starcasino and all other regulated gambling products in Belgium. In short, selling paid loot boxes in Belgium requires a Belgian gambling license. This decision became the foundation for all that ensued in Belgium and elsewhere. It put pressure on many of the industry’s biggest game studios to reconsider how they would present their games, especially in Belgium.
What Changed for FIFA, Overwatch, and Counter-Strike?
The 2018 loot box ruling forced companies like Blizzard, Valve, and Electronic Arts to change the way they delivered their products to Belgian players. For instance, Electronic Arts disabled the FIFA Points feature, and Blizzard stopped allowing players to purchase loot boxes using real money or in-game currency. Meanwhile, Valve completely removed the ability to open weapons containers.
Perhaps one of the most surprising aspects of the 2018 ruling is that it actually has teeth. It comes with serious consequences. Companies that don’t comply face up to €800,000 in fines. Furthermore, company executives and others individuals within the offending company can face up to five years in prison. These penalties can be doubled if the case involves a minor. Since these penalties directly target company leadership, many game studios simply block paid features to avoid any chance of falling afoul of the law.
When Does a Loot Box Become Gambling?
Most games allow players to earn upgrades and unique items through gameplay. For example, a player may earn a special weapon or health buff upon reaching a certain level. In some cases, those items remain in the player’s inventory. However, some games allow players to buy and sell these items using real money. From a legal standpoint, there’s a huge difference between the two models.
The most telling factor is whether the item in question is locked to a single account or if it can be transferred to another account. This is because an item that’s locked to one account offers no monetary value to the player. It can’t be sold or transferred. On the other end of the spectrum, an in-game collectible that can be sold for cash becomes a real-world asset. This is the key distinction.
Why Netherlands Tells a Messier Story
Belgium’s loot box laws remain firm and have stood up in court. The same can’t be said for the Netherlands. Yes, as in Belgium, the Dutch Kansspelautoriteit declared that some loot boxes violated Dutch gambling laws. It implemented many of the same measures. However, in 2022, the Dutch Council of State overturned a €10 million fine that the Ksa had levied against Electronic Arts for its FIFA Ultimate Team packs.
The court essentially said that FIFA games are games of skill, meaning the card packs were directly tied to a skill-based game. It also noted that black market trading mostly related to full accounts instead of individual cards. In other words, the FIFA Ultimate Team packs didn’t meet the full legal definition of gambling in the Dutch court’s eyes. This illustrates how the question of loot boxes hasn’t been definitively settled. It’s still a hotly contested issue.
Where Loot Box Regulation Goes From Here
One thing that points to tighter regulation of loot boxes is the EU’s impending Digital Fairness Act. The European Commission is expected to publish its formal proposal by the end of 2026, though final adoption typically follows a year or more of negotiation between the Commission, Parliament, and Council, putting realistic passage into 2027 or later. The Act is designed to establish more consistent consumer-protection standards across the EU, though whether individual nations will be free to add stricter rules on top is still being debated as the legislative process moves forward. This approach aligns with most other major jurisdictions that have also leaned into tighter regulations over the past few years.
The future of loot boxes appears to be trending toward stricter regulation and far fewer loopholes. This will benefit players and game developers alike because it creates a safer, more transparent, and predictable gaming environment.
Are paid loot boxes a form of gambling? Should they be more strictly regulated? Tell us your thoughts?