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    From skins to stakes as loot boxes linked to underage gambling concerns

    news thumbnail image

    UK and Swedish authorities report a direct link between loot boxes and underage gambling concerns, as young gamers overspend on in-game purchases.

    Online gambling is a fun activity aimed at adult gaming enthusiasts who like the idea of playing games and winning cash.

    There are many reasons it’s restricted to those under a certain age, which includes it being highly addictive. This is why there is great concern regarding the increasing number of underage gamblers—particularly in the UK and Sweden.

    Link between underage gambling and loot boxes

    These concerns are getting even more serious as the latest data suggest there's a direct link between loot boxes and gambling. The report by Spelinspektionen, with over 62% of respondents under the legal age of 18, found that young adults tend to participate in gambling activities via video games.

    The findings suggest that a large number of 16 and 17-year-olds engage in a form of gambling with in-game purchases (e.g., loot boxes). They also revealed that even those as young as 12 had made purchases of loot boxes, though on a more positive note, they did not particularly engage in gambling activity for money.

    Another point of concern noted by the study is related to affordability. Over 57% stated that they had played for more than they could afford, especially when it came to skin gambling.

    Both problem areas could be directly translated to the reward systems and gamification efforts of online casinos in Sweden and all over the industry. Overall, it’s pretty concerning to see an increase in such numbers.

    The 2023 study from the Swedish Media Authority has shown that over half of people aged between 9 and 19 played video games at least once a year. This number has risen to 80% for boys and girls aged between 9–12.

    The reality is that more than half of modern video games come with a revenue model relying on in-game micro-transactions. The most extreme example of this is loot boxes, which players can purchase to get their hands on random items.

    Where gambling and video games collide

    The report talks about the big overlap between gambling and video games. According to the National Association for Gambling Addicts (NAGA) and Spelinspektionen, many young adults under the age of 25 have already sought problem gambling support within the last two years. Each of these players shows a clear link between video games and the lottery-style elements that may be present.

    The research further suggests a concerning connection between loot box spending and problem gambling behaviour. According to Spelinspektionen, the similarities between traditional gambling and loot boxes are too many, which increases the chances of young people developing gambling habits at a very young age.

    Many contributing factors need to be considered, including gambling advertising activity and social media.

    As such, we can expect to see stricter regulations regarding loot boxes and skin gambling. Other recommended changes include educational initiatives for the youth and more effort in promoting ways to play responsibly.

    Responsible Gambling & Play Safe

    Similar problems in the UK

    Research studies done in the UK by GambleAware also suggest such a link. This, in turn, has led to questions regarding the adequacy of the measures taken by the UKGC and those suggested in the Government’s Gambling White Paper.

    With loot boxes being used by plenty of underage players, there is a growing risk of problem gambling among the youth. In fact, the GambleAware report found that around 50% of loot box users were at risk to some level, as many are exhibiting behaviours much like those found in problem gamblers.

    In both Sweden and the UK, there is a call for stricter restrictions on loot boxes, including but not limited to banning loot boxes to those under 18.

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    Published: February 17, 2025

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    Deni avatar image

    Article by Deni

    CasinoWow Contributor

    Hi, I’m Deni and I am here to ensure you have all the information you need to make informed decisions about online casinos and games and, of course, have fun while doing it. I do so through in-depth research and a keen eye for detail resulting in comprehensive reviews and engaging articles. Let’s explore the iGaming world together!

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