The government of Singapore is becoming another country that’s less friendly to the monetization practice of lootboxes thanks to the formation of a new government body earlier this week, which is seeking to combat what’s being perceived as the “blurring of the line between gambling and gaming.”
The Gambling Regulatory Authority (GRA), which is taking over for the Casino Regulatory Authority established in 2008 to oversee Singapore’s casino resorts, has plans to introduce sweeping regulation of gambling services, from casinos to lotteries to lockboxes. In terms of lootbox regulation, one proposal is a $100 SGD prize cap on lootboxes that could be introduced as early as next year – a prize cap of roughly $70 USD.
The GRA’s formation, according to Singapore’s Second Minister for Home Affairs Josephine Teo, is intended to curtail the widening scope of access to online gambling, as well as the aforementioned blending of gambling and gaming and even the use of cryptocurrency. Formation of the body is largely being met with acclaim by both parents and experts in the country, with one counselor noting cases of people spending tens of thousands of dollars on lockboxes.