Genshin Impact Publisher Fined $20 Million Over Loot Box Practices and Privacy Violations

The FTC settlement requires HoYoverse to restrict loot box sales to minors and comply with U.S. children's privacy laws.

The U.S. Federal Trade Commission fined Genshin Impact's publisher, HoYoverse, $20 million for deceptive loot box practices and violating children's privacy laws.
HoYoverse is now prohibited from allowing players under 16 to purchase loot boxes without parental consent and must delete data collected from children under 13 without parental approval.
The FTC accused the company of misleading players about the odds of winning rare prizes and using a complex virtual currency system to obscure real costs.
The settlement requires HoYoverse to disclose accurate loot box odds, provide a direct purchase option with real money, and comply with COPPA regulations.
The fine and restrictions apply only in the U.S., while Genshin Impact remains a major global revenue generator, earning billions from its gacha-based monetization model.