Genshin Impact Authors Banned from Selling Lootboxes to Kids, Fined $20M

Cognosphere, the US publisher behind the popular game Genshin Impact, has accepted charges from the U.S. Federal Trade Commission (FTC). As part of the settlement, Cognosphere has agreed to pay $20 million in damages and will prohibit minors under the age of 16 from making in-game purchases without parental consent. The company also entered a guilty plea to the FTC charges, which accused them of not only deceiving players about the true value and rarity of in-game items but also violating the Children's Privacy Act. These deceptive practices led children, teenagers, and other players to spend substantial amounts of money on items with a low chance of acquisition.

Samuel Levin, Director of the FTC's Bureau of Consumer Protection, emphasized that companies employing dark patterns to mislead players, especially vulnerable groups like children and teenagers, about the real value of in-game transactions will face repercussions.

Meanwhile, in the mobile gaming market, another title from HoYoverse, Zenless Zone Zero, continues to perform exceptionally well. The release of version 1.4, "And the Starfall came," saw the game achieve a record-breaking $8.6 million in daily player spending on mobile devices alone. This peak surpassed the previous high set in July 2024. According to AppMagic, Zenless Zone Zero has amassed over $265 million in total revenue from mobile platforms. The success of the 1.4 update can be attributed to the introduction of new agents such as Hoshimi Miyabi and Asaba Harumasa, along with new locations, modes, and enhanced game mechanics, all of which have spurred increased player expenditure.