EU probes gaming firms as concerns mount over virtual currency practices

EU probes gaming firms as concerns mount over virtual currency practices
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EU consumer protection authorities have launched coordinated action involving nine video games companies over the way in-game virtual currencies are used and sold.

The investigations involve companies linked to titles including "Candy Crush Saga," "Minecraft," "Clash of Clans" and "Valorant," according to the Consumer Protection Cooperation Network, which is made up of national authorities that enforce EU consumer law and is co-ordinated by the European Commission, the Commission announced on Wednesday.

The network said it is following up on its “Key Principles on in-game virtual currencies” — guidelines intended to make pricing and purchasing clearer when games use virtual coins or points to buy digital items.

Authorities pointed out that they want games to show the real-world price of in-game items and currencies, and to avoid systems — such as using multiple currencies or exchange rates — that can make the true cost hard to understand.

The CPC Network also said gamers should not be pushed into buying more virtual currency than they need to progress, and that players must get clear, easy-to-understand information before purchasing virtual currency or in-game items.

Right to withdraw and protections for children

Gamers should be told about their right to withdraw from contracts within 14 days, including for unused virtual currency, the network said, adding that terms and conditions should be fair and understandable.

Companies should also include safeguards for vulnerable users, including children.

The games listed by the network for further assessment include "Hunt: Showdown 1896," "Forge of Empires," "Candy Crush Saga," "Minecraft," "Mech Arena," "Gardenscapes," "Valorant," "Clash of Clans" and "For Honor."

The companies named in the investigations are Crytek GmbH, InnoGames GmbH, King.com Operations (Malta) Limited, Mojang AB, Plarium Europe S.à.r.l., PLR Worldwide Sales Limited, Riot Games Limited, Supercell Oy and Ubisoft EMEA SAS.

Separately, the CPC Network said it is also conducting action with Activision Blizzard UK Limited relating to "Diablo Immortal" and "Call of Duty Mobile," examining issues including how virtual currencies are sold, how gamers’ personal data is collected, parental control default settings, direct marketing to children, and the blocking of gaming accounts.

“Roughly half of Europeans play video games,” Commissioner Michael McGrath said, adding that the industry “must ensure that its games do not expose players — especially children — to harmful or unfair practices.”


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