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

Cognosphere, the US publisher behind the popular game Genshin Impact, has accepted charges brought by the U.S. Federal Trade Commission (FTC). The company has agreed to pay a hefty fine of $20 million and will implement new measures to prevent minors under the age of 16 from making in-game purchases without parental consent. This move comes after Cognosphere pleaded guilty to FTC allegations, which included violating the Children's Privacy Act and deceiving players about the real value and probability of obtaining rare in-game items. These deceptive practices led many young players to spend significant amounts of money, often hundreds of dollars, 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 children and teenagers, about the value of in-game transactions will face repercussions. This statement underscores the FTC's commitment to protecting consumers from manipulative marketing tactics within the gaming industry.

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