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

Cognosphere, the U.S. publisher behind the popular game Genshin Impact, has accepted charges brought forth by the U.S. Federal Trade Commission (FTC). The company has agreed to a $20 million settlement and will now require parental permission for in-game purchases by minors under the age of 16. Additionally, Cognosphere pleaded guilty to the FTC's allegations, which included deceiving players about the true value and rarity of in-game items. This deceptive practice particularly affected children and teenagers, who were misled into spending substantial amounts of money with little chance of obtaining the desired items.

Samuel Levin, Director of the FTC's Bureau of Consumer Protection, emphasized that companies employing dark patterns to mislead players, especially young ones, about the value of in-game transactions would face repercussions. This settlement underscores the FTC's commitment to protecting consumers from such manipulative practices.

Meanwhile, HoYoverse's other game, Zenless Zone Zero, continues to dominate the mobile gaming market. The release of version 1.4, titled "And the Starfall came," saw the game achieve a remarkable daily player spending of $8.6 million on mobile devices alone. This surpassed the previous peak set during the game's launch in July 2024. According to AppMagic, Zenless Zone Zero has now amassed over $265 million in total revenue from mobile platforms. The latest update introduced 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 spending.