Connect with us

News

Blockchain could help legalise the loot boxes

Published

on

Blockchain could help legalise the loot boxesReading Time: 3 minutes

Loot boxes, which have been in existence for about a decade, have run into legal problems in countries such as the Netherlands and Belgium. The redeemable virtual rewards system, which involves accessing maps, weapons and a whole range of upgrades to your in-game functionality, had already become so popular that some developers have wholly shifted their monetisation models away from paid-for-games to free-to-play games because of the revenue they provide.

But the legal issues are threatening the core business model of loot boxes. That is why developers are thinking of reverting to a business model based on advertising or selling games rather than giving them away for free.

However, there can be another option. Rather than making such a drastic U-turn, they could find salvation in the shape of the blockchain. By implementing a new tokenised economic model that this technology provides, game developers could not only continue to make money without having to rely on advertising but also implement a system that would reward gamers for the time they spend playing games.

The problem with loot boxes

Loot boxes first emerged in Asia, but have become more well-known after social game developers like Zynga successfully implemented them. Since then, loot boxes have slowly begun to embed themselves into the fabric of most games, even where their incorporation seems unnecessary. Then loot boxes’ presence in triple-A console games like Overwatch, Battlefront 2, and Shadow of War ramped up their presence in terms of public awareness.

When an entry fee or cost is present in a gaming monetisation scheme, along with luck or chance, and the potential for some type of monetary gain, the scheme is almost definitely going to be considered gambling as a result of those three key elements. Since loot boxes have both a cost and a “random element,” they have landed game makers in hot water with regulators. The cash purchase of these boxes, for regulators in the Netherlands and Belgium, resembles gambling – and is therefore an illegal offering.

While companies like EA have said they will persist with loot boxes, confident that other regulators do not see the situation in the same way as the Belgian or the Dutch authorities, there is no guarantee that other authorities would not act to quash them.

Blockchain as a solution

Rather than putting these key revenue flows at risk though, one potential path that publishers could pursue is to leverage a new form of blockchain monetisation. For example, my company, Loot, has a new mining process that leverages player skill to generate new units of cryptocurrency instead of GPU or CPU mining.

All blockchain networks have some sort of incentive mechanism built into them, which helps the network to function properly. In the case of Bitcoin, this is the proof of work algorithm that keeps the network secure and trustworthy by making it hard to add new transaction data to the blockchain. For game networks, the algorithm could be based not on computational power, but gameplay and the “work” done by players. This would eliminate the initial entry fee, which would prevent regulators from labelling it gambling.

Even though you can already earn virtual currencies within games, cryptocurrencies that are mined and awarded as a result of gameplay are a unique new solution because traditional virtual currencies in games have no value outside of the game, while cryptocurrencies hold their value everywhere. This is the key, because if the coins players spend in the game to buy loot boxes and other items have real value outside of the game, the developers can accept their own in-game coins as real payment for their items. This solves the problem of traditional entry fees and ultimately eliminates the consumer risk that is arguably the most important of the three elements that define what is gambling and what is not.

From the game publisher’s perspective, this would mean they could continue to offer loot boxes but just have them paid for with cryptocurrency that gamers have mined and earned from their skill in play, instead of with real money.

For example, in Overwatch players are currently unable to spend in-game credits and have to spend real money or wait for a level up to grab a loot box. If the in-game credits were a cryptocurrency generated on a blockchain as a result of player skill, Blizzard could accept the credits as payment (at no cost to the user) and exchange the credits for dollars like any other cryptocurrency. This means the players do not have to spend any of their “real” money while the developer has the same revenue they did before.

As publishers and developers consider the effect that loot box regulation might have on profits, they should consider blockchain technology as a potential solution. Publishers should understand that this innovative new technology could safeguard existing revenue streams and also incentivise gamers to play more.

 

 

Tobias Batton is CEO of Signal Zero. The company behind Loot, the world’s first blockchain protocol that allows gamers to earn and mine tradable tokens as a result of their skill and without entry fees.


Source: European Gaming Media Latest News

Receive a weekly news digest of the most important news

Signup now and receive an email once a week which includes the main titles of the industry from Europe, Americas, Asia, Africa and Russia.

I agree to have my personal information transfered to MailChimp ( more information )

I will never give away, trade or sell your email address. You can unsubscribe at any time.

News

Bethard.com is granted license to operate in Denmark

Published

on

Reading Time: 1 minute

“2018 is a truly exciting year for us” – Erik Skarp, CEO

”We are very satisfied to get a green light in Denmark and we look forward to start growing our presence in the Danish market”, said Erik Skarp, co-founder and CEO of Bethard Group. ”2018 is a truly exciting year for us, one in which we are determined to lay a solid foundation for establishing Bethard as Europe’s leading sports betting brand. And we have had a great start. First with the announcement of Zlatan Ibrahimovic’ joining our team, followed by a very successful start in the UK market and a great World Cup. Now the time has come to conquer Denmark”.

Bethard.com is currently licensed in Malta, Denmark and the UK. Applications for a gambling license has been filed in Sweden. Work on a license application for a state license in Schleswig-Holstein in Germany has been initiated. The company is actively seeking licenses in several other markets and expects to have a licensed presence in most key European markets already by 2020.

Bethard will start welcoming Danish players to the site within weeks.

For more information, please contact:


Erik Skarp, co-founder and CEO Bethard Group Ltd
E-mail: erik@bethardgroup.com

Jan Lindow, CMO Bethard Group Ltd
E-mail: media@bethardgroup.com


Source: European Gaming Media Latest News

Receive a weekly news digest of the most important news

Signup now and receive an email once a week which includes the main titles of the industry from Europe, Americas, Asia, Africa and Russia.

I agree to have my personal information transfered to MailChimp ( more information )

I will never give away, trade or sell your email address. You can unsubscribe at any time.

Continue Reading

News

1xBet announces sponsorship with the Tottenham Hotspur

Published

on

Reading Time: 1 minute

Tottenham has announced a new long-term agreement with 1XBET as its Official Betting Partner for Africa. 1XBET is one of the most visited betting and gaming websites in the world, with over 1,000 available markets.

As part of the partnership, 1XBET will have an in-stadium advertising presence at the Club’s home matches on the LED perimeter system, as well as a presence on the new website and digital channels across the continent.

The Club has 100 million followers across Africa and fully mobilised official Supporters’ Clubs in Ghana, Nigeria and South Africa. To celebrate the launch of the partnership, 1XBET is offering the Club’s fans the opportunity to win a signed shirt if they can successfully predict which Tottenham Hotspur player scores our first goal at home this season.

This is 1XBET’s first partnership in English football following high profile existing relationships with the CAF African Nations Cup and the Nigerian Football Association.

Fran Jones, Head of Partnerships, Tottenham Hotspur, said: “We are delighted to welcome 1XBET to the Tottenham Hotspur partner family and look forward to working with them to engage with and grow our African fan base.”

Eugene Kiryukhin, 1XBET’s Director for Development of International Partners, added: “We are thrilled to sign with Tottenham Hotspur, they have impressed us with their vision for the future, their players, their new stadium and we are committed to helping each other grow in Africa. We look forward to working alongside and supporting them.”


Source: European Gaming Media Latest News

Receive a weekly news digest of the most important news

Signup now and receive an email once a week which includes the main titles of the industry from Europe, Americas, Asia, Africa and Russia.

I agree to have my personal information transfered to MailChimp ( more information )

I will never give away, trade or sell your email address. You can unsubscribe at any time.

Continue Reading

News

Pennsylvania Gaming Control Board Reports Table Games Revenue for July

Published

on

Reading Time: 2 minutes

HARRISBURG, Pa.Aug. 16, 2018 – Figures released and posted today by the Pennsylvania Gaming Control Board on its web site, www.gamingcontrolboard.pa.gov, display tables games revenue for July 2018 at $73,820,267 a decrease of 5.2% over July of last year when revenue was $77,855,644.

The Board also reported that when combining July’s table games revenue with the earlier reported July slot machine revenue, total gaming revenue decreased by 3.3% compared to July of last year.

The Board is also reporting total tax revenue from table games play during July in the amount of $11,888,675* with an average of 1,272 tables in daily operation statewide.

Gross table games revenue at each of the casinos for July 2018 and July 2017 along with a similar comparison for total casino gaming revenue are displayed in the following tables:

Casino

July 2018 Table
Games
Revenue

July 2017 Table
Games
Revenue

% Change

Sands Casino Resort Bethlehem

$21,136,815

$20,616,680

2.52%

Parx Casino

$15,308,027

$15,470,427

-1.05%

SugarHouse Casino

$10,040,595

$9,708,046

3.43%

Rivers Casino

$5,657,336

$5,626,840

0.54%

Harrah’s Philadelphia Casino and Racetrack

$4,226,527

$6,014,716

-29.73%

Mount Airy Casino Resort

$3,951,802

$5,099,335

-22.50%

The Meadows Casino

$3,201,602

$3,762,922

-14.92%

Mohegan Sun Pocono

$2,627,085

$3,964,159

-33.73%

Valley Forge Casino Resort

$3,008,576

$2,629,191

14.43%

Hollywood Casino at Penn National Race Course

$2,954,506

$3,155,992

-6.38%

Presque Isle Downs and Casino

$1,330,964

$1,320,322

0.81%

Lady Luck Casino Nemacolin

$376,433

$487,013

-22.71%

Statewide Total

$73,820,267

$77,855,644

-5.18%

 

Casino

July 2018
Total Gaming
Revenue

July 2017
Total Gaming
Revenue

% Change

Parx Casino

$50,019,386

$49,917,524

0.20%

Sands Casino Resort Bethlehem

$46,903,725

$47,060,002

-0.33%

Rivers Casino

$30,061,001

$29,937,226

0.41%

SugarHouse Casino

$24,976,685

$24,610,094

1.49%

The Meadows Casino

$22,090,033

$23,238,992

-4.94%

Harrah’s Philadelphia Casino and Racetrack

$20,834,168

$22,936,616

-9.17%

Hollywood Casino at Penn National Race Course

$20,251,246

$21,774,599

-7.00%

Mohegan Sun Pocono

$19,586,941

$22,568,354

-13.21%

Mount Airy Casino Resort

$17,115,022

$19,813,776

-13.62%

Presque Isle Downs and Casino

$11,958,484

$11,906,194

0.44%

Valley Forge Casino Resort

$10,625,296

$9,889,706

7.44%

Lady Luck Casino Nemacolin

$3,042,265

$3,327,527

-8.57%

Statewide Total

$277,464,252

$286,980,610

-3.32%

*Tax revenue figures reflect amounts generated prior to any adjustments by the PA Department of Revenue

About the Pennsylvania Gaming Control Board:

The Pennsylvania Gaming Control Board is tasked to oversee all aspects of the state’s casino industry, along with oversight of new gaming initiatives created through amendments to the Race Horse Development and Gaming Act recently approved by the signing of Act 42 of 2017.

The Commonwealth’s casino industry currently consists of 10 stand-alone and racetrack casinos in operation, along with the two smaller resort casinos.  These facilities collectively employ 17,000 people and annually generate approximately $1.4 billion in tax revenue from slot machine and table games play. The largest portion of that money is used for property tax reduction to all Pennsylvaniahomeowners.

Additional information about both the PGCB’s gaming regulatory efforts and Pennsylvania’s gaming industry can be found at gamingcontrolboard.pa.gov. You can also follow the agency on Twitter by choosing @PAGamingControl.

CONTACTS: Doug Harbach or Richard McGarvey
(717) 346-8321

 

SOURCE Pennsylvania Gaming Control Board


Source: European Gaming Media Latest News

Receive a weekly news digest of the most important news

Signup now and receive an email once a week which includes the main titles of the industry from Europe, Americas, Asia, Africa and Russia.

I agree to have my personal information transfered to MailChimp ( more information )

I will never give away, trade or sell your email address. You can unsubscribe at any time.

Continue Reading

Trending

%d bloggers like this: