"Nexon's MapleStory" fined 11.6 billion Korean won for altering gacha rates, lawmakers urge Taiwan to punish similarly
In January 2024, the Korea Fair Trade Commission fined NEXON, a popular game company, approximately 11.6 billion Korean won (about 275 million New Taiwan dollars) for allegedly manipulating the probabilities of loot boxes in games such as "MapleStory" and "Bubble Fighter," with some items having a probability as low as zero. This action not only caused a stir in the gaming industry but also prompted legislators and regulatory bodies in Taiwan to reconsider if local penalties are severe enough. Source
Table of Contents
Comparison of Cross-Border Fines Sparks Discussion: Taiwan Imposes Only Two Million Fine
The high fines in South Korea have become the focus of discussion in the Taiwan Legislative Yuan's Economic Committee. In Taiwan, similar violations receive significantly lighter fines. In 2023, the Taiwanese game distributor Game Orange was fined 2 million New Taiwan Dollars for manipulating the gemstone probabilities in "MapleStory," sparking dissatisfaction and criticism from legislators who believe that such punishment fails to have a deterrent effect.
Fair Trade Commission Imposes Fines on Game Operators Again for False Probability Claims
Legislator Lai Jui-lung Calls for Harsher Penalties, Increasing the Limit to Three Hundred Million New Taiwan Dollars
Faced with the Fair Trade Commission's business report, legislators expressed dissatisfaction with the current light penalties imposed on game operators and proposed increasing fines. Legislator Lai Jui-lung even suggested amending the law to raise the fine limit to 300 million New Taiwan Dollars to protect consumer rights.
Fair Trade Commission Promises Heavier Penalties in the Future
In response to legislators' inquiries and suggestions, Fair Trade Commission Chairperson Lee Mei stated that the amount of fines would be determined based on the specific circumstances of each case. He promised that if an operator's false behavior is proven, the Commission would consider adopting stricter punitive measures.
Legislator Hong Meng-kai: Gaming Industry Offers Great Opportunities, but Punishment Mechanism Is Ineffective
Legislator Hong Meng-kai emphasized that the public and players expect game products to develop towards greater fairness and transparency, leading to the introduction of the "Gacha Law". He mentioned that while game operators should pursue profits, they should also adhere to the principle of fairness to promote the healthy development of the industry.
Fair Trade Commission: Fine Amounts Depend on Game Operators' Attitude in Negotiations
Lee Mei added that Taiwan currently has the authority to impose fines of up to 25 million New Taiwan Dollars, with the amount of penalties depending not only on the severity of the case but also on the operator's handling attitude. He revealed that a recent case of lenient punishment for a certain operator was because the operator was able to quickly reach an agreement with the players.
With the joint efforts of legislators and the Fair Trade Commission, Taiwan is expected to make substantial progress in regulating the gaming industry, ensuring player rights are protected and encouraging game operators to conduct more just and transparent business practices.
Game Transparency is the Foundation of Chain Gaming, Taiwan Relies Only on Sampling Verification
Fair Trade Commission Chairperson Lee Mei stated that although there is an existing regulatory framework, verifying probabilities is indeed challenging; responding to a recent incident where a professor from National Taiwan University verified probabilities by having players upload lottery videos.
However, such sampling investigations require a large number of samples to reduce the margin of error, which is not only time-consuming but also inconvenient for players. The honesty of game developers may not be easily verified beforehand.
Blockchain gaming emphasizes "transparency," where items and characters issued in the game can be verified in real-time on the chain; the lottery function can also be authenticated through its random number code. Although there are not many playable blockchain games currently, the technology inherently holds promise for breakthroughs in fairness and economics compared to traditional gaming industries.
Related
- Coinbase submits FOIA request again to the FED and FDIC, seeking clarification on "bank crypto deposit limits"
- The EU establishes "Trusted Investor Network," investing $3.6 billion to support startups and promote AI development.
- Latest on Google Antitrust Case: U.S. Department of Justice demands multiple anti-monopoly measures, including sharing AI training data.