ASA Orders Suppliers to Disclose Inclusion of Loot Boxes in App Stores

The UK’s Advertising Standards Authority (ASA) has ruled app store listings for games which contain loot boxes must be clearly stated in a prominent location, regardless of the location of the advertiser, with the ASA set to monitor the situation from May 26.

What are loot boxes?

Loot boxes are features in video games which can be accessed through gameplay, or can be purchased with in-game items, virtual currencies, or directly with real-world money.

The randomised nature of loot boxes often cause debate about whether they should class as a gambling product, although they are not regulated as a form of gambling in Great Britain by the Gambling Commission.

According to the ASA’s ruling, for loot boxes to be in remit, they must be available for purchase with real money or virtual currency that can only be obtained by purchasing.

The ASA’s stance is that the purpose of the virtual currency is for players to exchange it for in-game items, so the decision to spend this is effectively a decision to spend real money. When these games are advertised, they are subject to the ASA’s Code of Advertising Practice (CAP).

The CAP initially issued guidance on advertising in-game purchases in 2021, and this was reviewed in 2025. The guidance stipulates the presence of loot boxes within a game is material information to a consumer’s decision to purchase or download it.

Location is immaterial

The ASA’s most recent ruling means that loot boxes being offered within games must be made explicitly clear to players in the UK, even if the supplier is not based in the UK.

The ASA referenced two rulings that were made against mobile games suppliers Kabam Games and Nexters Global last November, who are based in Canada and Cyprus respectively.

In that instance, Kabam Games, Nexters Global and Hutch Games were reprimanded by the ASA for failing to include information upfront about loot boxes that could be purchased within their games; these included the suppliers’ games Marvel Contest of Champions, Hero Wars: Alliance RPG, and F1 Clash respectively.

Suppliers will be required to include a prominent disclosure statement, such as “contains loot boxes” or “includes random-item purchases.” The disclosure must be placed where it can be seen quickly, and suppliers cannot rely on consumers scrolling through lengthy descriptions or expanding sections to find the information.

Suppliers will also not be able to rely solely on generic labels such as “offers in-app purchases”, as these are unlikely to make clear that purchases may include loot boxes. This will apply to the Apple App Store and the Google Play Store.

ASA calls for transparency

Commenting on its most recent ruling, the ASA said:

“Consumers should not be expected to expand an “About this Game” section (or equivalent), or to scroll through several paragraphs of a description, in order to discover that a game contains loot boxes. A disclosure statement positioned prominently at the top of this section is likely to provide sufficient clarity.

“References to products within the itemised list of in-game purchases required by some app stores have also been ruled not, in and of themselves, to constitute sufficient disclosure.”

As is the case when the ASA bans gambling operators from showing particular ads that it has ruled to be in breach of its code, the ASA only has the power to instruct operators or suppliers to not show their advertisements again in their current form.

The ASA does not have the direct authority to fine companies, as it is a self-regulatory body.