The Federal Trade Commission (FTC) has announced that Genshin Impact’s publisher, Cognosphere, will pay a $20 million fine and halt sales of loot boxes to minors without parental consent.

The FTC stated, “Genshin Impact tricked children, teens, and other players into spending hundreds of dollars on prizes they stood little chance of winning.”

Although Cognosphere has agreed to the fine, it claims that “many of the FTC’s allegations are inaccurate.”

The settlement includes significant changes to the game, such as:

• Children under 16 can no longer buy loot boxes without parental approval.
• All loot boxes will also be available for direct purchase with real money.
• There will be accurate disclosures regarding loot box odds and exchange rates.
• Personal data from players under 13 will be deleted unless parental permission is granted.
• Full compliance with COPPA regulations will be ensured.

Cognosphere emphasized that while they disagree with some allegations, they are committed to their player community and responsible game operations. Expect updates regarding new parental consent protections and clearer disclosures for in-game purchases in the coming months.