It’s a trend that makes gaming companies 15 billion dollars a year, but is it worth the cost of our nation’s future?

A gamer opens a loot box in Counter-Strike 2. Photo: Piers van der Heide
Loot boxes are a mechanic used by video games like Roblox, FIFA and Counter-Strike 2 that allow players to randomly unlock virtual cosmetics, such as clothes or weapon skins for less than $5.
In a game like Counter-Strike 2, gamers can buy a virtual ‘key’ to open a ‘case’ which can contain a random weapon skin that can be worth anywhere from less than one cent to almost $1.5 million. It is this chance-based system that has had experts liken the in-gam mechanic to gambling, such as slot machines at a casino.
Games with this function aren’t just on consoles or computers but also smart devices like mobile phones, which Liam Huynh Ya plays games on.
“Only recently I’ve deleted a few gacha games from my phone. I’ve only got Magic the Gathering, and I’m still stuck. I’m still playing the game just to open packs, and it sucks,” Huynh Ya says.
‘Gacha’ games operate in a similar function to loot boxes, where players can purchase chances to obtain different characters or cards to have better abilities in the game.
Genshin Impact is an incredibly popular example of ‘gacha’ games, with the title having an estimated 16 million monthly players according to ActivePlayer, a gaming statistics website.
“The whole thing is just grinding for that one currency so you can try and get that one character you want and that’s what keeps you in,” Huynh Ya says.
According to a study by Central Queensland University, 92.7 per cent of teenagers aged 12-17 have reported playing a video game with loot boxes in the past year, with 68.8% of them opening a loot box in that time period.

Huynh Ya says playing games like this as a child “incentivises your brain” to get a thrill from the possibility of winning something by chance.
“My friend was so used to playing ‘gacha’ games that when we went to the casino, he had already forgotten that it was really $100 in his hand.”
The Australian government has responded to complaints about the loot-box system and has forced all video games sold in Australia with loot boxes to have a mature rating displayed on the box and in video game stores.
But, as the purchase of physical video games declines – with Sony’s Q4 2024 earnings report revealing that 76% of PlayStation video game sales are digital – the question turns to whether this is enough to stop digital sales too.
Huynh Ya sees the value in this change but holds similar concerns.
“I believe that this would detract kids from gambling, however content online may still promote children to get into the game and bypass this rating at their own risk,” he says.
While the issue of loot boxes may continue to rise, with more and more gamers purchasing them every year, Huynh Ya is optimistic that if developers focus on making a fun, enjoyable game, everything will work out in the end.
“These games are focused on making money and nothing more, they should instead put more focus on what the game is itself and create a positive gameplay loop for their players,” he says.