EU Digital Fairness Act targets loot boxes and gambling influencer ads
Published on November 12, 2026, the draft Regulation bans paid random rewards for minors, mandates probability disclosures and opt-out tools for all users, and scrutinises creators promoting betting products.
Key takeaways
- Published on November 12, 2026, the European Commission’s draft Digital Fairness Act aims to replace the 2005 Unfair Commercial Practices Directive with directly applicable EU-wide rules.
- Article 15 targets paid variable reward systems—including loot boxes, wheels of fortune and collectible card packs—which Recital 63 notes share speculative features with gambling.
- Traders must display available virtual items and winning probabilities upfront, provide an opt-out tool for all users and ban paid random rewards in services directed at or used by minors.
- Recital 55 flags social media influencers who mask commercial intent to promote harmful or unsuitable products, including betting, lotteries and other gambling services.
- The proposal requires approval from the European Parliament and Council of the European Union and would take effect 12 months after entering into force.
TL;DR: The European Commission has unveiled the draft Digital Fairness Act, introducing sweeping EU-wide rules that clamp down on paid loot boxes, pay-to-win mechanics for minors and influencer marketing for gambling services. Published on November 12, 2026, to overhaul the 2005 Unfair Commercial Practices Directive, the proposed Regulation explicitly links paid random reward systems to the speculative features of gambling. If approved by the European Parliament and the Council of the European Union, the legislation will require businesses to disclose item odds, offer user opt-out tools and adhere to stricter scrutiny over creator-led promotions.
Belgium.- The European Commission has unveiled new consumer-protection proposals targeting digital products and online marketing, including curbs on paid loot boxes, pay-to-win mechanics for minors, and influencer promotions for gambling services. Published on November 12, 2026, the draft Digital Fairness Act is designed to overhaul the 2005 Unfair Commercial Practices Directive. By introducing directly applicable rules across the European Union, the legislation aims to close regulatory gaps surrounding modern digital commercial practices.
A central pillar of the proposal in as far as it affects gaming is Article 15, which targets paid “variable reward systems.” The text defines these as virtual items providing random rewards or variable odds that are bought with real money or paid-for virtual currency. According to Recital 63, which provides the rationale for the measure, this category encompasses loot boxes, wheels of fortune, and collectible card packs.
“Variable reward systems that offer random rewards or variable odds, such as Loot boxes, wheels of fortune, or collectible card packs, are prone not only to cause unwanted spending by consumers but can also be harmful due to the fact that they share the speculative features of gambling”, the text states.
Under the proposed framework, businesses offering randomised paid rewards would face strict transparency mandates. Traders would have to clearly and prominently display both the range of virtual items on offer and the exact odds of winning each one before a user commits to a purchase.
“Traders offering or making available to consumers paid-for variable reward systems shall inform consumers about the types of products or virtual items available in such variable reward systems and the probability of obtaining them,” the draft states.
An option to disable paid variable rewards
Beyond upfront disclosures, Article 15 would mandate that companies give all users, not only children, an accessible and effective mechanism to disable paid variable reward features entirely, though the legislation stops short of dictating a specific technical format for the opt-out tool.
Protections for younger audiences are tighter. The draft prohibits companies from offering paid random rewards, whether bought entirely or partially with real money or purchased virtual currency, in services aimed at children, or in instances where a business can reasonably determine the user is underage. Free, non-monetised random rewards would remain unaffected.
“Where a trader’s products are directed at minors or where the trader is aware with reasonable certainty that the product is used by minors, the trader shall not offer paid-for variable reward systems to minors,” the proposed legislation states.
The EC also turns its attention to the creator economy in Recital 55, warning that children often perceive social media influencers as peers and struggle to identify hidden advertisements. The text noted that creators can take advantage of this trust by masking commercial intent, relying on gender stereotypes, or targeting gender-specific vulnerabilities to push unsuitable goods.
“Some influencers also engage in the marketing of products that could be harmful, or otherwise unsuitable for consumers in general or to minors in particular, such as speculative instruments, betting, lotteries or other forms of gambling products,” said the EU Act, while also pointing to existing advertising bans and age-restricted marketing rules.
For now, the Digital Fairness Act remains at the proposal stage. It must undergo negotiation and formal approval by both the European Parliament and the Council of the European Union before becoming law. Should it pass without major amendments, the new rules would take effect 12 months after the legislation enters into force.
Last month, a new study from France’s Association for Research and Prevention of Excessive Gambling (ARPEJ) raised concerns that video games are increasingly encouraging behaviours among French teenagers that resemble excessive or problematic gambling. Meanwhile, the Danish gambling regulator Spillemyndigheden has launched a campaign designed to help parents identify gambling-style features in video games played by children.
The regulatory landscape remains fragmented across the European Union, with no common legal framework in place to determine whether loot boxes should be classified and regulated as gambling products. As a result, decisions continue to be made at the national level. Belgium has classified paid loot boxes as illegal gambling while the Netherlands has also introduced restrictions for certain mechanics. The UK has opted to allow self-regulation via an industry code, which recommends restricting loot boxes to over 18s.
FAQs
- What does the EU Digital Fairness Act propose for loot boxes? Under Article 15, companies offering paid variable reward systems—such as loot boxes, wheels of fortune and collectible card packs—must display all available items and winning probabilities before purchase. Businesses must also provide an accessible tool allowing all users to disable paid random rewards, and are prohibited from offering them to minors.
- How does the Digital Fairness Act address gambling influencer marketing? Recital 55 warns that children often view social media influencers as peers and struggle to spot hidden advertisements. The proposal highlights that some creators mask commercial intent to promote unsuitable or harmful products—including betting, lotteries and other gambling services—and reiterates existing general and age-restricted advertising bans.
- Does the Digital Fairness Act ban free loot boxes? No. The proposed restrictions under Article 15 apply strictly to variable reward systems bought wholly or partially with real money or paid-for virtual currency. Free, non-monetised random rewards in digital services remain unaffected by the draft legislation.
- When will the EU Digital Fairness Act take effect? The Digital Fairness Act is currently at the proposal stage and must undergo negotiation and formal approval by both the European Parliament and the Council of the European Union. If passed without major amendments, the new rules will take effect 12 months after the Regulation enters into force.
