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Poland: Loot box bill faces backlash amid online casino loophole concerns

Totalizator Sportowy warns that the legislation could create loopholes similar to those used by sweepstakes in the US, potentially allowing online casinos to operate outside the state monopoly.

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Poland
Key Points
Polish Minister Michał Gramatyka proposed a law restricting loot boxes in games to adults
The bill was drafted by a cross-party group of 62 MPs
Totalizator Sportowy criticised the bill, and although some MPs have withdrawn their support, it will still move forward

In December, Polish Deputy Minister Michał Gramatyka proposed a law restricting access to loot boxes in games to adults only, aiming to protect children from gambling-like mechanics. The bill was submitted by a cross-party group of 62 MPs.

The proposal has faced criticism from state-owned Totalizator Sportowy, the lottery operator and holder of Poland’s online casino monopoly. The company warns that one specific provision, which removes games with virtual goods from state regulation of online gambling, could allow online casinos to operate under the guise of these virtual goods.

Under the proposal, loot boxes would be formally classified as “games with virtual goods.” Their operation online would be restricted to adults and would require registration or, depending on the value ouf the prize pool, a permit.

Gramatyka maintains that it is entirely feasible for game developers in Poland to offer loot boxes only to adults or remove them altogether. He compared the approach to Netflix's practice of adjusting its offerings by country.

Beata Stelmach, CEO of Totalizator Sportowy, wrote to MPs warning that the proposed changes could enable a new type of online casino. She argued that virtual goods could eventually be converted into real money, similar to “sweepstakes casinos” in the US, which circumvent state gambling laws. She urged MPs to reconsider their support for the bill.

Stelmach’s letter to MPs also contained an accusation. She stated: “The bill was submitted under the influence of lobbying by international gambling groups operating illegally in Poland."

Gramatyka insists that the bill’s sole purpose is to protect children from loot box gambling, which is currently unregulated. He plans to submit an amendment addressing feedback from the Ministry of Finance and Totalizator Sportowy.

So far, seven MPs have withdrawn their support, citing insufficient analysis. Nevertheless, the bill will proceed, as it still has the minimum 15 signatures required and has been assigned a parliamentary document number.

Totalizator Sportowy recently became a member of The United Lotteries for Integrity in Sports (ULIS). ULIS is a global non-profit association with a multi-stakeholder network that supports licensed state lotteries in promoting integrity and combating crime in sport.

Membership grants Totalizator Sportowy voting rights and a role in ULIS governance, enabling the company to actively contribute to international initiatives aimed at protecting the integrity of sport.

Good to know

Games with loot boxes will soon carry a PEGI 16 rating across Europe, these ratings indicate the suitable age for players based on game content

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