Regulation needed for quasi gambling apps in Hong Kong
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The advance of technology has made many aspects of our lives just a simple click away on the internet.
But it also raises a wealth of ethical and legal questions, some of which warrant a closer look by the authorities. The growing popularity of simulated online gambling games is a case in point.
Hong Kong’s Consumer Council is to be commended for flagging an issue that has not been given the attention it deserves.
Releasing the findings of a test on six gaming apps, the council said the operators employed common tactics to entice players to make in-app purchases. The cost for maintaining the highest membership tier ranged from HK$870 to a staggering HK$2.48 million.
It is unclear who would want to fork out millions of dollars for a virtual game membership.
Even though players do not wage with real money, the games resemble real-life betting, with players using money to get in-game currencies for playing mahjong, slot machines and poker.
They try to retain customers by offering prizes for logging into the game daily, with leader boards and social functions incentivising players to invite friends, and in-app, lottery-like rewards.
It is incumbent upon the authorities to determine whether the games amount to illegal gambling. Adding to concerns is the apparent lack of an age limit for playing.
The games are supposed to be restricted to adults, but there appears to be no verification of age for those who sign up. Some simply have no age restrictions, raising concerns that minors can easily try out virtual gambling.
It does not take a clinical psychologist to point out the potential danger of such gambling apps. Studies show there is a tendency for players to normalise real-money gambling behaviour.
The Consumer Council has received complaints from players in relation to rewards and terms of conditions. While the numbers are small, the problems underline the inadequate supervision and protection in this area.
Unlike on the mainland, where online games are subject to regulation, the suggestion for more comprehensive legislation on electronic games does not seem to be a mainstream idea in Hong Kong at this stage.
But the watchdog’s call for better regulation on games of a gambling nature is definitely worth considering.
