FTC Settles Charges with HoYoverse Over Genshin Impact's Gacha System

January 18, 2025 - 18:02

The Federal Trade Commission (FTC) has finalized a settlement with HoYoverse, the developer behind the popular game Genshin Impact, concerning the game's gacha mechanics. The FTC's investigation highlighted concerns that the game's monetization strategies could be misleading to players, particularly minors. Genshin Impact employs a gacha system, which allows players to spend real money for chances to obtain in-game items and characters, often leading to significant financial expenditures without guaranteed returns.

As part of the settlement, HoYoverse will implement changes to enhance transparency regarding the odds of obtaining specific items through its gacha system. Additionally, the company is required to provide clearer information about the potential costs involved in gameplay. This action reflects the FTC's ongoing commitment to protecting consumers, particularly vulnerable populations, from potentially exploitative practices in the gaming industry. The outcome of this settlement may set a precedent for how gacha mechanics are regulated in the future.