Some would argue that iGaming is still a form of traditional gaming, while others refuse to admit that betting your money hoping to earn more has anything to do with gamification. So what are experts, editors, and researchers good for if not for taking an objective position and talking about two vital elements from both worlds?
Let’s focus on loot boxes, a primary element from AAA games, and decide if casinos can learn something from it or, even better, implement it.
Breaking Down Loot Boxes
Loot boxes may be considered to be one of the best forms of virtual prizes.
By definition, loot boxes are digital containers found in video games, predominantly in free-to-play games and competitive games. These containers offer randomized rewards like new skins, items, weapons, and power-ups or give you a chance to unlock rare characters. Players earn loot boxes through gameplay or by purchasing them using real money.
The fact that you can actually buy them only to enjoy random rewards already sounds like gambling, right? Like with any other betting game, the appeal lies in uncertainty and excitement. You get a dopamine hit each time you open a loot box and discover what’s inside.
It is just a psychological trigger similar to gambling. This randomness is gamified with flashy animations and sound effects and creates a proper entertaining experience overall.
And if you wonder why this gamified mechanic got so much attention, in a recent study by Simon Cordes, titled “What drives demand for loot boxes?“, one key element in his research is exactly something he starts his paper with:
“The market for (online) video games has been booming in recent years, with in-game purchases accounting for a substantial share of developers’ revenues. In 2020 alone, so-called “loot boxes” generated $15 billion of worldwide revenue, and projections suggest that 230 million people will spend money on loot boxes by 2025.”
Since the main focus for everything we do every day is revenue, imagine why game developers focus so much on this randomized mechanic.
Are Loot Boxes Safe?
Loot boxes do no harm; it is the chemistry in your brain that may suffer some changes if you keep counting on them to entertain yourself. Also, they can lead to harmful behaviors and consequences if the casino operators and game developers use them to manipulate user decisions. What I would watch out for as a casual player:
- Lack of transparency: If the operator or game developer is not completely transparent regarding its loot box rules and terms, how can you be sure it is safe or fair to open them?
- Appealing for teens: Loot boxes are very appealing to children and encourage competition amongst their communities. Minors get in contact with this particular element of a game that increases their dopamine levels, similar to what a casino game does to adults.
- Pay-to-win mechanics: In some games, loot boxes grant actual gameplay advantages, creating unfair competitive environments. Companies and developers know that competitive players would spend a fortune to prove how good they are at the game.
Casino Spins
On the same note, a free spins no deposit incentive is a similar perk and has many common traits. However, there are some slight differences we should address.
First and foremost, in online casinos, spins are an exclusive benefit in slot machines. Players wager real money for the chance to win cash prizes. Each spin requires an initial cash investment while similar RNG (Random Number Generators) determine the outcomes.
Specialized regulatory bodies have to watch over this whole financial system and make sure all the games are fair, and no operator tries to manipulate its players by offering unrealistic bonuses.
Casino spin bonuses are very similar in terms of how thrilling and joyful their effects are on players. If you pair this with real monetary gain, you have a recipe for success. Another common point is that both casino spins and loot boxes offer instant gratification. Each round or box comes with huge winning potential.
Are Casino Spins Safe?
Well, before moving forward, I want to highlight the main difference between loot boxes and casino spins.
After allegedly spending money on 50 loot boxes, you will receive 50 rewards with decent chances of scoring a rare one. No matter how lucky you are, you will still receive 50 rewards for the money you spend. With casino spins, after betting 50 times for 50 rotations, there is a chance for you to end up losing everything.
In video games, you basically trade money for in-game items and benefits, while casinos ask you to risk your money. Therefore, these are a few elements I would consider before spending money-spinning reels:
- I would only place wagers and spin the reels of slots with an RTP value of at least 97%.
- I would check the operator first and verify its license.
- I would apply responsible gambling rules and conduct to make sure I avoid developing an addiction.
Loot Boxes & Casino Spins Similarities
| Feature | Loot boxes | Casino Spins |
| Random rewards | Yes | Yes |
| The use of real money | Yes | Yes |
| Stimulates reward-seeking behavior | Yes | Yes |
| Flashy visuals and attractive sounds with each opening | Yes | Yes |
| Huge wins potential | Yes | Yes |
Fundamental Differences That Matter
| Feature | Loot boxes | Casino Spins |
| The risk of ending up with absolutely nothing | No | Yes |
| Regulation | Unregulated and embedded in games | Highly-regulated under gambling laws |
| Payout | In-game items and advantages | Cash prizes or no prizes at all |
| Target Audience | Younger audience, gamers | Adults |
| Transparency | Loot boxes do not disclose probabilities clearly | Casinos must disclose RTP and game oods |
Two Sides of The Same Coin?
Loot boxes and casino spins may differ in terms of mechanics and regulation, but the psychological mechanisms driving them are nearly identical. However, game developers can also earn money from selling the game, which is why you will also get something out of your loot boxes. Casinos count on those spins to make revenue.