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New York Sues Valve, Alleging Loot Boxes Are Illegal Gambling

Prosecutors say Valve's chance-based item sales constitute illegal gambling, with the suit seeking to halt the practice, repay players, impose treble penalties.

Overview

  • Attorney General Letitia James filed the case in Manhattan state court targeting systems in Counter-Strike 2, Team Fortress 2, and Dota 2.
  • The complaint details purchases of keys to open randomized boxes with slot machine-style visuals and the resale of winnings on Steam’s Community Market and third-party sites.
  • James argues the mechanics are especially harmful to children and seeks restitution for players plus fines of up to three times Valve’s alleged illegal gains.
  • Coverage cites a skins market worth billions of dollars, with rare Counter-Strike items reported to sell for six- and seven-figure amounts.
  • Valve has not responded to requests for comment, and the action arrives as global authorities issue divergent rulings on whether loot boxes constitute gambling.