- This year, play-to-earn (P2E) games have grown increasingly popular.
- The GMC’s position has an impact on popular P2E games like Axie Eternity.
- For S.korea, games can’t have prizes costing more than a set sum.
The South Korean considerable efforts have been made to prevent the introduction of new play-to-earn (P2E) games and have demanded that current P2E titles be removed from Google and Apple’s respective app stores. P2E activities had risen to prominence in recent months as crypto acceptance has grown, allowing players to obtain exchangeable tokens that they can then sell off for a profit. To play P2E games and obtain their own in-game prizes, users must first acquire game pieces as non-exchangeable tokens (NFTs).
In South Korea, however, prizes worth more than KRW 10,000 (approximately Rs. 625) are prohibited.
The South Korean Ministry of Culture, Sports, and Tourism’s Game Management Committee (GMC) has requested leading smartphone app stores to restrict any applications that need in-app payments prior to gameplay. The Government has made it nearly hard for P2E game creators to advertise their work on the most prominent mobile app stores in order to fight the growth of what it perceives as speculative funds methods.
Whereas the Korean govt’s effort to limit the rise of P2E gaming by heading directly to the app market is a recent development, game producers in the country have been fighting in court since April to maintain their P2E titles on national app shops. The major issue is that some gaming apps are unable to obtain the necessary age rating in order to be registered on the app store.
The GMC just was implementing Supreme Legal precedent in preventing P2E games like Axie Infinity from being mature level and licensed, according to a GMC representative.
“It fits to prohibit P2E games from being age-rated under present legislation,” the official said in a statement, according to Cointelegraph. “Cash awards in-game can be considered a reward.” In South Korea, rewards won through playing games are now limited to KRW 10,000.
Due to a lack of ratings, the Fivestars for Klaytn P2E game and NFT marketplace were initially barred on domestic app stores, however, the organizers of the event gained a court ruling in June, and the game was permitted to be featured. It’s the eventual ruling on the game’s legality that is likely to create a legal precedent for other P2E videogames like Infinite Breakthrough Three Kingdoms Reverse.
According to DappRadar, GMC’s attitude has significant consequences for all P2E gaming applications, including a suite of apps associated with the two most popular games to date, Axie Infinity, and Splinterlands.
Although enthusiastic cryptocurrency supporters might have greater regulation as a hugely detrimental effect, researchers agree that it would be an essential component for widespread cryptocurrency acceptance.