China's draft video gaming rules under regulator's lens over public concerns

Chinese regulators have said  that the government would further improve the proposed video game rules after "earnestly studying" public views. This comes after China recently issued its draft online video gaming rules, designed to promote growth and development of this industry, 

The Press and Publications watchdog's statement, came a day after China released proposed sweeping rules aimed at curbing spending and time on video games, dealing a blow to the world's biggest games market and knocking the value of Tencent Holdings, Netease and other gaming stocks.

Under the draft rules' purview, online games will be banned from giving players rewards if they log in every day. The ban will continue if they spend on the game for the first time, or if they spend several times on the game consecutively.

All are common incentive mechanisms in online games.

The draft rules were "designed to safeguard and promote the healthy and prosperous development of the online gaming industry," the National Press and Publication Administration said in a statement on its website.

The Chinese regulator said the government had collected opinions widely during the drafting process, and "soliciting public views for the rules is a process aimed at listening to opinions more broadly, and improving the provisions of the rules."

Responding to anxiety over the proposed measures, the regulator said it will "earnestly study expressed concerns and views", and will further amend the rules after absorbing opinions from related government bodies, companies and users.

To restrict excessive spending, the draft rules also require that games must set limits on how much players can top up their digital wallets for in-game spending. Games would also be banned from enabling the speculation and auction of virtual gaming items.

The administration is seeking public comment on the rules by January 22, 2024.

(With Reuters Inputs)