New York sues Valve for promoting illegal gambling via game loot boxes

New York Attorney General Letitia James has sued Valve Corporation, alleging that loot boxes in Counter-Strike 2, Team Fortress 2, and Dota 2 constitute illegal gambling that harms minors by encouraging addictive behavior and obscuring odds, contributing to a multibillion-dollar secondary market for rare virtual items. The suit seeks to bar these features in New York, force the return of related profits, and impose fines, citing broader concerns and drawing parallels to a recent $20 million FTC settlement with Genshin Impact’s developer.