CFPB Monitoring Video Games Over Lack of Consumer Protections for In-App Purchases and Data Collection

Video games with in-app purchases and digital currencies operate like banks but lack consumer protections. The CFPB is monitoring this.

These video games allow users to accumulate valuable digital assets, but players have limited recourse if assets are lost due to hacking, theft, or scams.

The CFPB is especially concerned that video games are young people's introduction to financial activities, but without adequate protections.

Gaming companies collect significant personal data from users, often without parental awareness or consent.

The CFPB indicates it is monitoring the video game industry but has not taken regulatory action at this time.