The Federal Trade Commission announced on Friday that Genshin Impact developer Cognosphere has agreed to a $20 million settlement and several restrictions on how it sells its loot boxes and manages children’s personal data.

The company will pay, and make changes to its disclosures

The Federal Trade Commission (FTC) announced that companies misleading players about the “true cost of in-game transactions” will be “held accountable.”

The US Federal Trade Commission is preparing to settle with the company behind the popular video game Genshin Impact over concerns that the money-making mechanics of the game were deceptive, according to people with knowledge of the matter.

Genshin Impact developer Cognosphere (aka Hoyoverse) has agreed to a $20 million settlement with the U.S. Federal Trade Commission (FTC) over its gacha loot box monetization and is now banned from selling them to teens under the age of sixteen without parental consent.

Genshin Impact publisher HoYoverse must pay a massive fine to the US FTC due to allegedly misleading gacha and how minors' data was handled.

Genshin Impact publisher Hoyoverse has agreed to a settlement with the United States Federal Trade Commission where it agrees to pay a $20 million fine, and be banned from sellling lootboxes to teenagers under the age of 16.

Genshin Impact developer Cognosphere has been made to pay $20 million is banned from selling loot boxes to children under 16 without parental consent.