Nick Xenophon wants tougher video game laws to combat teen gambling

Independent Senator Nick Xenophon wants federal Parliament to toughen up on video games, which he believes are encouraging children to gamble.

Mr Xenophon told Fairfax Media he plans to push a bill to include certain video games under the Interactive Gambling Act, claiming popular games such as Counter-Strike: Global Offensive are “grooming” children for gambling.

Gambling on competitive video games is classified as eSports.

In eSport video games like Counter-Strike, users can pay to obtain decorations on guns known as ‘skins’ from ‘cases’ provided within the game from the game’s developer, Valve.

They can be then sold onwards on Steam – the developer’s marketplace – and other third-party websites.

Skins are used as betting currency on gambling sites offering casino-style chance games or bets.

Betting on eSports video games is also a subject of Mr Xenophon’s plan for tougher laws.

Mr Xenophon said he is concerned about some video games’ "poker machine-type features with spinning wheels" and the way some offer credits linked to gambling sites.

He suggested the games were “misleading and deceptive”, and that parents may be unaware their children were involved in gambling.

Gambling on competitive video games is largely unregulated, and is estimated to be worth $10.5 billion this year.

Mr Xenophon told The Sydney Morning Herald  the Interactive Gambling Act 2001 was outdated, and said it “may as well be 150 years old in terms of dealing with these issues”.

Under the new legislation, games seeking payments for items could becoming illegal, a minimum age could be enforced and games could be made to carry warnings.

Mr Xenophon plans to seek bi-partisan support for the bill.