Trading card packs to be regulated in Singapore to manage gambling risks: MHA

Trading card packs sold here will be regulated, as part of new regulations to manage gambling risks involving blind boxes.

A spokesman for the Ministry of Home Affairs (MHA) confirmed this to The Straits Times on Feb 26, saying the regulations are being drafted and details will be shared when ready.

He said blind boxes refer to sealed packages which contain items not disclosed to the buyer at the point of purchase.

Such packages typically contain collectible toys, figurines and cards.

He added that the expected timeline for implementation will also be shared in due course.

The confirmation comes after Home Affairs Minister K. Shanmugam said on Feb 12 that blind boxes will be regulated.

The minister had said MHA and the Gambling Regulatory Authority (GRA) decided to regulate such items after studying the issue.

The regulations will stipulate conditions under which blind boxes, including trading card packs, may be offered here.

Mr Shanmugam had been responding to a parliamentary question from Hougang MP Dennis Tan about whether the Government intended to legislate mandatory and standardised disclosure of odds and probability ranges for blind box or “gacha” products.

Mr Shanmugam said Mr Tan’s suggestion will be among the points considered for the regulations.

In many instances, such blind boxes also contain “rare” collectibles, which buyers have a lower chance of obtaining.

There are currently no laws in Singapore explicitly targeting blind boxes.

Mystery boxes, however, are disallowed, with plans to regulate them via class licences issued by the GRA.

Blind boxes typically contain items from a defined set, such as a series of figurines or cards. Mystery boxes contain an unknown range of items that vary broadly.

An ST Forum letter writer had argued for trading cards to be regulated.

In a letter published on Feb 23, Lim Guohao said trading card products such as Pokemon cards operate on a similar randomised model.

It was recently reported that a rare Pokemon card owned by American social media influencer and pro wrestler Logan Paul had been sold for over $20 million at auction.

If blind boxes warrant regulation because of their lottery-like mechanics, it is reasonable to ask whether trading cards should also be examined, said the writer.

The writer added that trading cards themselves do not feature gambling, and have genuine recreational and collectible value.

But when the focus shifts from play to speculation, the psychology begins to resemble gambling.

The writer said: “A coherent framework should focus not only on product labels, but also on whether value is primarily determined by randomised outcomes and marketed as such, with appropriate safeguards for minors where necessary.”

Source: The Straits Times © SPH Media Limited. Permission required for reproduction.

ADV: JLP Corporate - Applying Tech Law in Practice Ministers' decisions carefully recorded to build up body of knowledge, says Chan Chun Sing