Penalty Amount
$20,000,000
The FTC settled with Cognosphere, the developer of Genshin Impact, for violating COPPA by collecting children's data without parental consent and for using deceptive loot box practices that misled players about costs and odds. Cognosphere will pay a $20 million fine, be banned from selling loot boxes to teens under 16 without parental consent, and must implement various transparency and data deletion measures.
Cognosphere must pay a $20 million fine, prohibit loot box sales to children under 16 without parental consent, offer real money purchase options, disclose loot box odds and virtual currency exchange rates, delete children's data collected without consent, and comply with COPPA.
Entity
Cognosphere Pte. Ltd and Cognosphere LLC
Also known as: Cognosphere
Industry
GamingOfficial Press Release
https://www.ftc.gov/news-events/news/press-releases/2025/01/genshin-impact-game-developer-will-be-banned-selling-lootboxes-teens-under-16-without-parental
cognosphere complaint
https://www.ftc.gov/system/files/ftc_gov/pdf/cognosphere_complaint.pdf
Cognosphere Attachment3 3
https://www.ftc.gov/system/files/ftc_gov/pdf/Cognosphere-Attachment3-3.pdf
Federal Trade Commission Enforcement Page
https://www.ftc.gov/enforcement
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$106.8M
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