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New York sues Valve over "illegally promoting gambling" for loot boxes

New York Attorney General Letitia James has sued Valve, alleging that the company illegally promotes gambling through loot boxes in games like Counter-Strike 2, Team Fortress 2, and Dota 2. The lawsuit claims these mechanics, which allow players to buy chances for valuable virtual items that can be sold for real money, are akin to slot machines and are particularly harmful to minors. Valve is accused of facilitating third-party marketplaces for these items and profiting significantly from this practice.

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