UK Government publishes rapid evidence review on skins gambling

The question

What does new evidence on the accessibility and risks of skins gambling mean for the future regulation of gaming environments?

The key takeaway

Skins gambling - staking in-game digital items on chance-based games or esports outcomes - has become widespread and easily accessible to young players. The UK Government’s latest evidence review places this activity firmly on the regulatory agenda, reinforcing the likelihood of clearer legal boundaries between gaming and gambling and stronger age-control requirements for game developers and third-party platforms.

The background

“Skins” are in-game cosmetic items that allow players to customise characters, weapons or equipment. Although they do not affect gameplay, some become highly sought after due to rarity and community demand, creating an active secondary market. In certain games, including Counter-Strike 2, Dota 2 and Fortnite, valuable skins trade for significant sums, fuelling a multi-billion-dollar global economy.

Skins gambling occurs when players transfer skins to external websites and use them as stakes on casino-style games, chance mechanics or esports match predictions. Winnings are paid out in skins, which can then be sold - often via cryptocurrency - creating a gambling-like ecosystem operating outside regulated gaming environments.

The development

In September 2025, the Department for Digital, Culture, Media & Sport (DCMS) published a rapid evidence review assessing the scale, accessibility and risks of skins gambling. Key findings include:

• high accessibility and participation: Over 50 skins-gambling websites are accessible from the UK, with an estimated 6.9 million global visits in February 2025 alone;
• independent risk factor: Skins gambling may contribute to gambling-related harm in its own right, rather than merely being a pathway to traditional gambling;
• similarity to regulated gambling platforms: Many sites mirror high-risk design features such as rapid-play casino games, “near misses”, and variable reward cycles;
• significant child exposure: Most sites provide inadequate age verification, and participation among boys aged 11–14 is reported to be high;
• limited enforcement reach: Although certain UK laws may already apply, many operators circumvent oversight by hosting services outside UK jurisdiction.

DCMS makes two initial policy recommendations:

• international regulatory coordination: Governments should work together to classify skins gambling consistently and require robust age verification and harm-prevention measures;
• greater accountability for game developers: Developers should implement age-based safeguards for loot boxes and item-trading systems, limit opportunities for third-party misuse, and reconsider APIs or in-game mechanics that enable external gambling markets.

Why is this important?

The review signals expanding scrutiny of gambling-like features within gaming. It follows earlier UK attention in the Gambling Act Review White Paper, which highlighted concerns around loot boxes and similar mechanics. International bodies - including the European Parliament - are also calling for tighter restrictions on gambling-style features in games accessible to minors.

As policy momentum grows, the regulatory framework for digital gaming environments is likely to evolve. Developers, publishers and platform operators should anticipate greater expectations around age gating, transparency, and the design of in-game economies.

Any practical tips?

Game developers and publishers should:

• map gambling-adjacent features (e.g., loot boxes, item trading, or rarity-based reward systems) and assess whether they could facilitate external gambling activity;
• implement or strengthen age-verification and parental-control mechanisms, particularly where minors form a large share of the player base;
• review APIs and trading systems to identify and mitigate misuse by third-party gambling sites; and
• monitor regulatory developments, both in the UK and internationally, as stronger controls and classification requirements are likely.

Winter 2025