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A public consultation has been announced by Malaysia in relation to the proposed gaming rules, which will look into loot boxes, gacha, in-game payments, and the protection of children. The Consultation was announced by the Communications and Multimedia Content Forum of Malaysia, also known as CMCF, in relation to the draft Gaming Sub-Code. The consultation period will be 45 days.
The proposed Sub-Code would introduce sector-specific standards for game developers, publishers, distributors, platforms, and other service providers whose games can be accessed in Malaysia. It is being developed under CMCF’s self-regulatory framework.
The document is intended to operate alongside the Malaysian Communications and Multimedia Content Code, as well as other applicable laws and regulatory requirements. It is not designed to replace the country’s existing rules.
Focus on Younger Players
The draft addresses a number of topics that concern the users of online games, particularly young users. The issues mentioned are age classification, age verification, parental controls, game purchases, virtual currency, loot boxes, gacha mechanism, user-generated content, reporting and moderation, bullying and harassment, and safety measures for younger players of esports.
The draft asks how the age of a gamer will impact the game experience. It also raises questions about whether parental and safety tools are easy for families to find and use.
Another focus is how spending features and virtual currencies are presented to younger users. The draft also examines whether chance-based features, including loot boxes and gacha systems, are explained clearly enough to players.
These mechanics may require users to spend money for a chance to receive a particular virtual item or reward. Such designs have attracted regulatory attention because of their proximity to gambling.
Industry Standards and Player Protection
CMCF said the proposed framework is intended to give the industry clearer expectations while recognizing the broad variety of games, services, and business models in the sector.
The forum said modern gaming now combines entertainment, social interaction, and digital commerce in the same environment. This can expose younger players to real-money purchases, virtual currencies, interaction with strangers, and chance-based rewards.
A child can now spend money, communicate with strangers, encounter persuasive design, and compete globally without leaving a game, according to the forum’s description of the current gaming environment.
The Gaming Sub-Code is meant to address these developments by setting clearer expectations for the companies involved in making, publishing, distributing, and hosting games available in Malaysia.
Working Group Supports Draft
The draft was developed through collaboration involving a working group made up of Malaysian and foreign video game producers, technology firms, e-sports organizations, academia, civil society groups, and child-protection advocates.
Some of the individuals who participated were linked to Mobile Legends: Bang Bang through MOONTON Games, PUBG Mobile, Honor of Kings, Roblox, Xbox, PlayStation, Google Play Store, and Minecraft. Some of the organizations that took part locally included the Office of the Children’s Commissioner, SUHAKAM, Human Rights Commission of Malaysia, and Protect and Save the Children.
CMCF Chairman Datuk Rafiq Razali said gaming has brought entertainment, social interaction, and spending into the same space. He stated that safeguards must develop alongside these features, particularly where younger players are involved.
He also said effective standards require an understanding of how games work in practice. This was why developers, publishers, platforms, esports stakeholders, child-safety experts, and users were included in the discussions. The aim is to establish safeguards that work for Malaysian users and the industry while remaining flexible as the sector changes.
Public Feedback Until October 24
The consultation also received support from esports representatives involved in the working group. Ahmed Faris bin Amir, chief executive of Impact Integrated, said Malaysia’s esports ecosystem is expanding quickly and that clearer safeguards should be introduced while the sector continues to develop.
Esports educator Andrew Cheong, known as Sir Cloud, said clearer information about virtual currencies could help players and parents make more informed financial decisions.
According to CMCF, it is vital to hear from the public, as gaming policies must be informed by the experience of the gamers themselves, as well as their families, and not simply by the viewpoints of the industry and regulators alone.
Gaming enthusiasts, parents, gaming companies, consumer organizations, civil society groups, and others interested in the matter can look at the draft and provide their feedback via the CMCF website in the process of consultation.
After October 24, CMCF will review and consolidate all submissions before finalizing the Gaming Sub-Code.
Source: Asia Gaming Brief
