HOW GAMING COMPANIES CAN BECOME INADVERTENT MONEY SERVICES BUSINESSES

An article from Wilson Sonsini Goodrich and Rosati on 28 May is concerned with gaming companies inadvertently finding themselves subject to these AML laws in the US (with attendant registration, recordkeeping, and other requirements) by offering gamers the ability to purchase in-game currencies, digital goods, electronic gift cards, and similar products.   It advises that, before offering a product like in-game currencies, a gaming company should, at a minimum,5 determine whether, by offering that product, it qualifies as one of the 3 types of money services businesses which the article identifies.  It also cautions that, while many gaming companies already limit the transferability and tradability of their in-game currencies, digital goods, and similar products in their online terms and conditions or end-user licence agreements, these limitations have not stopped secondary marketplaces for in-game currencies and digital goods from popping up.

https://www.jdsupra.com/legalnews/how-gaming-companies-can-become-67064

 

 

 

If you would like to say thanks by making a small contribution, in case I need to upgrade or replace my computers and other paraphernalia, I have a page at https://www.buymeacoffee.com/KoIvM842y

Author: raytodd2017

Chartered Legal Executive and former senior manager with Isle of Man Customs and Excise, where I was (amongst other things) Sanctions Officer (for UN/EU sanctions), Export Licensing Officer and Manager of the Legal-Library & Collectorate Support Section

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