China gaming rules – level 2

China gaming rules

28-12-2023 07:00

China made new rules to control how much people spend on video games.

The rules caused big problems for top gaming companies like Tencent and NetEase. The rules say that online games can’t give rewards for logging in every day or spending money for the first time. This worried investors and the companies lost nearly 80 billion dollars. Tencent’s vice president said they don’t need big changes and follow the rules.

The rules also say games must limit how much players can spend. Some parts of the rules might help the game industry by making the approval process faster.

Difficult words: log in (to enter a game), investor (a person who puts money in a business), approval (the process of agreeing with something).

You can watch the original video in the Level 3 section.

What potential impact could China's new rules on spending and rewards for video games have on top gaming companies like Tencent and NetEase? How are these companies responding to the rules?

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