"Genshin Impact deceived children, teens, and other players into spending hundreds of dollars on prizes they stood little chance of winning. Companies that deploy these dark-pattern tactics will be held accountable if they deceive players, particularly kids and teens, about the true costs of in-game transactions."

The FTC's complaint alleges that Singapore-based Cognosphere deceived children and other users about the real costs of in-game transactions and the odds of obtaining rare prizes.

The Federal Trade Commission announced on Friday that Genshin Impact developer Cognosphere has agreed to a $20 million settlement and several restrictions on how it sells its loot boxes and manages children’s personal data.

HoYoverse, publisher of the popular gacha game Genshin Impact, has agreed to pay a $20 million fine and change its marketing practices. The Latest Tech News, Delivered to Your Inbox

Cognosphere, the US subsidiary of Genshin Impact developer miHoYo, agreed to a $20 million settlement over allegations of "deceptive marketing" in the game’s gacha system and violations of child privacy laws.