New York accuses Valve of turning loot boxes into gambling

New York Attorney General Letitia James filed a lawsuit against Valve, accusing its loot-box systems in Counter-Strike 2, Team Fortress 2, and Dota 2 of illegally promoting gambling; the state seeks to permanently stop gambling features, disgorge ill-gotten gains, and impose fines. The lawsuit notes players pay about $2.49 per loot-box key, often receiving items worth less than the key, with rarer items worth thousands, and argues the mechanic resembles a slot machine — a concern given its appeal to minors. Valve has not immediately commented.