The maker of the video game Genshin Impact has agreed to pay $20 million and make changes to address allegations by the Federal Trade Commission (FTC) that

Cognosphere, the publisher of anime-style fantasy video game "Genshin Impact," has agreed to pay $20 million to settle U.S. Federal Trade Commission allegations that the company violated a children's privacy law.

The Federal Trade Commission (FTC) has imposed a $20 million fine on Cognosphere, the U.S. subsidiary of Chinese gaming developer miHoYo, for deceptive marketing practices and violations of child privacy laws.

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.

Kids and younger teens might soon be unable to play Genshin Impact's gachas. The developer behind the game has agreed to block players under 16 years old from making in-game purchases without parental consent in order to settle a complaint from the Federal Trade Commission.

The company will pay, and make changes to its disclosures

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.

Genshin Impact uses loot boxes to promote in-game purchases and the financial implications were allegedly dangerous for children and teenagers. In a complaint to the FTC, the US DoJ alleged rampant use of misleading and unfair tactics.