Sorare Plans to Increase Free Access to the Game
The Regulators show concern about money laundering and gambling addicts.
Sorare’s Amendment of Rules
NFT fantasy gaming platform, Sorare, has agreed to amend the rules for its non-fungible token soccer trading game. The company agreed to make this amendment under pressure from the French National Gambling Authority(ANJ).
“The solution chosen constitutes a necessary regulatory response to the offer proposed by the SORARE company and more generally to the emergence of new comparable offers, with a view to effectively protecting the public but also to supporting innovation.”
The response is said to be transitional but essential. The changes are to be made before the company adopts a permanent solution. This may require the legislation’s adaptation to invite new Web3 activities, such as bringing NFT games into France’s regulatory framework.
French Senator Jérôme Durain said the game “seems to meet all the criteria of gambling under the internal security code.” This statement was made because Sorare claims players can win crypto worth thousands of euros while playing the game. In addition, Durain has called for better controls to stop money laundering that occurs through the purchase and resale of trading cards, to ban access to minors, and to ensure there are no cases of gambling addicts. The ANJ also shared these concerns.
More details on Sorare’s Rules Amendment
Sorare, a fantasy sports card game, has been instructed by the French Regulators to implement the free access expansion. The time limit set for this expansion is slated for March 31, 2023. The authority has threatened to use its legal powers, which in theory, allows it to impose fines of up to 5% of a company's turnover. This would, however, take place if the Sorare defaults.
Nicolas Julia, CEO and co-founder of Sorare, mentioned in a LinkedIn post that:
"when a company invents a new model based on a nascent technology and is successful, it is not surprising that it raises questions."