Crackdown on Adult Content: Payment Processors and Game Platforms at the Center of Controversy

Recently, a crackdown on games containing adult content in some gaming marketplaces sparked widespread reactions. It was speculated that this move was the result of pressure from payment processors. However, on Friday (August 1), Mastercard denied this in a statement.

Mastercard stated,
“Contrary to media reports and allegations, we have not evaluated any games nor instructed game developer sites or platforms to restrict any activities.”
However, they added,
“We do require merchants to take appropriate measures to prevent illegal transactions, such as the use of our cards for purchasing illegal adult content.”

Origin of the Controversy
The Australian-based advocacy group Collective Shout recently sent an open letter to executives of PayPal, Mastercard, Visa, and others, accusing them of allowing the sale of games like “No Mercy” which contain elements of rape, incest, and sexual violence against children.

Following this, Steam and Itch.io took a strict stance.

• Steam announced they would ban games violating payment processors' and related banks and card networks’ rules.
  
  

• Itch.io stated they are removing adult content games from their browsing and search pages and conducting a broad audit.
  
  

Valve’s Different Position
However, Valve, the owner of Steam, expressed a different view. They told PC Gamer and other gaming sites,
“Mastercard did not contact us directly, despite our requests. They communicated with payment processors and banks, who then informed us that some games posed a ‘risk’ to the Mastercard brand.”
Valve added that they responded by explaining their legally compliant game distribution policies based on their 2018 guidelines, but these were rejected.

Positions of Stripe and Itch.io
Meanwhile, Stripe said they are unable to support sexual content due to restrictions from their banking partners.
Itch.io mentioned that they are now re-indexing free adult games and are in ongoing discussions with payment processors, including Stripe.

scorce: techcrunch