What Makes a Web3 Marketing Campaign “Gamified”?

A gamified marketing campaign incorporates game-like tasks, such as completing actions, solving challenges, or purchasing products, to win prizes or unlock rewards. Unlike an airdrop, gamified campaigns offer a defined prize, not a random token distribution. This makes them especially suitable for projects without native tokens or for established Web3 ecosystems seeking to boost engagement beyond token incentives.

This article provides a practical compliance checklist for gamified Web3 campaigns, helping you identify key legal risks, structure your mechanics safely, and align with platform and jurisdictional requirements.

Promise of a Prize: Analysing the Three Gambling Elements

Gambling in most countries of the world requires a licence. A key part of ensuring compliance is understanding how gambling is defined in law across relevant jurisdictions and which elements make a campaign fall under gambling regulations.

For regulatory classification it is immaterial what game mechanic, if any, lies inside. It may be as simple as “download the app,” “buy the subscription,” etc. If there is a prize involved that is awarded solely by chance, or predominantly by chance, then such a campaign appears very similar to gambling or a lottery.

However, there is one more essential element necessary for the definition of gambling in most jurisdictions (in addition to a prize and game mechanic): consideration. In legal terms, consideration means that a person must provide money or another item of value in order to participate in a game. If a campaign does not involve this element, then in many jurisdictions it can be conducted without a special licence.

To sum up, as the main concern of gamification in marketing with prizes is gambling, the campaign should be analysed from the perspective of three points necessary for constituting (or not constituting) gambling:

• game mechanic – whether it requires skill or not;
• prize – its purely monetary nature or whether the prize is an additional free project product or a certain certificate; and
• consideration – whether a user needs to pay or provide other value in order to play.

Analysing these elements and positioning them on one side or another of the continuum helps balance marketing creativity with legal compliance and adapt mechanics to fit your project’s risk appetite.

Consumer Law and Transparency Requirements

Usually, the main event that triggers consumer protection legislation is the purchase of a product or service by the consumer. If such a purchase is required in order to participate in the campaign, that legislation should also be checked and analysed. This is important because consumers are granted by law a higher level of protection and additional rights that must be observed.

For example, depending on the consumer’s jurisdiction, such rights would normally include:

• the right to cancel an online contract within 14 days (commonly known as the “cooling-off right”);
• the right to receive a refund in case of unsatisfactory quality of the product or service;
• the right to clear and transparent pricing; and
• the right not to be subject to aggressive or deceptive marketing practices, such as false or exaggerated claims about the product or service sold.

Transparency, however, extends beyond pricing. Projects should clearly disclose:

• participation steps and eligibility criteria;
• prize details, distribution method, and timeline;
• rules for subscription cancellation or campaign termination.

Crypto-Related Considerations and Financial Promotion Rules

It is becoming less common, but there are still certain jurisdictions where transactions in crypto assets remain restricted or banned. If a marketing campaign targets a specific jurisdiction, for example, by involving local influencers, producing content in the local language, or using national signs, symbols, flags, landmarks, or views, the links with that jurisdiction are strong enough to subject the campaign to the local regulations and possible enforcement. To avoid complications, the legal status of crypto assets and legality of associated transactions in the relevant jurisdiction should be verified.

Regarding financial promotion, it may be referred to differently across countries, but it traditionally covers invitations to purchase or invest in financial products or securities. It is, therefore, critical to assess whether the marketing campaign promotes, or the prize promised represents, crypto assets that are, or may be classified as, financial products or securities. If that is the case, the marketing and promotion activities may be subject to the applicable regulations in the relevant jurisdictions.

That said, national peculiarities always apply. Where the target country of the campaign and the project’s domicile differ, it is advisable to conduct legal assessment in both jurisdictions, or apply general best practices.

Best Practices and Legal Checklist for Gamified Marketing Campaigns in Crypto

Designing a gamified marketing campaign in the crypto and Web3 space requires a clear structure, transparent rules, and a strong understanding of the legal and regulatory implications that follow. Because crypto marketing typically operates on a cross-border scale and reaches users across multiple jurisdictions, projects should begin by applying universal best practices that align with international standards. These foundational steps can make the campaign more adaptable and compliant in different markets.

Below is a practical checklist of best practices and legal recommendations to follow from the outset to ensure your gamified campaign runs smoothly, compliantly, and effectively across jurisdictions.

Defining the Campaign Structure: Key Features to Clarify

When structuring a gamified campaign, define the following clearly from the outset:

• Game type: skill-based, chance-based, or mixed;
• Prize nature: monetary or not;
• Entry conditions: free or paid.

These elements are crucial because they explicitly determine how the campaign will be classified under national gambling laws and whether the relevant activities will be considered regulated. However, as each jurisdiction applies its own criteria, case-by-case assessment is always advisable.

Determining Applicable Jurisdictions and Rules

Applicable law depends on where the campaign operates, where the company is based, and where participants are located. If the campaign is operated physically in a specific jurisdiction, then the laws of that country will most probably apply. If operated online, look at the country of incorporation and primary target markets.

Once identified, focus primarily on two areas: (1) gaming law; and (2) consumer protection regulations.

Competition Conduct Rules That Should Be Followed in a Campaign

Every gamified campaign must have clear rules covering:

• Entry eligibility and participation requirements;
• Criteria for winner selection;
• Prize type, value, and distribution timeline.

Additionally, terms and conditions for the campaign should be in place. We have a dedicated article on why terms and conditions are important. Specifically for gamified marketing, terms and conditions are even required if the app, where the campaign is conducted, is distributed through the App Store or Google Play. The stores oblige the app to indicate that they are not sponsors and are not affiliated with the campaign. Here you can find the respective rules from the App Store and Google Play.

Data Protection Implications

If the campaign involves the collection and processing of personal data (which is most probably the case, as the project must at least know the contact details of participants in order to distribute prizes to winners) then a privacy document will also be necessary, since almost all countries now have respective legislation that requires it.

What Digital Marketing Rules Apply to Gamified Campaigns?

For the marketing of the gamified campaign itself, the specific rules of the platforms where the campaign will be marketed should be analysed. This mainly includes social media. It is important because almost all platforms have restrictions on the content that can be promoted or published on their venues. As already mentioned, the project should ensure it does not qualify as gambling without holding a specialised licence, as this can lead to content being flagged, deleted, or even the entire project page being removed.

Why Legal Review Should Start Early

Legal review should not come after the campaign design is finalised. Early legal involvement helps adjust game mechanics or prize structures before launch, avoiding unnecessary licensing requirements or compliance risks.

It may be the case that a gambling mechanic (for example, where participants must guess the outcome of future events) would fall under gambling legislation even without consideration. By contrast, a simple lottery or a game that requires some skill (e.g. solving a puzzle) might not. Such a minor amendment could mean the difference between a prohibition on conducting the activity without a licence and the activity being entirely lawful under applicable law without a licence.

Accordingly, even small changes – such as adding a skill component – can shift a campaign from restricted to permitted under law, and projects are advised to seek legal review early.

Conclusion: Structuring Compliance from the Ground Up

Gambling laws are the most complex aspect of gamified marketing, but they are not the only risk. Consumer protection, data privacy, crypto regulation, and platform policies also shape what is permissible.

At Aurum, we help Web3 teams and crypto projects structure compliant and effective marketing campaigns from the start. Whether you’re designing your first gamified experience or scaling a global promotion, our team ensures your project meets legal standards while maintaining creative freedom.

Read our related article: Crypto Marketing Compliance: Legal Checklist & Best Practices for Web3 Founders and Teams.