The popular K-pop group NewJeans has become unexpectedly entangled in a gaming controversy. On June 16, 2025, The JoongAng reported that Korea's Fair Trade Commission imposed a 2.5 million KRW fine on Krafton. The penalty stems from deceptive loot box mechanics in PUBG: Battlegrounds featuring the girl group's content.
Krafton's Misleading Advertisement Claims
Korean regulators found that Krafton falsely advertised the chances of obtaining NewJeans-themed in-game items. Between March and June 2024, the company promoted a campaign allowing players to transform characters into group members. Furthermore, Krafton claimed users were guaranteed to receive member skins after five attempts.
However, FTC investigators discovered the actual success rate was only 9% per attempt. Moreover, players had no certainty of winning even after multiple purchases. Consequently, these misleading probability claims triggered financial penalties and compensation requirements.
Massive Compensation for Affected Players
As a result of the investigation, Krafton refunded 1.1 billion KRW to nearly 380,000 users. Additionally, the company issued 9.8 billion KRW worth of in-game currency as compensation. Therefore, the total financial impact reached approximately 10.9 billion KRW.
The FTC also demanded that Krafton submit formal prevention plans. These measures aim to avoid similar deceptive practices in future marketing campaigns.
NewJeans' Indirect Role in the Controversy
While NewJeans members weren't involved in decision-making or loot box mechanics, their image remained central to the campaign. Subsequently, this pulled them into public discussions about deceptive gaming practices. The girl group's branding and avatars were the primary draw for the controversial loot boxes.
The Successful PUBG Collaboration Launch
Initially, the NewJeans x PUBG crossover launched in June 2024 with great fanfare. The collaboration introduced themed in-game items including emotes, costumes, and character skins. Each skin represented group members Minji, Hanni, Danielle, Haerin, and Hyein.
Additionally, developers redesigned Taego School into a vibrant stage. The location featured bubblegum tones and visuals matching the group's signature aesthetic. This transformation created an immersive experience for fans within the game environment.
Record-Breaking Player Engagement
The collaboration significantly boosted PUBG's performance metrics. Shortly after launch, the game reached over 661,000 concurrent players. Prior to the update, Krafton released engaging promotional content featuring NewJeans' bunny mascot and animated trailers.
These marketing efforts followed successful PUBG collaborations with other major acts. Previous partnerships included BLACKPINK and various anime franchises.
Current Challenges Facing NewJeans
Currently, NewJeans has suspended activities due to ongoing label disputes. The group operates under ADOR, which is a HYBE subsidiary. An escalating conflict between ADOR's CEO Min Hee-jin and HYBE has created uncertainty.
Furthermore, their unintended involvement in Krafton's regulatory penalty adds another layer of complexity. These combined controversies have raised questions about the group's immediate future prospects.
Industry Impact and Regulatory Precedent
This case highlights growing scrutiny of gaming industry practices in South Korea. Regulators are increasingly focused on protecting consumers from deceptive digital marketing tactics. The substantial fines and compensation requirements send a clear message to game developers.
Meanwhile, K-pop groups must navigate the risks of brand partnerships more carefully. Even indirect involvement in controversial practices can impact their public image and career trajectory.
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