South Korea's telecommunications regulator said Wednesday it will push for a law revision to set limits on user payments to livestream broadcasters amid reports of financial damage to users that splurge on the platforms.

Many video streaming platforms, including YouTube and local rival Afreeca TV, operate live payments, in which viewers can tip broadcasters in real time, serving as a form of monetization.

The Korea Communications Commission (KCC) said it will pursue legal revisions to prevent excessive payments to livestreamers.

The KCC said it will strengthen user protection through the amendments to the Telecommunications Business Act, which will require video streaming platforms to set payment limits, strengthen protection of minors, operate a user protection service and prevent illegal transactions.

To protect minor users, the KCC said it will require parental consent before such users make payments to livestreamers, along with a monthly payment limit.

Currently, the KCC recommends video streaming platforms follow its payment guidelines for online broadcasters.

Livestream platforms have recently come under scrutiny after reports of user damage.

Last year, an elementary school student paid 130 million won ($115,000) to livestreamers on local platform Hakuna without parental consent. The family has received a full refund from the company after intervention from the regulator, according to the KCC. (Yonhap)