I wonder if this is going to come to the West too. It's not like the harms or problems are any different, only the flow of money and power and willingness to enforce is different.

Considering that gaming is the world's biggest entertainment industry, I don't know how you'd fairly enforce which manipulative virtual interactions are ok and which ones are not, unless you just pick and choose by fiat. Which China is glad to do (they've been doing this for a long time with games), but it probably wouldn't fly in the States.