What the proposal puts on the table
Europe is gearing up to set a bloc‑wide age floor for social media for the first time, pegging 15 as the minimum for an account that isn't overseen by a parent. Kids from three up to 13 would be limited to child‑focused services and only when a parent is supervising. Teens aged 13 and 14 could use mainstream platforms, but their accounts would come with tight limits such as daily usage caps and mandatory parental controls.
The scope is broad: social networks, video platforms, app marketplaces, online games, AI companions and conversational chatbots would all be covered. Some services would be out of bounds for these rules, including online encyclopedias, educational tools, apps used for public services, and software repositories.
Enforcement, penalties and product changes
For context, the DSA sets a similar top penalty of 6% of global revenue, though in practice the EU hasn't come close to that ceiling.
Platforms in scope would also chip in for oversight via a commission‑funding fee that is limited to 0.03% of worldwide sales. And there's a new gate at the front door: services would have to confirm the age of anyone signing up by using the EU's official verification app or an equivalent method. On top of that, platforms would be required to add safety tools aimed at curbing abuse and features that feed compulsive use.
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Politics, timing and the road ahead
The European Commission hasn't weighed in publicly on the draft. From there, the Kids Act would still need the go‑ahead from EU governments and lawmakers, a process that often stretches over years.
Member countries have been pressing for a unified approach as momentum builds globally to limit kids' social‑media access. Several EU states have been shaping their own rules, following curbs introduced in Australia last year. The draft also opens the door for collective action: minors and parents could authorize non‑profit groups to file complaints with national regulators or directly with the commission.
What this means for your money
If this becomes law, consumer‑facing tech companies would face new spending on age checks, parental controls, and safety tooling, plus an ongoing oversight fee. The risk of penalties up to 6% of annual sales raises the stakes, and the collective complaints channel could add legal pressure. That mix tends to nudge product roadmaps and budgets, especially for platforms with large teen user bases. If you own or use these services, watch how they pivot their features and compliance costs, because that can ripple into growth strategies and margins you care about.
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