OK. If the whole thing is still vapour, there is enough time for fundamental questions. The very loud one I have is, shouldn't these 8 year old kids play in the analog world? I consider it (still) much healthier.
Now that out of the way, what you are planning is a gaming platform running Moodle. Why not? Why are you so worried about the privacy laws? Just don't collect any private data! The obvious way of doing is to allow pseudonyms and don't require any (real) e-mail. The scary "self-registration with no e-mail confirmation" https://moodle.org/mod/forum/discuss.php?d=354562#p1455304 mentioned earlier does exactly that.
Now that out of the way, what you are planning is a gaming platform running Moodle. Why not? Why are you so worried about the privacy laws? Just don't collect any private data! The obvious way of doing is to allow pseudonyms and don't require any (real) e-mail. The scary "self-registration with no e-mail confirmation" https://moodle.org/mod/forum/discuss.php?d=354562#p1455304 mentioned earlier does exactly that.
Well, until the kid forgets its password. Then it has to re-register with a different pseudonym. The points scored earlier are lost. Make that also a part of the game: Either remember your pseudonym and password or back to square one.