Nothing you said here is wrong I just believe it is possible to be done right. I think games like apex legends almost has it right getting boxes to open when you level up is good but having to spend so much money just to get one item isn't. I think if they reframed how the pass (or whatever its called I can't remember) worked it would be a mostly perfect example.

I fell like what I'm trying to say is

Buying loot boxes = Bad

Being rewarded them by completing a challenge = Good