Shorted LED? Not drawing enough current to blow a fuse?

Their power supplies are just as dodgy. I typically recommend to stay away from their stuff. In this case though, I'm assuming the LED shorted and overloaded the board traces. That being said, I would expect the board to have a fuse or some sort of component based overcurrent protection.

I would say so, but not sure. I've seen several LEDs break and short the leads internally (cheap construction). It could also be an overvoltage issue, which is more likely to generate the needed heat for one to catch fire.

Where were the LEDs manufactured?

The People's Republic of China.

Have you verified that all fuses in the machine are of the proper value? That looks like an overfused circuit. Or, the board is poorly designed for the machine or it is not supposed to be used with LED's.

Made in China equals "good luck". Cheap prices but also the fun of some "junk" products. At least it wasn't a Hoverboard that burnt your house down like has happened to a good many people.

I'm wondering if leds are used if the fuse values protecting their circuit should be lowered. An example would be a 5 amp gi circuit. If an led faults it will take alot of time for the fuse to blow as the circuit uses less current than 5a . ?

A very good point. Time for reengineering. A fee may be charged.....

Not when there's enough current that it's burning the mask of traces as wide as those. If that were fused with any fuse that's used in pinball machines, it would have blown.

Where are the fuses in that game?

I replaced all four of the 5 amp slo-blo fuses with 1 amp slo-blo in the Gi circuits running LEDS without any problems.

Possibly a combination of many things. Is there any chance that light socket came in contact with say, coil voltage? Check the fuse that handles the GI voltage for that globe. Did it blow? Is it the correct rating? Either way, I'd be checking both those transistors that have the fried traces running to them to see how they handled the mishap.