Pre-paid cards are also considered virtual currency, but virtual items are not.
The new law states:
“The virtual currency, which is converted into real money at a certain exchange rate, will only be allowed to trade in virtual goods and services provided by its issuer, not real goods and services.”
- prevents illegalities
- prevents gambling
- prevents money laundering
- preemptive step towards preventing “virtual economy” having a negative influence on Chinese financial system
- farmers selling virtual currency
- the definition of currency only covers medium currencies between real-money and items. This situation becomes a bit hazy though, because in some VW’s there is only one currency (earned through gameplay AND at the same time purchased with real money). In a way farmers selling virtual currency would still fall into the banned category, but the legistelation doesn’t seem to be targeted to “harmless” currencies such as WoW-gold, but towards currencies such as QQ-coins, which are widely used outside the Tencent QQ service.
- users doing business in VW’s (such as Second Life)
- Prevents gambling? Because you can not convert v-currency back to real money?
- Secondary market of pre-paid game cards
—> everything that includes exchanging virtual currency (as defined by the law) into real money or products.
- farmers selling virtual goods directly
- operator selling v-currency and v-goods