<s>
A	O
virtual	B-Application
economy	I-Application
(	O
or	O
sometimes	O
synthetic	B-Application
economy	I-Application
)	O
is	O
an	O
emergent	O
economy	O
existing	O
in	O
a	O
virtual	B-Application
world	I-Application
,	O
usually	O
exchanging	O
virtual	B-General_Concept
goods	I-General_Concept
in	O
the	O
context	O
of	O
an	O
online	B-Application
game	I-Application
,	O
particularly	O
in	O
massively	B-Application
multiplayer	I-Application
online	I-Application
games	I-Application
(	O
MMOs	O
)	O
.	O
</s>
<s>
People	O
enter	O
these	O
virtual	B-Application
economies	I-Application
for	O
recreation	O
and	O
entertainment	O
rather	O
than	O
necessity	O
,	O
which	O
means	O
that	O
virtual	B-Application
economies	I-Application
lack	O
the	O
aspects	O
of	O
a	O
real	O
economy	O
that	O
are	O
not	O
considered	O
to	O
be	O
"	O
fun	O
"	O
(	O
for	O
instance	O
,	O
avatars	B-Application
in	O
a	O
virtual	B-Application
economy	I-Application
often	O
do	O
not	O
need	O
to	O
buy	O
food	O
in	O
order	O
to	O
survive	O
,	O
and	O
usually	O
do	O
not	O
have	O
any	O
biological	O
needs	O
at	O
all	O
)	O
.	O
</s>
<s>
However	O
,	O
some	O
people	O
do	O
interact	O
with	O
virtual	B-Application
economies	I-Application
for	O
"	O
real	O
"	O
economic	O
benefit	O
.	O
</s>
<s>
Despite	O
primarily	O
dealing	O
with	O
in-game	B-Application
currencies	I-Application
,	O
this	O
term	O
also	O
encompasses	O
the	O
selling	O
of	O
virtual	O
currency	O
for	O
real	O
money	O
,	O
in	O
what	O
is	O
sometimes	O
called	O
"	O
open	O
centralised	O
marketplaces	O
"	O
.	O
</s>
<s>
Virtual	B-Application
economies	I-Application
are	O
observed	O
in	O
MUDs	B-Application
and	O
massively	B-Protocol
multiplayer	I-Protocol
online	I-Protocol
role-playing	I-Protocol
games	I-Protocol
(	O
MMORPGs	B-Protocol
)	O
.	O
</s>
<s>
The	O
largest	O
virtual	B-Application
economies	I-Application
are	O
found	O
in	O
MMORPGs	B-Protocol
.	O
</s>
<s>
Virtual	B-Application
economies	I-Application
also	O
exist	O
in	O
life	O
simulation	O
games	O
which	O
may	O
have	O
taken	O
the	O
most	O
radical	O
steps	O
toward	O
linking	O
a	O
virtual	B-Application
economy	I-Application
with	O
the	O
real	O
world	O
.	O
</s>
<s>
This	O
can	O
be	O
seen	O
,	O
for	O
example	O
,	O
in	O
Second	B-Application
Life	I-Application
's	O
recognition	O
of	O
intellectual	O
property	O
rights	O
for	O
assets	O
created	O
"	O
in-world	O
"	O
by	O
subscribers	O
,	O
and	O
its	O
laissez-faire	O
policy	O
on	O
the	O
buying	O
and	O
selling	O
of	O
Linden	O
Dollars	O
(	O
the	O
world	O
's	O
official	O
currency	O
)	O
for	O
real	O
money	O
on	O
third	O
party	O
websites	O
.	O
</s>
<s>
Virtual	B-Application
economies	I-Application
can	O
also	O
exist	O
in	O
browser-based	O
Internet	B-Application
games	I-Application
where	O
"	O
real	O
"	O
money	O
can	O
be	O
spent	O
and	O
user-created	O
shops	O
opened	O
,	O
or	O
as	O
a	O
kind	O
of	O
emergent	O
gameplay	O
.	O
</s>
<s>
Virtual	O
property	O
is	O
a	O
label	O
that	O
can	O
refer	O
to	O
any	O
resource	O
that	O
is	O
controlled	O
by	O
the	O
powers-that-be	O
,	O
including	O
virtual	O
objects	O
,	O
avatars	B-Application
,	O
or	O
user	O
accounts	O
.	O
</s>
<s>
Rivalry	O
:	O
Possession	O
of	O
a	O
resource	O
is	O
limited	O
to	O
one	O
person	O
or	O
a	O
small	O
number	O
of	O
persons	O
within	O
the	O
virtual	B-Application
world	I-Application
's	O
game	O
mechanics	O
.	O
</s>
<s>
In	O
some	O
cases	O
,	O
the	O
resource	O
exists	O
for	O
public	O
view	O
even	O
when	O
its	O
owner	O
is	O
not	O
logged	O
into	O
the	O
virtual	B-Application
world	I-Application
.	O
</s>
<s>
Therefore	O
,	O
economic	O
theory	O
can	O
often	O
be	O
used	O
to	O
study	O
these	O
virtual	B-Application
worlds	I-Application
.	O
</s>
<s>
Within	O
the	O
virtual	B-Application
worlds	I-Application
they	O
inhabit	O
,	O
synthetic	B-Application
economies	I-Application
allow	O
in-game	B-Application
items	I-Application
to	O
be	O
priced	O
according	O
to	O
supply	O
and	O
demand	O
rather	O
than	O
by	O
the	O
developer	O
's	O
estimate	O
of	O
the	O
item	O
's	O
utility	O
.	O
</s>
<s>
In	O
classical	O
synthetic	B-Application
economies	I-Application
,	O
these	O
goods	O
were	O
charged	O
only	O
for	O
in-game	B-Application
currencies	I-Application
.	O
</s>
<s>
The	O
release	O
of	O
Blizzard	O
Entertainment	O
's	O
World	B-Protocol
of	I-Protocol
Warcraft	I-Protocol
in	O
2004	O
and	O
its	O
subsequent	O
huge	O
success	O
across	O
the	O
globe	O
has	O
forced	O
both	O
MMORPGs	B-Protocol
and	O
their	O
secondary	O
markets	O
into	O
mainstream	O
consciousness	O
,	O
and	O
many	O
new	O
market	O
places	O
have	O
opened	O
up	O
during	O
this	O
time	O
.	O
</s>
<s>
A	O
search	O
for	O
WoW	B-Protocol
Gold	O
on	O
Google	O
will	O
show	O
a	O
multitude	O
of	O
sites	O
(	O
more	O
than	O
90	O
sponsored	O
results	O
)	O
from	O
which	O
Gold	O
can	O
be	O
purchased	O
.	O
</s>
<s>
In	O
2001	O
,	O
EverQuest	B-Protocol
players	O
Brock	O
Pierce	O
and	O
Alan	O
Debonneville	O
founded	O
Internet	B-Application
Gaming	I-Application
Entertainment	O
Ltd	O
(	O
IGE	O
)	O
,	O
a	O
company	O
that	O
offered	O
not	O
only	O
the	O
virtual	O
commodities	O
in	O
exchange	O
for	O
real	O
money	O
but	O
also	O
provided	O
professional	O
customer	O
service	O
.	O
</s>
<s>
It	O
also	O
took	O
advantage	O
of	O
the	O
global	O
reach	O
of	O
synthetic	B-Application
worlds	I-Application
by	O
setting	O
up	O
a	O
shop	O
in	O
Hong	O
Kong	O
where	O
a	O
small	O
army	O
of	O
technically	O
savvy	O
but	O
low	O
wage	O
workers	O
could	O
field	O
orders	O
,	O
load	O
up	O
avatars	B-Application
,	O
retrieve	O
store	O
goods	O
and	O
deliver	O
them	O
wherever	O
necessary	O
.	O
</s>
<s>
Some	O
of	O
these	O
companies	O
sell	O
multiple	O
virtual	B-General_Concept
goods	I-General_Concept
for	O
multiple	O
games	O
,	O
and	O
others	O
sell	O
services	O
for	O
single	O
games	O
.	O
</s>
<s>
Dugger	O
represents	O
a	O
group	O
of	O
gamers	O
that	O
are	O
not	O
in	O
the	O
market	O
for	O
a	O
real	O
house	O
but	O
instead	O
to	O
own	O
a	O
small	O
piece	O
of	O
the	O
vast	O
computer	O
database	O
that	O
was	O
Ultima	B-Protocol
Online	I-Protocol
,	O
the	O
mythical	O
world	O
in	O
which	O
the	O
venerable	O
MMO	B-Application
Ultima	B-Protocol
Online	I-Protocol
unfolds	O
.	O
</s>
<s>
Such	O
trading	O
of	O
real	O
money	O
for	O
virtual	B-General_Concept
goods	I-General_Concept
simply	O
represents	O
the	O
development	O
of	O
virtual	B-Application
economies	I-Application
where	O
people	O
come	O
together	O
where	O
the	O
real	O
and	O
the	O
synthetic	B-Application
worlds	I-Application
are	O
meeting	O
within	O
an	O
economic	O
sphere	O
.	O
</s>
<s>
In	O
spite	O
of	O
numerous	O
famed	O
examples	O
of	O
the	O
economic	O
growth	O
of	O
Second	B-Application
Life	I-Application
,	O
an	O
amateur	O
analyst	O
in	O
2008	O
estimated	O
the	O
income	O
inequity	O
in	O
Second	B-Application
Life	I-Application
's	O
economy	O
as	O
worse	O
than	O
has	O
ever	O
been	O
recorded	O
in	O
any	O
real	O
economy	O
:	O
a	O
Gini	O
coefficient	O
of	O
90.2	O
,	O
a	O
Hoover	O
index	O
of	O
77.8	O
,	O
and	O
a	O
Theil	O
index	O
of	O
91%	O
.	O
</s>
<s>
However	O
,	O
the	O
application	O
of	O
these	O
economic	O
measures	O
to	O
a	O
virtual	B-Application
world	I-Application
may	O
be	O
inappropriate	O
where	O
poverty	O
is	O
merely	O
virtual	O
and	O
there	B-Application
is	O
a	O
direct	O
relationship	O
between	O
in-game	B-Application
wealth	O
and	O
time	O
spent	O
playing	O
.	O
</s>
<s>
The	O
global	O
secondary	O
market	O
-	O
defined	O
as	O
real	B-Application
money	I-Application
trading	I-Application
between	O
players	O
-	O
turnover	O
was	O
estimated	O
at	O
880	O
million	O
dollars	O
in	O
2005	O
by	O
the	O
president	O
of	O
the	O
,	O
at	O
the	O
time	O
,	O
market	O
leading	O
company	O
IGE	O
.	O
</s>
<s>
Before	O
that	O
,	O
in	O
2004	O
,	O
the	O
American	O
economist	O
Edward	O
Castronova	O
had	O
estimated	O
the	O
turnover	O
at	O
over	O
100	O
million	O
dollars	O
based	O
solely	O
on	O
sales	O
figures	O
from	O
the	O
two	O
auction	O
sites	O
eBay	B-Application
and	O
the	O
Korean	O
itemBay	O
.	O
</s>
<s>
However	O
,	O
the	O
secondary	O
market	O
is	O
unlikely	O
to	O
have	O
followed	O
the	O
growth	O
of	O
the	O
primary	O
market	O
since	O
2007	O
seeing	O
as	O
game	O
companies	O
have	O
become	O
better	O
at	O
monetizing	O
on	O
their	O
games	O
with	O
microtransactions	O
and	O
many	O
popular	O
games	O
such	O
as	O
World	B-Protocol
of	I-Protocol
Warcraft	I-Protocol
are	O
sporting	O
increased	O
measures	O
against	O
player	O
to	O
player	O
real	B-Application
money	I-Application
trading	I-Application
.	O
</s>
<s>
For	O
example	O
,	O
South	O
Korea	O
is	O
estimated	O
to	O
have	O
the	O
biggest	O
share	O
of	O
the	O
global	O
real	B-Application
money	I-Application
trading	I-Application
market	O
and	O
it	O
has	O
there	B-Application
become	O
an	O
officially	O
acknowledged	O
and	O
taxable	O
part	O
of	O
the	O
economy	O
.	O
</s>
<s>
As	O
for	O
an	O
actual	O
economic	O
model	O
,	O
secondary	O
market	O
turnover	O
in	O
popular	O
player	O
vs	O
player	O
oriented	O
MMORPGs	B-Protocol
without	O
trade	O
restrictions	O
such	O
as	O
Runescape	B-Protocol
,	O
EVE	B-Protocol
Online	I-Protocol
and	O
Ultima	B-Protocol
Online	I-Protocol
has	O
been	O
estimated	O
at	O
around	O
1.1	O
dollar	O
per	O
concurrent	O
player	O
and	O
day	O
.	O
</s>
<s>
No	O
model	O
for	O
more	O
regulated	O
MMORPGs	B-Protocol
such	O
as	O
World	B-Protocol
of	I-Protocol
Warcraft	I-Protocol
has	O
been	O
suggested	O
.	O
</s>
<s>
Many	O
games	O
,	O
both	O
online	O
and	O
off	O
,	O
use	O
a	O
common	O
or	O
standard	O
type	O
of	O
currency	O
that	O
can	O
only	O
be	O
earned	O
in-game	B-Application
and	O
used	O
to	O
spend	O
on	O
in-game	B-Application
items	I-Application
that	O
cannot	O
be	O
traded	O
with	O
other	O
players	O
or	O
converted	O
to	O
real-world	O
funds	O
by	O
means	O
provided	O
by	O
the	O
developer	O
;	O
for	O
example	O
,	O
by	O
completing	O
quests	O
in	O
World	B-Protocol
of	I-Protocol
Warcraft	I-Protocol
,	O
players	O
earn	O
gold	O
pieces	O
that	O
are	O
used	O
to	O
purchase	O
new	O
gear	O
.	O
</s>
<s>
Many	O
online	B-Application
games	I-Application
,	O
particularly	O
those	O
that	O
use	O
the	O
freemium	O
model	O
,	O
offer	O
at	O
least	O
one	O
additional	O
form	O
of	O
currency	O
beyond	O
its	O
standard	O
one	O
,	O
called	O
premium	B-Application
currency	I-Application
.	O
</s>
<s>
Premium	B-Application
currency	I-Application
cannot	O
typically	O
be	O
earned	O
in-game	B-Application
like	O
common	O
currency	O
but	O
instead	O
by	O
purchasing	O
the	O
premium	B-Application
currency	I-Application
using	O
real-world	O
funds	O
.	O
</s>
<s>
Premium	B-Application
currency	I-Application
typically	O
is	O
limited	O
to	O
purchase	O
time-limited	O
virtual	B-General_Concept
goods	I-General_Concept
,	O
access	O
to	O
new	O
characters	O
or	O
levels	O
,	O
large	O
quantities	O
of	O
standard	O
in-game	B-Application
currency	I-Application
,	O
temporary	O
boosts	O
to	O
the	O
player-character	O
'	O
s	O
experience	O
growth	O
,	O
or	O
other	O
goods	O
that	O
cannot	O
be	O
acquired	O
with	O
the	O
common	O
in-game	B-Application
currency	I-Application
.	O
</s>
<s>
Once	O
premium	B-Application
currency	I-Application
is	O
purchased	O
,	O
it	O
is	O
rare	O
for	O
players	O
to	O
be	O
able	O
to	O
revert	O
the	O
premium	B-Application
currency	I-Application
,	O
or	O
the	O
goods	O
purchased	O
with	O
it	O
,	O
back	O
into	O
real-world	O
funds	O
without	O
selling	O
it	O
to	O
other	O
players	O
through	O
3rd-party	O
websites	O
,	O
making	O
it	O
a	O
"	O
one-way	O
currency	O
"	O
.	O
</s>
<s>
Most	O
commonly	O
,	O
premium	B-Application
currency	I-Application
must	O
be	O
purchased	O
through	O
microtransactions	O
in	O
bundles	O
of	O
fixed	O
sizes	O
with	O
discounts	O
for	O
larger	O
purchases	O
,	O
and	O
do	O
not	O
allow	O
players	O
to	O
purchase	O
exactly	O
the	O
amount	O
of	O
premium	B-Application
currency	I-Application
they	O
need	O
for	O
a	O
virtual	B-General_Concept
good	I-General_Concept
.	O
</s>
<s>
This	O
practice	O
tends	O
to	O
encourage	O
the	O
player	O
to	O
buy	O
additional	O
bundles	O
as	O
to	O
minimize	O
their	O
leftover	O
premium	B-Application
currency	I-Application
,	O
a	O
favorable	O
practice	O
for	O
the	O
publisher	O
.	O
</s>
<s>
Some	O
membership-based	O
MMORPGs	B-Protocol
take	O
advantage	O
of	O
the	O
population	O
of	O
players	O
who	O
wish	O
to	O
buy	O
in-game	B-Application
items	I-Application
with	O
real	O
money	O
through	O
in-game	B-Application
items	I-Application
that	O
can	O
only	O
be	O
generated	O
by	O
buying	O
them	O
from	O
the	O
developer	O
,	O
which	O
can	O
then	O
be	O
redeemed	O
for	O
membership	O
status	O
or	O
traded	O
with	O
other	O
players	O
for	O
items	O
such	O
as	O
in-game	B-Application
currency	I-Application
.	O
</s>
<s>
This	O
also	O
allows	O
for	O
games	O
to	O
maintain	O
larger	O
audiences	O
of	O
high-level	O
players	O
as	O
they	O
have	O
the	O
resources	O
to	O
buy	O
membership	O
with	O
in-game	B-Application
gold	O
from	O
people	O
who	O
purchase	O
and	O
trade	O
these	O
items	O
for	O
gold	O
.	O
</s>
<s>
This	O
also	O
allows	O
for	O
an	O
official	O
conversion	O
rate	O
of	O
in-game	B-Application
currency	I-Application
to	O
real	O
world	O
currency	O
to	O
be	O
established	O
,	O
though	O
many	O
3rd-party	O
item	O
sellers	O
will	O
work	O
to	O
obtain	O
the	O
in-game	B-Application
currency	I-Application
needed	O
to	O
buy	O
the	O
membership	O
items	O
and	O
sell	O
them	O
on	O
3rd-party	O
markets	O
at	O
a	O
lower	O
real-world	O
price	O
than	O
the	O
official	O
conversion	O
rate	O
.	O
</s>
<s>
Many	O
games	O
who	O
implement	O
this	O
monetization	O
model	O
often	O
strictly	O
prohibit	O
3rd-party	O
real	B-Application
world	I-Application
trading	I-Application
and	O
ban	O
players	O
who	O
do	O
so	O
.	O
</s>
<s>
Some	O
examples	O
of	O
this	O
form	O
of	O
monetization	O
include	O
Runescape	B-Protocol
's	O
bonds	O
and	O
World	B-Protocol
of	I-Protocol
Warcraft	I-Protocol
's	O
WoW	B-Protocol
Tokens	O
.	O
</s>
<s>
Team	B-Application
Fortress	I-Application
2	I-Application
,	O
a	O
team-based	O
online	O
FPS	O
released	O
by	O
Valve	O
in	O
2007	O
,	O
is	O
a	O
hero	O
shooter	O
,	O
where	O
players	O
selected	O
from	O
one	O
of	O
several	O
created	O
characters	O
to	O
control	O
.	O
</s>
<s>
In	O
2009	O
,	O
Valve	O
introduced	O
hats	O
,	O
virtual	B-General_Concept
goods	I-General_Concept
that	O
could	O
be	O
used	O
to	O
customize	O
the	O
character	O
models	O
.	O
</s>
<s>
Hats	O
could	O
be	O
earned	O
by	O
players	O
by	O
accumulating	O
in-game	B-Application
material	O
drops	O
and	O
then	O
used	O
to	O
synthesize	O
the	O
hat	O
,	O
or	O
later	O
could	O
be	O
purchased	O
directly	O
using	O
real-world	O
currency	O
through	O
the	O
game	O
's	O
storefront	O
.	O
</s>
<s>
Valve	O
also	O
expanded	O
this	O
customization	O
beyond	O
hats	O
to	O
include	O
weapons	O
,	O
weapon	O
"	O
skins	O
"	O
which	O
change	O
the	O
appearance	O
of	O
the	O
weapon	O
,	O
and	O
similar	O
means	O
to	O
customize	O
the	O
selected	O
character	O
avatar	B-Application
.	O
</s>
<s>
In	O
addition	O
,	O
through	O
Valve	O
's	O
digital	O
storefront	O
Steam	B-Application
,	O
players	O
could	O
trade	O
these	O
items	O
,	O
sell	O
them	O
in	O
exchange	O
for	O
monetary	O
credits	O
which	O
could	O
only	O
be	O
used	O
on	O
Steam	B-Application
(	O
from	O
which	O
Valve	O
would	O
take	O
a	O
cut	O
of	O
the	O
sale	O
)	O
,	O
or	O
receive	O
them	O
in	O
promotions	O
with	O
other	O
publishers	O
of	O
products	O
they	O
owned	O
.	O
</s>
<s>
This	O
created	O
a	O
virtual	B-Application
economy	I-Application
around	O
the	O
game	O
,	O
as	O
certain	O
customization	O
items	O
carried	O
status	O
and	O
recognition	O
,	O
giving	O
them	O
a	O
perceived	O
social	O
value	O
status	O
.	O
</s>
<s>
This	O
created	O
a	O
virtual	B-Application
economy	I-Application
around	O
items	O
in	O
the	O
game	O
,	O
as	O
some	O
rare	O
items	O
,	O
known	O
as	O
"	O
unusuals	O
"	O
by	O
the	O
game	O
community	O
due	O
to	O
various	O
special	O
effects	O
applied	O
,	O
and	O
are	O
seen	O
as	O
having	O
high	O
social	O
value	O
,	O
had	O
traded	O
for	O
as	O
high	O
as	O
,	O
and	O
because	O
of	O
the	O
active	O
trading	O
that	O
incorporated	O
real-world	O
money	O
,	O
Valve	O
hired	O
economist	O
Yanis	O
Varoufakis	O
to	O
help	O
manage	O
this	O
.	O
</s>
<s>
Valve	O
followed	O
the	O
same	O
pattern	O
with	O
its	O
next	O
major	O
game	O
,	O
Counter-Strike	B-Application
:	I-Application
Global	I-Application
Offensive	I-Application
,	O
where	O
players	O
could	O
earn	O
crates	O
in-game	B-Application
that	O
could	O
be	O
unlocked	O
with	O
keys	O
purchased	O
through	O
real-world	O
funds	O
to	O
obtain	O
weapon	O
skins	O
that	O
were	O
doled	O
out	O
based	O
on	O
a	O
rarity	O
scale	O
,	O
a	O
practice	O
they	O
had	O
started	O
in	O
Team	B-Application
Fortress	I-Application
2	I-Application
.	O
</s>
<s>
As	O
with	O
Team	B-Application
Fortress	I-Application
2	I-Application
skins	O
,	O
these	O
Counter-Strike	O
skins	O
gained	O
value	O
as	O
status	O
symbols	O
among	O
players	O
coupled	O
with	O
the	O
rarity	O
of	O
certain	O
skins	O
,	O
and	O
became	O
highly	O
valued	O
,	O
and	O
was	O
considered	O
to	O
help	O
boost	O
the	O
popularity	O
of	O
the	O
game	O
.	O
</s>
<s>
However	O
,	O
as	O
Counter-Strike	O
gained	O
favor	O
as	O
an	O
esport	O
,	O
these	O
skins	O
became	O
part	O
of	O
a	O
larger	O
skin	O
gambling	O
scheme	O
,	O
where	O
grey	O
market	O
websites	O
,	O
integrated	O
with	O
Steam	B-Application
's	O
features	O
,	O
could	O
allow	O
players	O
to	O
use	O
skins	O
to	O
gamble	O
on	O
the	O
results	O
of	O
Counter-Strike	O
esport	O
events	O
,	O
and	O
later	O
just	O
using	O
skins	O
to	O
play	O
games	O
of	O
chance	O
,	O
sometimes	O
skirting	O
many	O
gambling	O
restrictions	O
that	O
virtual	O
and	O
real	O
world	O
casinos	O
are	O
subject	O
to	O
.	O
</s>
<s>
While	O
some	O
of	O
these	O
websites	O
were	O
taken	O
off	O
line	O
for	O
various	O
reasons	O
,	O
Valve	O
was	O
pressured	O
to	O
prevent	O
abuse	O
of	O
the	O
skin	O
trading	O
systems	O
on	O
Steam	B-Application
.	O
</s>
<s>
Many	O
games	O
on	O
Valve	O
's	O
video	O
game	O
marketplace	O
Steam	B-Application
would	O
implement	O
this	O
form	O
of	O
trading	O
in	O
their	O
games	O
,	O
monetizing	O
it	O
by	O
taking	O
a	O
cut	O
of	O
sales	O
revenue	O
from	O
these	O
items	O
,	O
with	O
Valve	O
also	O
doing	O
the	O
same	O
.	O
</s>
<s>
Such	O
games	O
offer	O
the	O
means	O
for	O
players	O
to	O
acquire	O
in-game	B-Application
resources	O
which	O
players	O
may	O
then	O
sell	O
or	O
trade	O
with	O
other	O
players	O
,	O
craft	O
into	O
gear	O
which	O
can	O
be	O
sell	O
or	O
traded	O
,	O
and	O
otherwise	O
create	O
an	O
virtual	O
marketplace	O
within	O
the	O
game	O
above	O
and	O
beyond	O
in-game	B-Application
stores	O
established	O
by	O
the	O
developer	O
.	O
</s>
<s>
This	O
economy	O
may	O
also	O
mix	O
with	O
real-world	O
currency	O
,	O
with	O
players	O
trading	O
in-game	B-Application
items	I-Application
through	O
external	O
websites	O
to	O
the	O
game	O
.	O
</s>
<s>
EVE	B-Protocol
Online	I-Protocol
is	O
a	O
prime	O
example	O
of	O
online	B-Application
game	I-Application
with	O
a	O
vast	O
player-driven	O
economy	O
that	O
,	O
in	O
2014	O
,	O
was	O
estimated	O
to	O
have	O
a	O
total	O
virtual	O
value	O
of	O
based	O
on	O
the	O
trading	O
of	O
the	O
in-game	B-Application
currency	I-Application
.	O
</s>
<s>
Player-driven	O
economies	O
have	O
led	O
to	O
immaterial	O
labor	O
activities	O
,	O
such	O
as	O
gold	B-Protocol
farming	I-Protocol
in	O
World	B-Protocol
of	I-Protocol
Warcraft	I-Protocol
,	O
where	O
some	O
players	O
are	O
paid	O
in	O
real-world	O
funds	O
to	O
spend	O
the	O
time	O
to	O
acquire	O
in-game	B-Application
wealth	O
for	O
other	O
players	O
.	O
</s>
<s>
However	O
,	O
there	B-Application
are	O
significant	O
legal	O
and	O
practical	O
challenges	O
to	O
the	O
taxation	O
of	O
income	O
from	O
the	O
sale	O
of	O
virtual	O
property	O
.	O
</s>
<s>
In	O
addition	O
to	O
taxing	O
income	O
from	O
transactions	O
involving	O
real	O
currency	O
or	O
assets	O
,	O
there	B-Application
has	O
been	O
considerable	O
discussion	O
involving	O
the	O
taxation	O
of	O
transactions	O
that	O
take	O
place	O
entirely	O
within	O
a	O
virtual	B-Application
economy	I-Application
.	O
</s>
<s>
Theoretically	O
,	O
virtual	B-Application
world	I-Application
transactions	O
could	O
be	O
treated	O
as	O
a	O
form	O
of	O
barter	O
,	O
thus	O
generating	O
taxable	O
income	O
.	O
</s>
<s>
However	O
,	O
for	O
policy	O
reasons	O
,	O
many	O
commentators	O
support	O
some	O
form	O
of	O
a	O
"	O
cash	O
out	O
"	O
rule	O
that	O
would	O
prevent	O
in-game	B-Application
transactions	O
from	O
generating	O
tax	O
liabilities	O
.	O
</s>
<s>
The	O
IRS	O
had	O
included	O
in-game	B-Application
currency	I-Application
as	O
taxable	O
property	O
in	O
forms	O
for	O
calendar	O
year	O
2019	O
reporting	O
,	O
but	O
subsequently	O
removed	O
mention	O
of	O
them	O
after	O
complaints	O
were	O
filed	O
about	O
their	O
inclusion	O
.	O
</s>
<s>
As	O
with	O
the	O
above	O
skin	O
gambling	O
concerns	O
,	O
conversion	O
between	O
in-game	B-Application
and	O
real-world	O
currency	O
has	O
led	O
to	O
direct	O
comparisons	O
with	O
other	O
online	B-Application
games	I-Application
of	O
chance	O
as	O
'	O
virtual	O
winnings	O
 '	O
.	O
</s>
<s>
During	O
an	O
interview	O
with	O
Virtual	B-Application
World	I-Application
News	O
,	O
Alex	O
Chapman	O
of	O
the	O
British	O
law	O
firm	O
Campbell	O
Hooper	O
stated	O
:	O
"	O
Now	O
we	O
've	O
spoken	O
with	O
the	O
gambling	O
commission	O
,	O
and	O
they	O
've	O
said	O
that	O
MMOGs	B-Application
are	O
n't	O
the	O
reason	O
for	O
the	O
,	O
but	O
they	O
wo	O
n't	O
say	O
outright	O
,	O
and	O
we	O
've	O
asked	O
directly	O
,	O
that	O
they	O
wo	O
n't	O
be	O
covered	O
.	O
</s>
<s>
He	O
suggested	O
that	O
compliance	O
might	O
require	O
MMOGs	B-Application
and	O
related	O
traders	O
to	O
obtain	O
a	O
gambling	O
license	O
,	O
which	O
is	O
not	O
excessively	O
difficult	O
in	O
the	O
EU	O
.	O
</s>
<s>
When	O
queried	O
about	O
games	O
where	O
real-world	O
transactions	O
for	O
in-game	B-Application
assets	O
are	O
not	O
permitted	O
,	O
but	O
there	B-Application
is	O
an	O
'	O
unofficial	O
secondary	O
market	O
 '	O
,	O
Chapman	O
responded	O
:	O
"	O
Ultimately	O
the	O
point	O
is	O
whether	O
the	O
thing	O
that	O
you	O
win	O
has	O
value	O
in	O
money	O
or	O
money	O
's	O
worth	O
.	O
</s>
<s>
Monetary	O
issues	O
can	O
give	O
a	O
virtual	B-Application
world	I-Application
problems	O
similar	O
to	O
those	O
in	O
the	O
real	O
world	O
.	O
</s>
<s>
Other	O
similar	O
problems	O
arise	O
in	O
other	O
virtual	B-Application
economies	I-Application
.	O
</s>
<s>
In	O
the	O
game	O
The	B-Application
Sims	I-Application
Online	I-Application
,	O
a	O
17-year-old	O
boy	O
going	O
by	O
the	O
in-game	B-Application
name	O
"	O
Evangeline	O
"	O
was	O
discovered	O
to	O
have	O
built	O
a	O
cyber-brothel	O
,	O
where	O
customers	O
would	O
pay	O
sim-money	O
for	O
minutes	O
of	O
cybersex	O
.	O
</s>
<s>
A	O
2007	O
virtual	O
heist	O
has	O
led	O
to	O
calls	O
from	O
some	O
community	O
members	O
in	O
Second	B-Application
Life	I-Application
to	O
bring	O
in	O
external	O
regulation	O
of	O
these	O
markets	O
:	O
"	O
In	O
late	O
July	O
,	O
a	O
perpetrator	O
with	O
privileged	O
information	O
cracked	O
a	O
stock	O
exchange	O
's	O
computers	O
,	O
made	O
false	O
deposits	O
,	O
then	O
ran	O
off	O
with	O
what	O
appears	O
to	O
be	O
the	O
equivalent	O
of	O
US$10	O
,	O
000	O
,	O
disappearing	O
into	O
thin	O
air	O
.	O
</s>
<s>
In	O
EVE	B-Protocol
Online	I-Protocol
however	O
,	O
theft	O
and	O
scamming	O
other	O
players	O
is	O
perfectly	O
allowed	O
within	O
the	O
game	O
's	O
framework	O
as	O
long	O
as	O
no	O
real	B-Application
world	I-Application
trading	I-Application
is	O
committed	O
.	O
</s>
<s>
Players	O
are	O
allowed	O
to	O
loot	O
all	O
items	O
from	O
fallen	O
victims	O
in	O
battle	O
,	O
but	O
there	B-Application
is	O
a	O
disincentive	O
in	O
the	O
form	O
of	O
NPC	O
police	O
intervention	O
in	O
higher-security	O
space	O
.	O
</s>
<s>
Many	O
MMORPGs	B-Protocol
such	O
as	O
RuneScape	B-Protocol
,	O
World	B-Protocol
of	I-Protocol
Warcraft	I-Protocol
,	O
Guild	B-Application
Wars	I-Application
,	O
Warhammer	B-Protocol
Online	I-Protocol
,	O
Lord	B-Protocol
of	I-Protocol
the	I-Protocol
Rings	I-Protocol
Online	I-Protocol
and	O
Final	B-Protocol
Fantasy	I-Protocol
XI	I-Protocol
strictly	O
prohibit	O
buying	O
gold	O
,	O
items	O
,	O
or	O
any	O
other	O
product	O
linked	O
with	O
the	O
game	O
,	O
with	O
real	O
world	O
cash	O
.	O
</s>
<s>
RuneScape	B-Protocol
went	O
as	O
far	O
as	O
making	O
this	O
practice	O
impossible	O
after	O
being	O
threatened	O
by	O
credit	O
card	O
companies	O
when	O
their	O
customers	O
who	O
bought	O
gold	O
had	O
their	O
credit	O
cards	O
stolen	O
to	O
be	O
used	O
for	O
bot	O
accounts	O
to	O
farm	O
even	O
more	O
gold	O
by	O
criminal	O
traders	O
.	O
</s>
<s>
Final	B-Protocol
Fantasy	I-Protocol
XI	I-Protocol
and	O
Warhammer	B-Protocol
Online	I-Protocol
both	O
have	O
entire	O
task	O
forces	O
dedicated	O
to	O
the	O
removal	O
of	O
real	B-Application
money	I-Application
trading	I-Application
from	O
the	O
game	O
.	O
</s>
<s>
To	O
control	O
real	B-Application
money	I-Application
trading	I-Application
,	O
EVE	B-Protocol
Online	I-Protocol
created	O
an	O
official	O
and	O
sanctioned	O
method	O
to	O
convert	O
real	O
world	O
cash	O
to	O
in-game	B-Application
currency	I-Application
;	O
players	O
can	O
use	O
real	O
world	O
money	O
to	O
buy	O
a	O
specific	O
in-game	B-Application
item	I-Application
which	O
can	O
be	O
redeemed	O
for	O
account	O
subscription	O
time	O
or	O
traded	O
on	O
the	O
in-game	B-Application
market	O
for	O
in-game	B-Application
currency	I-Application
.	O
</s>
<s>
With	O
the	O
proper	O
balance	O
of	O
growth	O
in	O
player	O
base	O
,	O
currency	O
sources	O
,	O
and	O
sinks	O
,	O
a	O
virtual	B-Application
economy	I-Application
could	O
remain	O
stable	O
indefinitely	O
.	O
</s>
<s>
Gold	B-Protocol
farming	I-Protocol
creates	O
resources	O
within	O
the	O
game	O
more	O
rapidly	O
than	O
usual	O
,	O
exacerbating	O
inflation	O
.	O
</s>
<s>
In	O
extreme	O
cases	O
,	O
a	O
cracker	B-Application
may	O
be	O
able	O
to	O
exploit	O
the	O
system	O
and	O
create	O
a	O
large	O
amount	O
of	O
money	O
.	O
</s>
<s>
This	O
difficult	O
task	O
is	O
a	O
serious	O
issue	O
for	O
serious	O
MMORPG	B-Protocol
's	O
,	O
that	O
often	O
have	O
to	O
cope	O
with	O
mudflation	O
.	O
</s>
<s>
A	O
non-fungible	O
token	O
(	O
NFT	O
)	O
is	O
a	O
unit	O
of	O
data	O
on	O
a	O
digital	O
ledger	B-Language
called	O
a	O
blockchain	B-Application
,	O
where	O
each	O
NFT	O
can	O
represent	O
a	O
unique	O
digital	B-General_Concept
item	I-General_Concept
,	O
and	O
thus	O
they	O
are	O
not	O
interchangeable	O
.	O
</s>
<s>
While	O
the	O
digital	O
files	O
themselves	O
are	O
infinitely	O
reproducible	O
,	O
the	O
NFTs	O
representing	O
them	O
are	O
tracked	O
on	O
their	O
underlying	O
blockchains	B-Application
and	O
provide	O
buyers	O
with	O
proof	O
of	O
ownership	O
.	O
</s>
<s>
Blockchains	B-Application
such	O
as	O
Ethereum	B-Application
,	O
WAXP	O
,	O
Bitcoin	B-Protocol
Cash	I-Protocol
and	O
Flow	O
each	O
have	O
their	O
own	O
token	O
standards	O
to	O
define	O
their	O
use	O
of	O
NFTs	O
.	O
</s>
<s>
NFTs	O
can	O
also	O
be	O
used	O
to	O
represent	O
in-game	B-Application
assets	O
which	O
are	O
controlled	O
by	O
the	O
user	O
instead	O
of	O
the	O
game	O
developer	O
.	O
</s>
<s>
NFTs	O
allow	O
assets	O
to	O
be	O
traded	O
on	O
third-party	O
marketplaces	O
where	O
players	O
of	O
games	O
such	O
as	O
Axie	B-Protocol
Infinity	I-Protocol
or	O
MyCryptoHero	O
can	O
trade	O
their	O
tokenised	O
"	O
Axies	O
"	O
or	O
"	O
Heroes	O
"	O
.	O
</s>
<s>
In	O
these	O
virtual	B-Application
economies	I-Application
,	O
the	O
value	O
of	O
in-game	B-Application
resources	O
is	O
frequently	O
tied	O
to	O
the	O
in-game	B-Application
power	O
they	O
confer	O
upon	O
the	O
owner	O
.	O
</s>
<s>
In	O
this	O
regard	O
,	O
in-game	B-Application
resources	O
are	O
not	O
just	O
tradable	O
objects	O
but	O
can	O
play	O
the	O
role	O
of	O
capital	O
.	O
</s>
<s>
Virtual	B-Application
economies	I-Application
have	O
also	O
been	O
said	O
to	O
exist	O
in	O
the	O
"	O
metagame	O
"	O
worlds	O
of	O
live	O
action	O
role-playing	O
games	O
and	O
collectible	O
card	O
games	O
.	O
</s>
<s>
Other	O
"	O
metagame	O
"	O
currencies	O
have	O
cropped	O
up	O
in	O
games	O
such	O
as	O
Everquest	B-Protocol
and	O
World	B-Protocol
of	I-Protocol
Warcraft	I-Protocol
.	O
</s>
<s>
Dragon	B-Protocol
kill	I-Protocol
points	I-Protocol
or	O
DKP	O
are	O
a	O
semi-formal	O
score-keeping	O
system	O
used	O
by	O
guilds	O
in	O
massively	B-Application
multiplayer	I-Application
online	I-Application
games	I-Application
.	O
</s>
<s>
Players	O
in	O
these	O
games	O
are	O
faced	O
with	O
large	O
scale	O
challenges	O
,	O
or	O
raids	B-Protocol
,	O
which	O
may	O
only	O
be	O
surmounted	O
through	O
the	O
concerted	O
effort	O
of	O
dozens	O
of	O
players	O
at	O
a	O
time	O
.	O
</s>
<s>
Dragon	B-Protocol
kill	I-Protocol
points	I-Protocol
are	O
not	O
official	O
currencies	O
,	O
but	O
are	O
created	O
and	O
managed	O
by	O
endgame	O
guilds	O
to	O
manage	O
distributions	O
of	O
rewards	O
in	O
those	O
raids	B-Protocol
.	O
</s>
<s>
Virtual	B-Application
economies	I-Application
represented	O
not	O
only	O
in	O
MMORPG	B-Protocol
genre	O
but	O
also	O
in	O
online	O
business	B-Application
simulation	I-Application
games	I-Application
(	O
Virtonomics	B-Application
,	O
Miniconomy	B-Operating_System
)	O
.	O
</s>
<s>
Simplified	O
economy	O
represented	O
in	O
almost	O
all	O
real-time	O
strategies	O
(	O
StarCraft	B-Application
II	I-Application
:	I-Application
Heart	I-Application
of	I-Application
the	I-Application
Swarm	I-Application
,	O
Command	B-Application
&	I-Application
Conquer	I-Application
:	I-Application
Red	I-Application
Alert	I-Application
2	I-Application
)	O
in	O
a	O
form	O
of	O
gathering	O
and	O
spending	O
resources	O
.	O
</s>
<s>
Diablo	B-Application
III	I-Application
has	O
its	O
virtual	B-Application
economy	I-Application
as	O
well	O
which	O
is	O
represented	O
by	O
online	B-Application
game	I-Application
auction	O
.	O
</s>
<s>
On	O
a	O
number	O
of	O
discussion	O
and	O
networking	O
sites	O
,	O
such	O
as	O
Slashdot	O
,	O
Reddit	B-Application
,	O
care2	B-Protocol
and	O
Yahoo	O
!	O
</s>
<s>
A	O
game	O
's	O
synthetic	B-Application
economy	I-Application
often	O
results	O
in	O
interaction	O
with	O
a	O
"	O
real	O
"	O
economy	O
;	O
characters	O
,	O
currency	O
,	O
and	O
items	O
may	O
be	O
sold	O
and	O
bought	O
on	O
online	O
auction	O
websites	O
or	O
purchased	O
from	O
standalone	O
webshops	O
.	O
</s>
<s>
Since	O
January	O
2007	O
users	O
are	O
no	O
longer	O
allowed	O
to	O
sell	O
virtual	B-General_Concept
goods	I-General_Concept
of	O
online	B-Application
games	I-Application
on	O
eBay	B-Application
due	O
to	O
the	O
ambiguous	O
legal	O
status	O
of	O
real	B-Application
world	I-Application
trading	I-Application
.	O
</s>
<s>
While	O
many	O
game	O
developers	O
,	O
such	O
as	O
Blizzard	O
(	O
creator	O
of	O
World	B-Protocol
of	I-Protocol
Warcraft	I-Protocol
)	O
,	O
prohibit	O
the	O
practice	O
,	O
it	O
is	O
common	O
that	O
goods	O
and	O
services	O
within	O
virtual	B-Application
economies	I-Application
will	O
be	O
sold	O
on	O
online	O
auction	O
sites	O
and	O
traded	O
for	O
real	O
currencies	O
.	O
</s>
<s>
According	O
to	O
standard	O
conceptions	O
of	O
economic	O
value	O
(	O
see	O
the	O
subjective	O
theory	O
of	O
value	O
)	O
,	O
the	O
goods	O
and	O
services	O
of	O
virtual	B-Application
economies	I-Application
do	O
have	O
a	O
demonstrable	O
value	O
.	O
</s>
<s>
One	O
example	O
is	O
Runescape	B-Protocol
's	O
gold	O
coins	O
,	O
which	O
is	O
more	O
valuable	O
and	O
stable	O
alternative	O
to	O
the	O
Venezuelan	O
Bolívar	O
,	O
with	O
many	O
Venezuelan	O
's	O
turning	O
to	O
selling	O
Runescape	B-Protocol
gold	O
to	O
make	O
a	O
living	O
.	O
</s>
<s>
Ongoing	O
campaign	O
by	O
WoW	B-Protocol
fan	O
sites	O
to	O
boycott	O
gold	O
ads	O
on	O
their	O
sites	O
is	O
just	O
one	O
of	O
several	O
community	O
efforts	O
to	O
raise	O
awareness	O
against	O
crackers	B-Application
.	O
</s>
<s>
On	O
August	O
1	O
,	O
2011	O
,	O
Blizzard	O
Entertainment	O
announced	O
that	O
their	O
forthcoming	O
MMORPG	B-Protocol
,	O
Diablo	B-Application
III	I-Application
,	O
will	O
include	O
a	O
currency-based	O
auction	O
house	O
,	O
wherein	O
players	O
will	O
be	O
able	O
to	O
buy	O
and	O
sell	O
in-game	B-Application
items	I-Application
for	O
real	O
money	O
.	O
</s>
<s>
An	O
undisclosed	O
fee	O
structure	O
including	O
listing	O
fees	O
,	O
sale	O
fees	O
,	O
and	O
cash-out	O
fees	O
will	O
accompany	O
the	O
Auction	O
House	O
at	O
launch	O
,	O
and	O
all	O
transactions	O
will	O
exist	O
within	O
the	O
protected	O
context	O
of	O
Blizzard	O
's	O
MMORPG	B-Protocol
.	O
</s>
<s>
The	O
"	O
Real	O
Money	O
Auction	O
House	O
"	O
(	O
RMAH	O
)	O
,	O
as	O
it	O
is	O
called	O
by	O
the	O
Diablo	B-Application
III	I-Application
fanbase	O
,	O
will	O
exist	O
in	O
the	O
presence	O
of	O
a	O
parallel	O
auction	O
house	O
wherein	O
items	O
are	O
exchanged	O
for	O
gold	O
,	O
the	O
in-game	B-Application
currency	I-Application
.	O
</s>
<s>
Other	O
virtual	B-Application
world	I-Application
developers	O
officially	O
sell	O
virtual	O
items	O
and	O
currency	O
for	O
real-world	O
money	O
.	O
</s>
<s>
For	O
example	O
,	O
the	O
MMOG	B-Application
There	B-Application
has	O
therebucks	O
that	O
sell	O
for	O
US	O
dollars	O
.	O
</s>
<s>
If	O
the	O
currency	O
in	O
Second	B-Application
Life	I-Application
,	O
the	O
Linden	O
Dollars	O
,	O
can	O
be	O
easily	O
acquired	O
with	O
real	O
money	O
,	O
the	O
reverse	O
is	O
done	O
through	O
a	O
market	O
place	O
owned	O
by	O
Linden	O
Lab	O
,	O
but	O
is	O
not	O
guaranteed	O
,	O
as	O
the	O
TOS	O
of	O
linden	O
Lab	O
explicitly	O
says	O
that	O
Linden	O
dollars	O
are	O
not	O
redeemable	O
.	O
</s>
<s>
The	O
currency	O
in	O
Entropia	B-Application
Universe	I-Application
,	O
Project	B-Application
Entropia	I-Application
Dollars	O
(	O
PED	O
)	O
,	O
could	O
be	O
bought	O
and	O
redeemed	O
for	O
real-world	O
money	O
at	O
a	O
rate	O
of	O
10	O
PED	O
for	O
U.S	O
$	O
.	O
</s>
<s>
On	O
December	O
14	O
,	O
2004	O
,	O
an	O
island	O
in	O
Project	B-Application
Entropia	I-Application
sold	O
for	O
U.S.	O
$	O
26,500	O
( £	O
13,700	O
)	O
.	O
</s>
<s>
One	O
gamer	O
also	O
purchased	O
a	O
virtual	B-Application
space	I-Application
station	O
for	O
U.S.	O
$	O
100,000	O
( £	O
56,200	O
)	O
and	O
plans	O
to	O
use	O
it	O
as	O
a	O
virtual	O
nightclub	O
.	O
</s>
<s>
Many	O
Korean	O
virtual	B-Application
worlds	I-Application
(	O
such	O
as	O
Flyff	B-Protocol
)	O
and	O
other	O
worlds	O
outside	O
that	O
country	O
(	O
such	O
as	O
Archlord	B-Application
and	O
Achaea	B-Application
,	I-Application
Dreams	I-Application
of	I-Application
Divine	I-Application
Lands	I-Application
)	O
operate	O
entirely	O
by	O
selling	O
items	O
to	O
players	O
for	O
real	O
money	O
.	O
</s>
<s>
Further	O
and	O
more	O
involved	O
issues	O
revolve	O
around	O
the	O
issue	O
of	O
how	O
(	O
or	O
if	O
)	O
real-money	O
trading	O
subjects	O
the	O
virtual	B-Application
economy	I-Application
to	O
laws	O
relating	O
to	O
the	O
real	O
economy	O
.	O
</s>
<s>
Some	O
argue	O
that	O
to	O
allow	O
in-game	B-Application
items	I-Application
to	O
have	O
monetary	O
values	O
makes	O
these	O
games	O
,	O
essentially	O
,	O
gambling	O
venues	O
,	O
which	O
would	O
be	O
subject	O
to	O
legal	O
regulation	O
as	O
such	O
.	O
</s>
<s>
Another	O
issue	O
is	O
the	O
impact	O
of	O
taxation	O
that	O
may	O
apply	O
if	O
in-game	B-Application
items	I-Application
are	O
seen	O
as	O
having	O
real	O
value	O
.	O
</s>
<s>
Since	O
a	O
developer	O
may	O
change	O
the	O
virtual	B-Application
world	I-Application
any	O
time	O
,	O
ban	O
a	O
player	O
,	O
delete	O
items	O
,	O
or	O
even	O
simply	O
take	O
the	O
world	O
down	O
never	O
to	O
return	O
,	O
the	O
issue	O
of	O
their	O
responsibility	O
in	O
the	O
case	O
where	O
real	O
money	O
investments	O
are	O
lost	O
through	O
items	O
being	O
lost	O
or	O
becoming	O
inaccessible	O
is	O
significant	O
.	O
</s>
<s>
Richard	O
Bartle	O
argued	O
that	O
this	O
aspect	O
negates	O
the	O
whole	O
idea	O
of	O
ownership	O
in	O
virtual	B-Application
worlds	I-Application
,	O
and	O
thus	O
in	O
the	O
absence	O
of	O
real	O
ownership	O
no	O
real	O
trade	O
may	O
occur	O
.	O
</s>
<s>
Some	O
developers	O
have	O
acted	O
deliberately	O
to	O
delete	O
items	O
that	O
have	O
been	O
traded	O
for	O
money	O
,	O
as	O
in	O
Final	B-Protocol
Fantasy	I-Protocol
XI	I-Protocol
,	O
where	O
a	O
task	O
force	O
was	O
set	O
up	O
to	O
delete	O
characters	O
involved	O
in	O
selling	O
in-game	B-Application
currency	I-Application
for	O
real-world	O
money	O
.	O
</s>
<s>
However	O
,	O
Second	B-Application
Life	I-Application
has	O
shown	O
a	O
legal	O
example	O
which	O
may	O
indicate	O
that	O
the	O
developer	O
can	O
be	O
in	O
part	O
held	O
responsible	O
for	O
such	O
losses	O
.	O
</s>
<s>
Second	B-Application
Life	I-Application
at	O
one	O
stage	O
,	O
offered	O
and	O
advertised	O
the	O
ability	O
to	O
"	O
own	O
virtual	O
land	O
"	O
,	O
which	O
was	O
purchased	O
for	O
real	O
money	O
.	O
</s>
<s>
In	O
2007	O
,	O
Marc	O
Bragg	O
,	O
an	O
attorney	O
,	O
was	O
banned	O
from	O
Second	B-Application
Life	I-Application
;	O
in	O
response	O
he	O
sued	O
the	O
developers	O
for	O
thereby	O
depriving	O
him	O
of	O
his	O
land	O
,	O
which	O
he	O
–	O
based	O
on	O
the	O
developers	O
 '	O
own	O
statements	O
–	O
"	O
owned	O
"	O
.	O
</s>
<s>
The	O
lawsuit	O
ended	O
with	O
a	O
settlement	O
in	O
which	O
Bragg	O
was	O
re-admitted	O
to	O
Second	B-Application
Life	I-Application
.	O
</s>
