The company behind the popular social games like Farmville and Mafia Wars, as well as Zynga poker, has announced that it’s starting to take bit coin payments for some of its online games. This is great news for people who are speculating in the bit coin crypto currency. As we have reported earlier, bit coin has been already being accepted by overstock and other legitimate websites. This goes a long way in cleaning up bit coins reputation. Moreover, it paves the way for bit coin to become a truly mainstream and acceptable payment alternative.
Why is bit coin so attractive? First of all, it is very hard to track, it is meant to be hard to track. As a result, people who don’t want the government to know that they are making money online would prefer to get paid in bit coin. Also, if you’re buying some stuff online that you shouldn’t be buying like illegal drugs, it makes sense to pay in bit coin because its hard to track and trace. The biggest reason, however, in the eyes of many people is that the bit coins transaction cost is very very minimal compared to Paypal which takes a nasty chunk out of every payment you receive, bit coin transaction fees are almost negligible.
For all these reasons, bit coin is fast gaming as an actual formal payment. It has already made a lot of headlines as a speculative investment because of its recent gains in value. As we have reported earlier, the bit coin used to cost $0.03. Now, it’s hovering around the $1000 per bit coin mark. Not a bad return on investment, right? So this Zynga news is definitely a big deal. Zynga is, of course, trying to recover from a really rough 2013. Its number of users have been going down. Its revenue is kind of being rocky. In other words, Zynga needs some good news. If anything, by releasing this press release, Zynga can enjoy little bit of good news by hitching its wagon to the rising star of bit coin. Still, the real winner here is bit coin. It’s far from a slam dunk if you’re thinking of investing it or if you’re planning on using it. Why? Regulatory agencies all over the world is concerned about bit coins’ anonymous nature.
Of course, the common boogeyman being raised is the threat of terrorism financing. We interpret this really as the fact that they cannot tax bit coin so expect some sort of regulation or at least an attempt to regulate bit coin, however, regulators definitely will have their hands full and may prove to be impossible. After all, bit coin is designed to be untraceable so it’s like trying to catch water with your bare hands. It might be possible but it’s definitely very hard to do.