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Industry News

Facebook virtual currency capable of further expansion

By Lauren Lindberg

15/11/2010 - Facebook Credits, the virtual currency of the social media site used for more than 200 applications, is poised to become a universal online currency, analysts say.

The San Francisco Chronicle reports that Credits could become the currency used by producers of digital content such as news and video. Recently, the list of stores selling Facebook Credit gift cards expanded to include Safeway Stores, Target, Best Buy and Walmart, with Facebook receiving 30 percent of each transaction.

"As Facebook Credits increases in usage, Facebook will begin to look and feel like its own economy," Augie Ray, a senior analyst at Forrester Research, told the news source.

Facebook accepts credit card payments, PayPal accounts and mobile phone accounts for purchase of the online currency with 15 credits costing $1.50. The platform accepts more than 15 currencies.

Electronic Arts recently adopted Facebook Credits as the official virtual currency for their social-gaming portfolio and signed a five-year agreement. EA Interactive senior vice president and general manager, Barry Cottle, saw this as a natural development of online games becoming the most popular Facebook applications category. 

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