In 2001, EverQuest players Brock Pierce and Alan Debonneville founded Internet Gaming Entertainment Ltd ( IGE), a company that offered not only the virtual commodities in exchange for real money but also provided professional customer service. Real money commerce in a virtual market has grown to become a multibillion-dollar industry. A search for WoW Gold on Google will show a multitude of sites (more than 90 sponsored results as of June 2006 ) from which Gold can be purchased. The release of Blizzard Entertainment's World of Warcraft in 2004 and its subsequent huge success across the globe has forced both MMORPGs and their secondary markets into mainstream consciousness, and many new market places have opened up during this time. These currencies are often sold for real world profit. In classical synthetic economies, these goods were charged only for in-game currencies. These emergent economies are considered by most players to be an asset of the game, giving an extra dimension of reality to play. Within the virtual worlds they inhabit, synthetic economies allow in-game items to be priced according to supply and demand rather than by the developer's estimate of the item's utility. Therefore, economic theory can often be used to study these virtual worlds. The existence of these conditions create an economic system with properties similar to those seen in contemporary economies. Value added by users: Users may enhance the value of virtual resources by customizing and improving upon the resource.Real-world assets (typically money) may be at stake. Secondary markets: Virtual resources may be created, traded, bought, and sold.The value of a resource varies according to a person's ability to use it for creating or experiencing some effect. Interconnectivity: Resources may affect or be affected by other people and other objects.In some cases, the resource exists for public view even when its owner is not logged into the virtual world. Persistence: Virtual resources persist across user sessions.Rivalry: Possession of a resource is limited to one person or a small number of persons within the virtual world's game mechanics.Note however that it is possible for virtual resources to lack one or more of these characteristics, and they should be interpreted with reasonable flexibility. The following characteristics may be found in virtual resources in mimicry of tangible property. Virtual property is a label that can refer to any resource that is controlled by the powers-that-be, including virtual objects, avatars, or user accounts. Virtual economies can also exist in browser-based Internet games where "real" money can be spent and user-created shops opened, or as a kind of emergent gameplay. This can be seen, for example, in Second Life's recognition of intellectual property rights for assets created "in-world" by subscribers, and its laissez-faire policy on the buying and selling of Linden Dollars (the world's official currency) for real money on third party websites. Virtual economies also exist in life simulation games which may have taken the most radical steps toward linking a virtual economy with the real world. The largest virtual economies are found in MMORPGs.
Virtual economies are observed in MUDs and massively multiplayer online role-playing games (MMORPGs).
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