Chinese government gets an Internet ban right for once

Davey Winder
Tuesday, 30 June 2009 18:41

Business IT - Technology

Is the latest Chinese government Internet ban actually a good thing for a change? Ask most gamers and I reckon the answer would be a resounding yes.

Gold farming in order to buy virtual currency in the real world and then use it to purchase weapons and status within online role-playing games is either a Godsend or a curse, depending upon your view - the Chinese government appears to have taken the latter opinion.

Gold farming is where virtual money is earned by playing a game, but is then sold off for real money (to other players of the game) in the real world. Virtual currency exchanges have been established, and a whole economy built around the process.

Having already declared war on Internet porn and decided to install Internet censoring software called Green Dam on every new computer being sold, the Chinese authorities are now looking to control the virtual world.

A joint statement from the Ministry of Culture and the Ministry of Commerce has determined that virtual currencies cannot be traded in the real world.

The Chinese authorities have stated that "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."

According to reports emerging from China, it appears that trading virtual items within the boundaries of a virtual environment will remain within the law. So those people who have established businesses which create and sell virtual goods within games can sleep soundly.

Some gamers are already rejoicing at the notion of so-called gold farmers being removed from the game playing equation and a return to the concept of how good you are at the game determining how far you advance.

A few are dismayed at having the only option which allows them to compete with the unemployed and professional gamers who spend their entire lives immersed in a single virtual reality fantasy. However, the majority seem to be siding with this Chinese Internet ban for a change.

Whatever your opinion, with around 80 percent of gold farmers currently based in China, the days of this business model would appear to be over. Which is not going to go down too well with those who have been involved the farming business which the Chinese government estimates is worth around USD $146 million per year.