Valve No Longer Accepting Bitcoin As Payment On Steam
Bad news for Bitcoin fans as Valve announced that they will no longer be accepting the digital currency as payment of game purchases on Steam. The company cited "volatility" in the cryptocurrency's value and high transaction costs as the reason for dropping it from the platform.
In a recent blog post, Valve explained that transfer fees for the digital currency have gone up to nearly $20 per transaction last week, compared to roughly $0.20 when they first enabled the payment system. These fees would then have to be shouldered by gamers who buy their games off Steam.
These fees would even be higher if the value of Bitcoin dips in the meantime. And even if its value increases and Valve refunds the buyer, the transaction fee would still be shouldered by them.
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There's even the scenario, Valve explains, that when either the user or Steam tries to cover the difference in value, the currency's value fluctuates again, causing more problems. All in all, the payment system just causes gamers to pay more for games while at the same time causing more headaches for Valve.
However, all is not lost for those who have been hoarding Bitcoins for a Steam shopping spree. Valve said that it will reconsider this decision to remove the digital currency as a payment option if the currency finds more stability in the future. For now, they just continue cleaning up the mess by working with any customers who are still dealing with underpayments or transaction fees.
The value of Bitcoin skyrocketed over recent weeks with one Bitcoin being worth $13,300 as of this writing. However, the massive fluctuations in price have caused some experts to express their concerns regarding the price spike that could lead to a new bubble with the total value of the cryptocurrency already approaching $200 billion.
Some governments also expressed concern regarding criminals and tax evaders using the anonymity provided by the digital currency to launder money and hide wealth. China, South Korea, Russia, and the EU around the world have taken a sterner look at cryptocurrency and have implemented regulations or even outright bans.
