Beyond Bitcoin: The Economics of Digital Currencies and Blockchain Technologies (Chapter 3: Platform-based Currencies)
Beyond Bitcoin: The Economics of Digital Currencies and Blockchain Technologies, 2nd ed, forthcoming
33 Pages Posted: 9 Mar 2018 Last revised: 3 Sep 2021
Date Written: May 28, 2021
In this chapter, we analyze digital currencies issued by Internet platforms. We use examples of Facebook Credits, Amazon Coins, World of Warcraft gold and Linden dollars to illustrate how designing the features of digital currencies allows the platforms to enhance their business model. 3.1. Special currencies of the traditional world 3.2. Platform-based currencies in the digital era 3.2.1. Online video games and World of Warcraft gold 3.2.2. Virtual worlds and Linden dollars 3.2.3. Social Networks and Facebook Credits 3.2.4. Promotion platforms and Amazon Coin 3.3. Conclusion 3.4. Are restricted currencies really currencies?
For Chapter 1 (Introduction), see https://ssrn.com/abstract=3135021.
For Chapter 2 (Means of Exchange: Ever-present Competition), see https://ssrn.com/abstract=3135028.
For Chapter 3 (Platform-based Currencies), see https://ssrn.com/abstract=3135030.
For Chapter 4 (Bitcoin and Emergence of Cryptocurrencies), see https://ssrn.com/abstract=3135043.
For Chapter 5 (The Rich Land of Crypto), see https://ssrn.com/abstract=3135057.
For Chapter 6 (Smart Contracts and Blockchain), see https://ssrn.com/abstract=3894110.
For Chapter 7 (Enterprise Blockchains), see https://ssrn.com/abstract=3894117.
For Chapter 8 (Conclusions: Future Full of Possibilities), see https://ssrn.com/abstract=3894118.
Keywords: Bitcoin, digital currencies, network effects, cryptocurrencies
JEL Classification: D8, E4, G2, O3, D83, D84, E42, G21, G23, O33
Suggested Citation: Suggested Citation