[yalogin]

What is preventing every app/service to launch their own crypto currency? It looks like in these times it is in their own interest to launch their own crypto currency than adopting an existing one as they stand to make billions. In that scenario do we say bitcoin and their ilk is failing or succeeding?

[BonesJustice]

This is what I'm afraid of. Just as nearly every mobile game has switched to in-game currencies, other apps will develop their own (crypto)currencies. The benefits to the app owners are numerous, and users always get screwed.

1. The app owners control the denominations in which the currency can be purchased, and they can structure prices to maximize the average user's unused balance.

2. Once the proprietary currency has been purchased, transactions using that currency need not go through the confirmation dialogs required for cash purchases. That removes a chance for users to reconsider and back out.

3. Because of (2), apps can inject dialogs with 'offers' to buy things at points in the workflow where the user expects some other dialog. Users who aren't paying close attention will end up wasting their currency on accidental purchases.

4. The only "real money" transaction is the purchase of the currency, so any protections that consumers might have had with cash purchases in their jurisdiction may not apply when the proprietary currency is used.

5. On top of the usual bank/credit/debit fees, you can expect app currencies with a cash out capability to include additional fees from the app developer.

[wz1000]

But why a cryptocurrency? In app/game virtual currencies(preceded by gift cards) have existed for a long time, and are better than cryptocurrencies at all of the above things.

[BonesJustice]

To tap into the craze, I guess? I honestly have no idea. I never in a million years would have thought Bitcoin would actually breach $10,000, so I'm the last person to ask about cryptocurrencies.

[romanovcode]

> What is preventing every app/service to launch their own crypto currency?

Yeah, they will. Cryptocurrency in 2018 is the machine learning of 2017.

Startups will get asked "what is your blockchain strategy" instead of "what is your machine learning strategy".

[corey_moncure]

My strategy is making money

[kayfox]

Nothing is preventing them. So expect everyone to do it.

[ceejayoz]

> Nothing is preventing them.

Fear of the SEC is likely preventing plenty of them.

[aNoob7000]

And that is the problem with cryptocurrencies, everyone and anyone can produce on.