In the past few years, online games have been experiencing exponential growth and for many people they have evolved far beyond mere online games. The game player has accumulated a large number of virtual wealth. The virtual wealth transactions have developed rapidly. Virtual currency is one of the most exciting by-products produced from the evolution of virtual worlds, and it demonstrates the similarity between the virtual and real worlds. Virtual currency can be wildly used in many ways such as purchase on games, books, movies and other material. Based on the analysis between virtual currency and traditional money on their similarities and differences, we indicate that the virtual currency is different from electronic money. On the basis of the analysis of the operation process of the virtual currency, we point out the possible risks of the virtual currency transactions.
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