Atari’s new cryptocurrency and console to begin trend: is EA next?

Decades after it helped start a phenomenon with Pong and Pac-Man, Atari is getting ahead of the curve with its own cryptocurrency and blockchain console.

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SlappingOysters275d ago

In five years all the major publishers will be working with cryptocurrency; it makes too much sense.

porkChop275d ago

No it doesn't. The cryptocurrency market is extremely volatile. Gold today child be utter garbage tomorrow morning. It's way less stable than something like the stock market for example.

ImGumbyDammit275d ago (Edited 275d ago )

Sorry, but alternate made-up currencies for anything are worthless and painful. Although, not strictly a blockchain cryptocurrency Microsoft once tied to sales of gaming property on Xbox through through their own gaming currency called Xbox Live Points. It was painful. This is just another attempt at an already failed attempt. The problem with cryptocurrency is several fold. First, all the current systems are volatile values and do not transfer well. Second, the idea is based equality of price. A game will be 50 Atari tokens everywhere. Great if that were the end of it all and everywhere was Atari bucks (Starbucks in London, Walmart in Denver, etc...) It fails because that value will at some point start and end at the local currency. 50 Atari tokens is going to cost say $50 or 45 euros to buy in. But, the companies expect to be paid back in actual local currency so the value has to rectify back to that local currency. This BS that the article talks about transaction fees is just that BS. Cryptocurrency will require a transfer back to local whether it is done at the purchase point and with transaction fees or at the companies income point and fees then associated with the translation of value And that equalization of the token to value is hogwash. The value a company expects to be paid will be based on their MSRP in local currency, not Atari tokens valuation. That is the value a company will be taxed by a government.

Cryptocurrency works in several areas. A general base transaction of services or goods in a walled shopping garden is not one of them. Unless that value can be transferred directly to another services or goods or income outside this walled garden without having to be transferred to a local currency for valuation then that currency serves very little purpose or benefit over actual government-backed currencies. Otherwise, these Atari tokens are no different than the days when the railroad companies paid you only in their railroad script to be used in railroad towns.

ImGumbyDammit275d ago (Edited 275d ago )

Areas where cryptocurrency can work well Although not an exact list and points can expanded upon. This generally covers the major points of what make crypto more exciting.

1. Immediate transfer of property. Since ownership of the cryptocurrency is directly tied to the keyholder there is no need for a third party (lawyer, notary) to verify ownership. So, in the case of things like real estate, the transfer of wealth property (land) for the currency can be done almost instantaneously (in theory of course). I don't think there is a lot of fraud in game sales. And credit card companies actually provide a great service of protection that cryptocurrency decentralized design cannot.

2. ID theft. See #1. The key is tied to that person. With a credit card, you are giving access to a merchant everything about your identity and that card work by pulling funds from your account. Cryptocurrency works by only establish access to the actual value and pushes the value. Doing the push only the value is sent without actual any other form of ID of that person. Maybe that is why bitcoin is so popular on the dark web.Once again this really serves no purpose over other means.

3. Lower fees. There usually is no or very lower transactions fees. However, that is changing. With the increasingly common use of services like Coinbase for the “safer” storage of your cryptocurrency these transactions do accumulate fees to and from those services (Think Coinbase being like Paypal for cryptocurrency)

4. Decentralized organization of funds, peer to peer. - Once again volatile. Although I assume Atari tokens will not be because the company will be bankruptcy court again so quick that it won't have time to fluctuate too much it will just go straight to zero.

5. Access. Everyone can have access to the currency. No matter if you are a oil tycoon or a sheep header in Mozambique you both have the same access. Just exchange your currency for bit currency and you are in. No credit checks. Unfortunately, chicken and the egg. I doubt Atari is going to accept paper money or checks and will expect you to pay for those Atari token straight with a legal currency. So, I don't see how you get access to Atari tokens without already having access to a currency that requires you true ID to get validated.

6. Universal appeal. We go back to 1 token in the US is the same 1 token cost/value in Paraguay or 1 token cost/value in Karachi. Once again great in theory but just like those Xbox Live Points of yesteryears not very good if the only goods for those tokens are for products from one place and not usable outside the system. In getting Big Gulp and some Hot Cheetos then you will have to realize that value back into government-backed real currency. So, it follows those developers will want something more widely acceptable than Atari tokens. Especially if they want some Hot Cheetos.

7. Fraud. This is sort of implied throughout this list that fraud is less of an issue. Which is and is not true. With the cryptocurrency directly tied to the key holder, the fraud is hopefully decentralized. But, theft of cryptocurrency is actually very real. In fact, the largest thefts (digital bank robberies if you will) have been perpetrated on cryptocurrency. Little hard to steal 1 billion from a normal institution even digitally but, this has happened to cryptocurrency. Large thefts have happened multiple times, like $500 million theft at Mt. Gox. Or the once thought impenetrable Coinbase has had multiple hacks and thefts to accounts. And since they are not backed by anything and the transfer (whether legal or not) is often nonrecoverable that protection third party credit card company like Visa provides. Meaning you get hacked or lose the key etc.. you have little recourse to recover.

spambot0815274d ago (Edited 274d ago )

cryptomining is stupid and a waste of energy but i wouldn't mind if playstation makes trophies a currency and let's me trade it. by the way: anybody ever thought about making time a currency? instead of that stupid mining how about collecting and trading seconds?

ILostMyMind274d ago

This isn't a bad idea. I don't buy trophies, I gain them by playing my games.

The_KELRaTH273d ago

Decades after? This is just a company that purchased a name and has, had nothing to do with Atari of the 70's 80's

TheOttomatic91273d ago

There’s a 90% chance they will