Why Facebook Is Folding On Credits And Doubling Down On Payments

In a surprising move this week, with just a short post on their Developer Blog, Facebook has ended their three-year experi ment with the virtual currency of Facebook Credits. Credits will be phased out by the end of the year and users will simply have a Facebook account with a balance measured in Dollars in the U.S., or whatever currency is native to a country. Facebook?s new member accounts will function similarly to an iTunes account: a user adds a credit card to their account, digital goods can be purchased and immediately charged to the card on file, or can be drawn from stored value in that account. ?If you are given a Facebook gift card, in card or digital form, you would add that reward code to your account and that value would be stored until you use it ? just like an iTunes gift card is added to your account and stored until spent.

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