Facebook credits dropped from social network

Facebook credits dropped from social network
Seth Tipps

By Seth Tipps

June 19th 2012 at 10:58PM

New monthly subscription system to replace virtual currency

Facebook has decided to drop its controversial credits system as part of a new monetisation strategy that will support local currencies and introduce an in-app subscription system.

The credits system, introduced in 2009 and made mandatory in 2011, eliminated all local currencies on the social networking site in favor of Facebook Credits, which applied to all currencies on the platform.

In addition to the removal of Facebook Credits, the in-app subscription system will allow developers a new way to turn players into payers, and secure a steady stream of monthly income.

The Facebook blog post makes the dubious implication that its mandatory credit system, from which it recieved a thirty percent cut of all transactions, was necessary because many developers did not have their own alternative.

The elimination of Facebook Credits means customers will be able to purchase any virtual cash or subscriptions directly with their local currency, eliminating a barrier some developers claimed was hurting their bottom line.

Subscriptions will be available to all Facebook web and mobile apps in July, and are being tested by Kixeye and Zynga.

Those seeking more information should visit the Subscription API documentation.