Developer says game key resale fraud cost it $450,000

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Gimpymoo

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Independent game developer TinyBuild says that game-key reseller G2A has cost it US$450,000 through resale of fraudulently-obtained keys.

"Websites like G2A are facilitating a fraud-fueled economy where key resellers are being hit with tons of stolen credit card transactions," wrote Alex Nichiporchik on the TinyBuild blog.

G2A is a website where players can sell unwanted game keys second-hand – after passing only a cursory vetting process.

In TinyBuild's case, Nichiporchik claims fraudsters purchased thousands of keys from the studio's own store using stolen credit cards, incurring a "chargeback" process wherein credit card processors recoup fraudulent transactions from vendors.

"I’d start seeing thousands of transactions, and our payment provider would shut us down within days," Nichoporchik explained.

"Moments later you’d see G2A being populated by cheap keys of games we had just sold on our shop."

Nichiporchik was able to confirm that many of the keys being resold cheaply at G2A matched those purchased using stolen cards, estimating TinyBuild's loss in sales at US$450,000.

G2A told Nichiporchik that "no compensation will be given," suggesting that the activity "is not fraud, but your resale partners doing what they do best, selling keys."

It also took the opportunity to pitch a direct sales relationship, boasting that "if anything this should give you an idea on the reach that G2A has."

TinyBuild's website was hit with a denial-of-service attack soon after the blog entry was published.
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http://www.gameplanet.com.au/news/g...r-says-game-key-resale-fraud-cost-it-450-000/

And... GO
 
What I said awhile back many of these cd key sites are genuine enough themselves but not very discriminatory about where the keys they sell come from.
 
they know the key was purchased with a stolen card, just block it... even if its a few days later..

only a tiny % of people will not have their machines connected to the internet
 
There simply isnt the capacity to do this unless steam (or which ever platform the key is for) give the developer the ability. Unfortunately it isnt really in steams interest as it would mean that would get hundreds of extra complaints about games being blocked.

I have bought games from G2A and Kinguin before but I dont think I will from now on.
 
think about this logically.

they are game keys.

G2a is just selling a product.

are they committing the fraud ? if answer is no then whats the issue ? they are just selling what someone else would ? a key for a game. the only difference is
its been sold before.

all this 450,000 is bs.the fraud would be covered .
 
Their games are on Steam by the looks of it, they obviously want to try and sell games at other sites as well though.

Don't know why anyone would be surprised about this, it's been known for a long time that the way a lot of keys sold on sites like G2A are obtained isn't legal, but game companies don't like to blacklist the keys because that just harms their reputation when "innocent" players get their accounts removed.

I think it was Ubi that removed a bunch of people's games because codes were bought with stolen credit cards, then when people complained Ubi gave them the games anyway.
 
Beerbaron said:
Can they not black list the keys?
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Would have thought so. If they can track the losses, they can track the key numbers. Slap a big warning on their site that keys obtained through unauthorised resellers will not be valid, and let G2A drown in the backlash.
 
If G2A were reasonable people they would do something about or at least apologise. As a developer this is very worrying! :(

They may be a middle-man but allowing the sale of stolen goods through their stores and then dismissing any responsibility is very telling.
 
~>Dg<~ said:
think about this logically.

they are game keys.

G2a is just selling a product.

are they committing the fraud ? if answer is no then whats the issue ? they are just selling what someone else would ? a key for a game. the only difference is
its been sold before.

all this 450,000 is bs.the fraud would be covered .
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The fraud would be covered by whom?

The credit card owners get their cash back, but how do the devs get paid for the keys which have gone out?
 
I wouldn't, and never have, buy any indie games from key sites - those guys get little enough cash as it is (barring a few wildly successful titles). The games are generally cheap enough anyway.

Beerbaron said:
Can they not black list the keys?
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I remember Ubisoft doing this and having to stop and reactivate because the publicity backlash was so strong. They were being painted as the bad guys, when they had actually been stolen from.
 
You have to wonder if that wasn't just because it was Ubi though. They weren't exactly universally loved before they did it :D
 
Hmmm......I'd want to see proof of fraud before I'm condemning anyone; if its true then yep I wouldn't buy from G2A; or proof keys were stolen......yes some have been in the past - there was a little backlash on the key sites - they've cracked down upon that.....
 
Bloomfield said:
Their games are on Steam by the looks of it, they obviously want to try and sell games at other sites as well though.

Don't know why anyone would be surprised about this, it's been known for a long time that the way a lot of keys sold on sites like G2A are obtained isn't legal, but game companies don't like to blacklist the keys because that just harms their reputation when "innocent" players get their accounts removed.

I think it was Ubi that removed a bunch of people's games because codes were bought with stolen credit cards, then when people complained Ubi gave them the games anyway.
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Actually GoG blacklists codes that were purchased fraudulently and removes said games from the purchasers library without restoring when they go to the community section to complain because once G2A is mentioned it is quickly mentioned that there are no official resellers of GoG game codes and that there is no way they'll be getting the game restored to their library.
 
meldarthx said:
Hmmm......I'd want to see proof of fraud before I'm condemning anyone; if its true then yep I wouldn't buy from G2A; or proof keys were stolen......yes some have been in the past - there was a little backlash on the key sites - they've cracked down upon that.....
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When it comes to Indies, you have to ask yourself "why is the key cheaper on G2A?"

Because the keys are only on sale from Steam, some other legit sites (GOG, Humble Store etc) or the dev's own website, and they're all at much the same price. Where would G2A sellers be getting cheap keys from to sell at a profit?

AAA games get sold at localised discounts (Russia, India etc), so those keys might be 'grey' rather than stolen 'black' ones.
 
exactly so many just swallow this bs.

if they didnt have measures in place to protect themselves.that is their fault and as with any " imaginary " figures you take it with a pinch of salt.
 
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