GamingOpenMarket.com, the website that allows players of various MMORPGS to exchange in-game currency for actual money, has almost closed for business after a fraud managed to make off with $3000 worth of make-believe loot on Sunday. GOM has placed the blame entirely with PayPal, which has apparently failed to address insurance related problems in the delivery of 'intangible goods'.

The perpetrator had purchased the virtual goods, received them, and then immediately retracted his payment. This is a loop-hole that could be constantly exploited, and so games like Star Wars Galaxies, Horizons, EVE Online, and Project Entropia have withdrawn any support for Gaming Open Market. Second Life is now the only title that utilises GOM's exchange centre.

The notice on the GOM website reads as follows:

"It is with great frustration and anger that we announce that until further notice, Gaming Open Market will be closing its doors to all game currency trading except Second Life. Over the weekend, we had over $3000.00 USD worth of fraud perpetrated against us. The thief emailed us and explained that the goods he stole will be kept as "payment" for the lesson he taught us. PayPal's dated policy on the sale of "intangible goods" is well-known, and yet they refuse to accept any responsibility for the fraud that this policy actually encourages."