The Lawbringer: China, forced labor, and why we must stop buying gold

Gold selling is a multi-billion dollar industry that spans the globe, with a healthy portion of in-game currency sales originating from China. It's a cheap operation to start up -- all you need is cheap labor, some computers, a PayPal account, and a copy of World of Warcraft. The overhead is low and the payoff is big because the demand is present for the supply. People have a perceived need to buy gold, so more people sell gold, which allows the market to grow. It won't stop, either, as tradable virtual currency from all types of games hit the gray market.
What happens when an industry with low overheads becomes too profitable? What happens when a relatively simple setup like gold farming goes from the quaintness of cottage industry to a virtual currency-fueled industrial revolution? People start getting ideas when money is sitting there on the table, ready and waiting to be snatched up by the stalwart businessman. Combine that sentiment with the corruption and profit motives of institutions and a labor force that is for all intents and purposes free, and you get the sad tale of prisoners in China and the people in charge.
Intent
This edition is not meant to be a condemnation. I am definitely not in a position to take that stand. I read the Chinese prison labor story like everyone else and began to think about the horrible endgame that the notions of forced labor in my game could realize. Because a lot of people use bought gold to buy the most expensive items in game, it's unnerving to think that my selling an ilevel 359 BoE on the auction house or Vial of the Sands is part of a growing culture of oppression and forced labor, where people in China are getting beaten with PVC pipes for missing gold quotas.
What I hope to address in this article is the concept of "money on the table," as well as the logical conclusion to the gold selling business and why we as a community have to take a lot of the responsibility ourselves to stop an industry that is too profitable for its own good. The only reason we are seeing stories like this one pop up is because gold farming and selling is too lucrative of a market and too powerful of a practice that human beings in a position of power over others will force them to farm gold for profit. Just writing that sentence makes me look back 10 years, realizing that this is one of those scenarios I just never saw coming.
The story of the week
In case you haven't read the story yet, it has been reported as follows. The Guardian ran a story on Wednesday, May 25, purporting to tell the tale of one "Liu Dali," a prisoner at the Jixi labor camp in northeastern China. These types of labor camps in China have prisoners digging ditches, breaking rocks, and all of the other stuff your parents told you you'd be doing in jail if you screwed up down the road. (My dad used to tell me that if I went to prison, I'd have to break big rocks into little rocks, and every Hanukkah, I'd get a new hammer.)
According to Liu, the prison bosses at the Jixi labor camp forced prisoners to play games after hours to farm currency that their bosses would then sell to gold outfitters. More money could be earned from the gold selling than the labor. Prisoners were physically beaten if they could not meet their overseers' quotas. Prison officials used slave labor to pump gold and other currencies into the virtual currency market.
Gold farming outfits are already oppressive toward their workers. Low pay, long hours, and cramped conditions are no surprise from what we know of many gold farming businesses in China already. Combine that with a prison population that already undergoes incredible amounts of forced labor and reeducation, and you have an inevitable conclusion -- if selling virtual currency is big business, someone somewhere will force someone to do it.

If you are not familiar with the phrase "money on the table," you should be. A driving force in business and culture, money on the table is a concept that one feels regret for leaving said money on the table. It's right there for the taking, as long as someone is willing to reach out and grab it. Gold selling has become one of these businesses, where the market has grown to such an incredible degree that there is still a huge demand for a steady supply of virtual currency. People not in the gold farming business who have the capacity to be are, to many people, leaving money on the table.
You could say that Blizzard is leaving money on the table by not selling its own currency, but it has chosen not to as part of game design and philosophy. You could also say that Blizzard left a whole bunch of money on the table by donating proceeds from the Cenarion Hatchling pet to Japan Relief. I can assure you that many investors thought that and will be vocal about it during the next earnings call. You can even say that Blizzard is leaving money on the table by not releasing a new mount every two months in the pet store instead of once a year since, clearly, there is a demand for such premium content. The point is that Blizzard chooses to leave this money on the table for one reason or another, be it purchase fatigue among by players or gameplay concerns.
The fact that there is money on the table that cannot be ignored in relation to gold selling is what upsets me. Such a large industry and profit sphere has grown around gold selling that you would be crazy not to use your free forced labor for anything but the activities that generate the best profit margins. That's what gold selling has become -- one of the better benefit-cost ratios in China, infamous for horrible working conditions and oppression of workers. Our game and our genre is now part of the seediest of seedy underbellies.
Slave goods
Now that it is common knowledge, especially since mainstream news outlets have picked up on this story, that some farmed gold out there is created using what amounts to slave labor, what do we do? Where is the legitimate gold being sold versus the slave gold? Trick question -- there is no legitimate gold you can purchase. All gold selling is against the terms of service and against the EULA you agreed to.
Many countries release lists of goods that are imported that are made using child or slave labor, and on those lists are everything from electronics and textiles to bricks and food. The world is full of slave labor to make widely used goods. It's a sad realization that some part of your computer or electronic device that you are reading this article on was made by someone who didn't want to but was forced to labor over it.
If you think people haven't thought about a dystopian virtual currency future already, where gold farmers try to create labor unions and the nebulous nature of these new economies are explored, you've got another thing coming. Cory Doctorow wrote a book about such a world.

Gold farming is an industry that we as a community have the ability to put a dent in because the nature of gold buying is at the heart of the consumer. Is it the consumer's fault that gold selling is so rampant? It's not about blame, but rather about who has the power in the relationship between buyer and seller. The WoW and greater MMO community can work together to lower gold selling margins to the point that it is just not profitable enough to justify the huge business that sprouted up over people's want for virtual currency. We need to stop buying gold.
You'll immediately respond to me with (and for good reason), "We will just see this forced, underpaid, and overworked workforce doing other jobs." Other industries are not something that we have direct control over. But gold selling is something we do have direct control over as MMO gamers, and this particular industry is susceptible to our influence. We can't save everyone, but we can close down an industry that is becoming more and more atrocious as time goes on, as MMOs get larger and the purchase of virtual currency becomes more widespread. We need to stop buying gold.
Right now, gold selling is money on the table, and every shady character will come out of the woodwork to exploit the growing demand for virtual currency sales. This isn't just a story about prisoners forced to labor for untold hours, breaking boulders by day and performing endless, tedious tasks at night. This is the story about a global industry that feeds off of our want for the quick payoff without retribution. Much like factories in the 1800s were nebulous under the law and crawling with corruption, we need to root out the problem by not feeding the demand. We need to stop buying gold.
Eventually, games will be made and virtual worlds will be created that de-emphasize the need for stockpiles of tradable currency, or Blizzard in particular will find a way to cut out the middleman from the gold selling equation. Blizzard could even go back to making random dropped purples from raids bind on pickup like regular loot to remove raid BoEs from the economy. Hopefully that day comes sooner than later, because I hate that stories like the Chinese prisoner labor report are part of the industry and genre of games that I devote my life and free time to. Right now, though, gold selling is too profitable, and we need to actively work to make it less so.
Filed under: Analysis / Opinion, The Lawbringer






Reader Comments (Page 1 of 9)
whitfield Jun 3rd 2011 1:02PM
Blizzard started the entire gold farming slave labor rumor itself to help control the population of gold sales.
/thread
Noyou Jun 3rd 2011 1:12PM
I'm guessing people who buy gold don't really care all that much.
dmrobertson2 Jun 3rd 2011 1:18PM
whitfield made this comment because his tinfoil hat fell off. Great article, don't sully it with Blizztrolling.
Donhorn Jun 3rd 2011 1:20PM
Whether that's true or not is a moot point, gold selling is against the rules and shouldn't be an option in the first place. The only reason it is an option is because of lazy people who won't take the time to go out and get the gold themselves. I can get close to 500g a day just from dailys, just from dailys. I could go and do more stuff each day, farm up cloth from lower lvl dungeons while farming for a mount or pet or something they may contain, using my herbalism to collect/sell herbs, etc. All I have to people who buy gold is learn to play the game, not cheat it.
Zabre Jun 3rd 2011 1:47PM
Sure if you do all 24 dailies every single day and then spend 2-3 hours non stop farming you can keep up with gold pretty easily. Now, I'm not advocating buyng gold but I can see the appeal. Every time you get a new upgrade you are spending anywhere from 300-1,000 gold for the gems and enchants. You have to buy buff food and flasks. If your not super pro you are spending lots of gold on repairs.
Who has time to spend 6 hours a day doing dailies and farming to get the amount of gold it takes to keep up? I know people that have bought gold and they do it because they want to play the game (raid, bg's, heroics etc) and find grinding dailies and farming repetitive and boring. When you can buy 20,000 gold for 20 bucks you have to say to yourself - would I rather spend 1 hour of rl time to get the gold or 100 hours of in game time to get the same amount?
Noyou Jun 3rd 2011 2:07PM
@Zabre
It doesn't take all that long to farm gold in game nowdays. The problem is a lot of these people want to be able to down content with minimal effort while saying how hardcore they are. These people probably make up 10-20% of the WoW population and are probably 80% of the people buying the gold.
Aevi Jun 3rd 2011 2:46PM
I can get 200g+ a day just from running 3 low level dungeons for mounts. And that's being a rogue and sneaking past everything.
Sethekk Halls, Magister's Terrace and Stratholme. It's an easy 200g for about 30 minutes (that's with kids bugging me!)
It's ridiculously easy to make gold, if you really want it.
Quorniya Jun 3rd 2011 2:53PM
You don't have to spend 6 hours a day doing dailies or farming to make gold. You really don't.
I make between 1 and 5k gold a day from selling enchanting scrolls. About a month ago I used the Undermine Journal to look up all the best-selling enchants on my realm/faction, as well as the cost of enchanting mats. I started crafting and selling any enchants that I could sell for more than the cost of the mats it took to make them. To help automate the process, I set up the addon Trade Skill Master, which automatically keeps track of all the enchants I have, generates a shopping list of mats that I need to help keep my stock up, scans the AH to cancel any of my auctions that are undercut, and batch-posts my auctions at pre-set prices/undercut amounts.
It took maybe 3-4 hours to set this up by looking at tutorials and such, and now I spend 15 minutes a day canceling, crafting and reposting. I've made at least 60k gold this way so far, in a month, with only 15 mins a day.
You don't need to buy gold or spend hours farming or doing dailies to have money. Just use some common sense and your characters' professions and you'll do fine.
Como Jun 3rd 2011 3:34PM
As usual another bitch fest about gold farming.
"We will just see this forced, underpaid, and overworked workforce doing other jobs."
Bullshit, that's the biggest cop-out I have ever seen. You sit there advocating that you can do something about this problem. Well I've got an idea, stop buying computers built from Chinese labor camps that about the same conditions as this labor camp. You have just as much control to stop gold farming as you do with your electronics, but oh gold farming is bad, and having my ipad for $50 bucks cheaper is ok; nevermind the fact that it was built in the same conditions (minus the beatings as far as we know).
The problem is most people could give a shit that this is going on as long as it's not in their face. It's easy to sit there and condemn and try to rally some community effort when it's something that you already hated (as is clear from this community and this writer), try giving up something you actually care about. Until then this article is purely bitching about a topic that has beaten to death (Read: gold farming will never stop, just get over it) and will continue until blizzard finally concedes and changes the stupid gold buying rules.
Oh noes! Someone went out and spent money on something that I want. =/
Tchaikovsky Jun 3rd 2011 8:42PM
.
I won't address Blizzard selling WoW gold, as i personally think it is an utterly stupid idea. Gear isn't meant to be about how much money you have irl. Selling vanity pets and stuff is ok, because they have no substantive influence on the game, but improve the game for many people. If the only thing that can be brought in defence of it is that it would stop this market, well, so would not buying gold at all. Until then, if people can live with the fact that their buying corrupted products, good for them (well, not good really). If you want a game that lets you buy gold, go to lotro i guess.
Chucks Jun 4th 2011 12:21AM
Try telling Liu Dali it doesn't take that much effort or time to make gold 'if you really want it'". It's weird to me that some guy in prison in China is being beaten with pipes and being forced to do as punishment something I pay a lot of money to do in my "leisure" time. Yikes
(cutaia) Jun 3rd 2011 1:17PM
I'm not sure we can assume that buying gold for a video game automatically means you don't care about abuse of human beings. That's quite the stretch. Certainly there are people who have bought gold who simply didn't know better.
(cutaia) Jun 3rd 2011 1:18PM
Look at me comment failing up in here. Response was to Noyou above. :)
Noyou Jun 3rd 2011 1:29PM
I think there is a strong correlation between the ethics behind buying gold and the majority of gold buyers. Put aside how the gold is obtained. The mentality of "I need it now" or "I'm going to buy my way to X" already has you in an egocentric state of mind. I don't think it's a stretch to say these people are fairly self-centered. Sure there are people that are absolutely clueless over the gold buying process but I would put them in the vast minority.
The Dewd Jun 3rd 2011 1:52PM
I'm going to reply here, rather than above, because it's part of this conversation now.
Maybe in the early days people wouldn't have cared as much. We had a guy in our guild who bought gold back in BC because we was tired of farming for his epic flying - and was prompted /gkicked for it. I'd like to think that he bought it because it didn't "hurt" anyone and it was coming from some guy who probably sold gold to a virtual currency broker for some extra cash.
Slave labor and prisoner abuse is a good attention-grabber, though. I'm sure there are probably still people who buy gold because they figure it isn't hurting anyone and they don't read WoW Insider or anything like it. They assume the money is legit and just want to be able to keep up with the in-game inflation. Really this is about education more than anything else. If you can explain to a potential gold buyer that they're funding the hacking of accounts and the abuse of prisoners, they might reconsider. The trick is to get the message to them. For example, Blizzard might have to be more up-front about promoting their "Don't Buy Gold" article on the launcher instead of just linking it in forum discussions about gold buying/selling.
Dril Jun 3rd 2011 3:00PM
@Noyou:
Actually, I think you fail to understand the difference between selfish and impatient (or impulsive.) What you suggested just there isn't that they only care about themselves, but that they don't find enjoyment in, don't have the motivation to or just plain can't make gold. And, alas, you need gold in this game if you want to be at your best.
Do you think about every product you buy? When you throw out your electronic stuff, do you check where it goes? Do you even know what happens to it, and how dangerous a lot of it is since it's melted down and all that?
I'm appalled by the prison system in China. But, the fact is, whilst I trust the Guardian a lot, I'm not willing to believe it all without question.
The fact is, buying gold won't make a difference. China's like a hydra, you kill one head (problem) and out pop two more. Rather than waste time and effort in harping over the horrors of gold-buying, we should look at the bigger picture and the root cause of the abuses.
Noyou Jun 3rd 2011 3:10PM
Yes I am fully aware of the difference between selfish and impulse. Although the two can blur into one. It's just like the people who want to make a left turn a block away from a stoplight. Is it impulsive? Sure. Is it also selfish? Yes. They can't be bothered with driving a block and making it easier on everyone involved. Move that over to the gold buyer who can't be bothered to farm gold on his own. It's the whole "I, me" first mentality.
Dreadmist Jun 3rd 2011 3:41PM
@ Dril
Your argument is a terrible one - "Rather than waste time and effort in harping over the horrors of gold-buying, we should look at the bigger picture and the root cause of the abuses."
How do you propose we do that? Rather than to encourage people to stop buying gold, do you propose we quit our jobs, move to China as activists and start a campaign to end human rights violations? Stop being irrational - that's like saying "don't donate $15 to that charity, give all of your yearly salary, or it won't do anything!"
Stopping the gold selling industry is a very practical and reasonable measure to combat this problem - like Mathew said this is something we have direct control over. Rather than letting laziness and apathy speak for you, realize that everything we do counts. You sound like you are trying to justify buying gold - give it up, if you do it, you are wrong.
JattTheRogue Jun 3rd 2011 4:30PM
@Noyou: You get frustrated when people make left turns without going to a nearby stoplight? Really? I agree that a "me first" attitude can be detrimental to society in many ways (see the recent economic trouble with all the bankers and such), but going the other way can be taken too far as well. I turn left down a street because that's where I need to go. That's not selfish. Driving the extra block would be nice and a kind thing to do, but not doing something kind is not the same thing as being unkind, or being selfish.
Steve G Jun 3rd 2011 1:18PM
Look at Eve-Online. They allow users to buy game time with ingame money. That game time can be sold by another player for ingame money.
This has been hell for the gold sellers in Eve-Online, not a cure, but it does impact them. Why risk everything you've worked for to buy from a dodgy place when you can buy it all above board.
Imagine that you could buy 30 days of game time for 10'000 gold, that will stop gold seller’s dead. Allow more items in game to be farmed by real players and allow the player economy to pick back up.
It may not be perfect, but for players that hored a ton of gold, it gives them some free game time in return for sharing their wealth.
The way I see it, though. There is a lot Blizzard could do to stop this practice. Parse chat logs, observer player transfers. I am sure they are already doing this. I'm also sure they are not proactivaly working on stopping it either. While we know a lot of gold is sold via stollen accounts, these guys still buy real accounts too. If we are too good at stopping them then blizzard can say good bye to the hundred of thousands of gold seller accounts.
The only problem they appear to be fixing is the hacked accounts and for one, I am personally greatful, I have had a lot of friends who have had their accounts hacked.