Valve kills its retail gift card program due to scammers
Ars Technica • • general
Key Points:
- Valve is ending production of physical Steam gift cards due to persistent scams where fraudsters trick victims into purchasing cards and then resell the details anonymously on gray-market sites.
- Despite efforts like redemption limits and warnings on cards, Valve says scammers have adapted and continue to impact Steam customers, leading to the decision to phase out retail gift cards.
- Existing physical gift cards can still be redeemed, and retailers can sell remaining stock, but new production will cease, with all physical cards expected to be gone by the end of 2026.
- Physical Steam gift cards have represented a significant market, with $80 million in redemptions reported in just 11 days at the end of 2023, but they are also among the most expensive payment methods for Valve to support.
- The move marks Valve’s final step away from brick-and-mortar retail, focusing instead on digital gift cards and prepaid debit card options for adding funds to Steam accounts.