It seems odd at a time when Microsoft is rumored to be ditching their fictitious and consumer-unfriendly Points system in favor of hard currency, Amazon is ready to step on with their own surrogate payment system. The goal, like any other virtual dollar, is to get people to convert their real money into a kind of Itchy & Scratchy money that can only be used on Amazon’s Kindle Fire. Of course, they’re promising some great things for app developers.
As part of their marketing budget, Amazon is going to be giving away tens of millions of dollars of these Coins to users, either through usage, contest, or otherwise. These Coins can then be used, like anything else, to buy apps or for IAPs (In-App Purchases). This means that Amazon is potentially handing tens of millions of dollars to developers and content holders right off the bat by developing a Kindle Fire version of their app. This sounds like some pretty great enticement, but it’s also in support of another faux currency (although, granted, one with a lot more inherent value than a Bitcoin).
I know why Amazon is doing it and I still love them despite their obviously large error in judgment.