With falling values and rising regulatory scrutiny, some fear a bleak future for digital currencies.Read more
Why would anyone spend real money to buy land in a city that only exists in virtual reality?
"Business is like a marathon," says Clem Chambers, who created some of the first computer games.
BBC News Online
Jersey's financial services regulator has issued new guidelines for companies wanting to use the island to raise money through digital currency.
There has been a sharp rise in companies using "Initial Coin Offerings" or ICOs to raise money for their business.
An ICO allows a company to issue a digital token, such as Bitcoin, that investors can purchase. That money goes to the company and, if the coin does well, the investor makes money.
It is an alternative to more traditional ways of raising money for a company, such as venture capitalism or stock options.
The Jersey Financial Services Commission (JFSC) has warned investors that ICOs can be volatile. It has made it easier for companies to register an ICO in the island while also ensuring protections are in place to avoid criminal activity.
It has not gone so far as to regulate ICOs, said it would impose minimum standards on the companies issuing them.