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Virtual currencies systems should tap loyalty programs and creative ways of bartering to succeed outside the gaming world.

Social gaming star Zynga’s IPO last week casts the spotlight on its virtual goods business, which accounts for 95 percent of 2010’s $597 million in recognized revenue. The company’s broad appeal made me wonder, How do virtual currencies work today and where, outside of gaming, might they be effective? Right now, practical alternative payments systems like Facebook’s and PayPal’s are still based on cash, though consumers might like bartering and loyalty programs rolled into the …