Today in Bitcoin History: First Game Payment Was Three Days Before Pizza Day
Bitcoin Pizza Day commemorates the first documented payment for a physical good made with bitcoin: 10,000 BTC for two Papa John’s pizzas in 2010.
However, a more foundational use in the early bitcoin economy occurred just three days earlier.
On June 16, 2010: A Tale in the Desert Makes History
Often overlooked in favor of the famous pizza purchase, the founder of the early MMORPG A Tale in the Desert, Andrew "teppy" Tepper, began accepting bitcoin as a subscription payment on this day.
Tepper announced his decision three days before the pizza order in a post on Bitcointalk:
“I run the MMO A Tale in the Desert. We charge $13.95/month for the game, and pay about $0.74 in merchant and gateway fees… We’ll now accept Bitcoins as an alternate payment method. The price per month is 2,000 BTC, which according to the exchange is a discount right now.”
At the time, this made perfect sense, as one month’s subscription translated to roughly $9.20 (a 33% discount) while costing 2,000 BTC—a mint when bitcoin was valued below $0.03.
Key Context & Challenges:
- Tepper hoped transaction metadata would link usernames to purchases, an idea later abandoned due to technical limitations and security concerns.
- Laszlo Hanyecz (the "Bitcoin Pizza Guy") immediately offered technical guidance.
- The conversation between Tepper and the nascent Bitcoin community touched upon the then-limited cryptographic capabilities, with Satoshi Nakamoto himself weighing in:
“Bitcoin uses EC-DSA, which can only do digital signing, not encryption…”
Despite hurdles, bitcoin subscriptions flowed in. The address Tepper initially listed received an astonishing total of **~42,100 BTC** over the first two months (worth ~$3.6M at the time, ~$4.4B now).
Tepper’s Continued Innovation in Gaming
Andrew Tepper returned to the gaming space three years later launching Dragon’s Tale, an MMORPG built around online gambling.
Following the precedent set in A Tale in the Desert, Dragon’s Tale also accepted bitcoin, and even included mining games that eventually distributed free coins until 2016.
While Bitcoin Pizza Day rightly celebrates a pivotal cultural moment, the true story of the first commercial use of the bitcoin economy begins slightly earlier. Happy Bitcoin MMO Day!