Ah ok. Well then I'm afraid that's very much up for debate.
First as to proper, I'm not sure that you can really argue that it's improper. Indeed given that microtransactions are the standard for persistent world games, I'd say that purely cosmetic optional items is the most proper way as it keeps them from trying to monetize player success (pay to win).
So your argument didn't hold up there.
Ok so what about content. We're paying them for doing nothing so why work on good content? Why not just snort cocaine, crank out some emotes once a month and go back to hookers and blow? Case closed right?
Well no. Keep in mind that with only cosmetic items, people need to actually keep playing. If no good content comes, there's no reason to keep playing, and then no one to keep buying emotes.
So very much up for debate whether this is right or wrong. Could go either way at this point.
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I'm not arguing it's the truth. Micro transactions devolve the natural progression of quality in a game.
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Based on what? Plenty of examples where it improved games. Plenty others where it didn't.
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Look around at some of my other replies I explain it clearly. If you don't care then move on.