Valve announced it will discontinue its retail gift card line, citing rampant scams and high processing costs. The move severs the last remaining tie to brick‑and‑mortar sales that Steam once used to bypass traditional retailers. Gamers can still buy digital codes directly from the platform or use prepaid debit cards that carry a mailing address.

In 2024, the company disclosed that $80 million in physical gift cards were redeemed during the final 11 days of 2023, underscoring a surprisingly robust market for cash‑to‑digital conversion. Valve described the cards as a “massive benefit to developers,” yet acknowledged they rank among the most expensive payment options due to printing, shipping, and fraud‑related support overhead.

Eliminating the program lets Valve focus entirely on digital transactions, trimming operational expenses and reducing exposure to fraudulent activity. Developers lose a lucrative revenue stream, but the shift reinforces Steam’s long‑standing strategy of minimizing physical distribution costs.