I use hardware based keys for the simple reason it is much harder for 
pirates to crack your software and distribute free copies of your games.
  I offer replacement keys in a timely manner for those that have hardware 
failures, but this has only occured a handful of times out of 200 plus 
copies sold.
  I know that there are lots of pirated versions of developers hard work 
floating out there, and I wanted the most secure path available, because if 
I findRail Racer being distributed as a crack, I am going to unleash one 
very dedicated lawyer and pay whatever it takes to find the culprits. 
Despite the best efforts of some talented jerks, as far as I know, RR has 
not been cracked, and that is a good thing for all of us.
  If I were a new developer about to release my first commercial game, I 
would seriously consider going with a hardware based serial key system, 
there will be a few inconveniences, but for me, having a secure product is 
well worth it.
  Later,
  Che 


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