"reduced stipends for premium accounts created after July 21, 2006"

True, that.

However, what they have also done is effectively eliminated sinks from the economy (recall, they're willing to sell L$ up to the amount of sinks in the past month). In addition, they have also introduced an additional downward pressure in the exchange rate.

If they were *really* concerned about stabilizing the rate and not just sucking a few extra dollars out of their customers, they would place an arbitrarily large limit buy at one level (say L$320/US$) and an arbitrarily large limit sell at another level (say L$280/US$) and let the market fluctuate between those levels. Presto, instant self-regulating exchange rate.

Too many sellers in a cold market? Orders will get placed until they hit the "lower LL barrier", at which point it makes more sense to market-sell to LL, creating an effective floor on the exchange rate. Too many buyers pushing the rate up? Orders will get snapped up until the "upper LL barrier" is hit, when LL's arbitrary reserve of L$ comes into play, thereby capping the rate.

Sadly, with the one-sided "LL sales" now introduced, all they are introducing is the upper limit.

I think all of the measures are great, especially the temporary trading halt when value rises and drops significantly in a short time. Temporary suspension in trading works to stabilize real trading markets and I think it will in SL as well.

A predictable, stable value for the Linden is very important and I bet every content creator will welcome theses steps toward stabilization after the recent dramatic drop in value.

The only change I think that needs tweaking is the stipend reduction. The stipend should be reduced for all members and move in increments toward total elimination.

Good decision LL!

I think the stipend of premium members, whom are all obviously elitist blood sucking land barons and exploiters, should be -500L. Per day.

Those po' honest working folk, salt of the earth, not greifers, jest trying ta git along wit' everyone, Basic Account Verifieds, ought ta get a stipend of at least 1000L per week, so as ta encourage us ta patronize the ee-cone-oo-mee.

All those unwashed, unverified, I'm just here to grief you, account holders should be required to crawl on all fours, bark like dogs, and be forbidden to have lindens or own objects of any sort, save their sackclothes and manacles.

And, I personally, should be getting a stipend of one meeeelllioon Lindens per week, just because I am so cool. Oh yeah, and this stipend should be delivered to me personally by Torley.

Very good point this effectively removing sinks from SL. If this is the final step, then this change is nothing more but a new source of revenue for LL. But I suspect that this will be the first of a long series of steps to eliminate stipends, and allow LL to directly control the influx of new currency into the game on an as need basis rather than being forced to pump zillions of lindens in by contractual obligations.

And the direct sales won't act as an absolute barrier either, as the number of lindens being sold are limited, so once they run out, the free market takes over, making the limit will be more of a speed bump than a brick wall.

But if they're only moderating the economy through the introduction of new L$, then my point stands. Without a corresponding price support mechanism all they can effectively do is cause the exchange rate to decline with this change.

This won't end well

Wow... this thread makes me wish I paid attention to better attention to high school economics... though it does make me interested in upping to premium before the 21st...

This didn't start well



Just so long as it doesn't affect those in the past. There'd be even more screaming from the "ARGH I have a contract with LL, How DARE you?!?" folks.

I think it's one of those things in the power supply to the asset server that trips every other weekend - no?

I agree with the stipend change, anything to take some L$ out of circulation will help the value at this point.

I am not sure how now that Linden Lab will sell L$ themselves can help the cause at all. If they are going to take $400 out of circulation, but put their own money into circulation, it seems like a wash to me.

Maybe I am just not understanding this correctly.

In pennies.

P2

From an exchange rate POV, it's a wash. Now, however, each month $10,000 that would have gone to content creators will instead be going to LL.

Well, congrats, LL... This just confirmed I won't be going premium.

I'd recently come into some extra money, and would've used it to go premium for a year and see how it went.

Then the floodgates opened.

I hemmed and hawed, but with griefing on the rise and LL's inaction to combat it, my trust fell. I didn't want to own my 512m² nd get orbited by it, only to turn into a jaded asshole and Security Orb everyone from here to the sky.

Now they tell me that what I'll end up getting is less than I thought I would?

No thanks.

Might take my newly-freed $72 and find other worthwhile things to do with it.

I hear Delta's trading at less than a buck a share....

For us it's going to end very well. We're paying for four premium accounts *currently*. Now that LL has finally decided to make premium accounts worthless we're going to save $288US a year by simply dropping them to basic.

I know that the new stipend rate only applies to accounts created after 7/21, but we're not dumb enough, especially after reading Philip's blog to think it's going to stop there, so might as well start saving money on soon-to-be unnecessary account fee's now and just pay for our land useage.

Hmm, for some reason this doesn't evoke any emotional response from me.

I guess I need to find a nice stick to cram up my ass so I can get really upset over nothing too. Anyone got an extra?

ZOMG LINDEN LAB IS ONLY PAYING ME $5 A MONTH FOR NO REASON INSTEAD OF $6.

Nope, not doing anything for me.



I hope that land is rented, cause you can't own land on a basic account.

The value was fine before they dropped basic stipends. It was reaching its own suuply/demand point. This is explicitly catering to big land barons complaining about value, when it went against them. Funny how noone complained when it was originally 290 or so..but buyers are now complaining about the fix.

This seriously makes me think about going basic and renting.

Meh, I was considering to buy a premium account when my economy allows it (in a month or two, or so) but now I'm not really sure. I probably wind up getting one later just for the land. But it worries me from a equality aspect that it benefits older people than newer ones. (I only joined a few weeks ago) If they decreased the stipend for every premium account, even the older ones then I might not mind as much.

The older ones would, and they would lose alot of premiums. We agreed to 500 lindens a week when we signed up for payment, changing it now would be breach of contract.

I'm a lifetime account. I would be extremely miffed if LL removed my stipend.

Briana Dawson

I'm only a quarterly but if they star removing my stipend, I go basic and they don't see my money.

You still have plenty of time to get in before this policy takes effect. I don't know if they will go after old accounts anytime soon, old basics are still getting their 50 linden a week.

I hope that land is rented, cause you can't own land on a basic account. [/QUOTE]

Actually you can. Land Useage fees are seperate from account fee's. I should know, I have a basic account paying tier. As long as you're paying the appropriate tier, you can have any account status you want.

Appendum; of course that may change as well. Just got called in-game, seems quite a few of the SMA are unhappy with the events and Philip's blog and want to tier down our group to shed premium accounts and go basic.

now that they've gotten the value back down and under control, they can start selling their own in small chunks. and i'd hardly call it "lining their pockets" considering they're still in the hole proffitwise last i heard. i think this will only ensure that there's still an LL a few years down the road to keep sl running. i think it's great for them, and i also like that i'm not having to sell at 350/dollar anymore o.o; i think it's a win-win-meh situation. content creators getting better compensation, LL possibly turning a proffit one of these days, and i'm just gonna steer clear of the dead horse about how much this small cut is hurting the rest of us. i say yay

*it's long been said that based on the monthly fee, the real value in lindens was a good deal lower than their desired price of ~250, so this is pulling things more into balance in that area also :3

its a lose lose situation, as more buyers are steering away from buying lindens due to the depreciated USD value