Actually, I am a little concerned about a rapid increase in value (against the USD) of the L$. That can be a bit dangerous.
Yes, I hope it doesn't mess up sales. No good to gain value with few sales unless its the same dollar value.
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mcgeeb Gupte
Jolie Femme @}-,-'-,---
Join date: 17 Sep 2005
Posts: 1,152
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08-23-2006 21:12
Yes, I hope it doesn't mess up sales. No good to gain value with few sales unless its the same dollar value. |
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mcgeeb Gupte
Jolie Femme @}-,-'-,---
Join date: 17 Sep 2005
Posts: 1,152
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08-23-2006 21:16
Supply Linden dumped about 1.2mil L on the market yesterday in controled dumps at 295/1. I think he's hit his tier for the month though so should be a while before anymore Lindens are dumped by LL unless they raise his tier level. Where do you see that?? |
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Keiki Lemieux
I make HUDDLES
Join date: 8 Jul 2005
Posts: 1,490
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08-23-2006 21:18
You know if RBD posts 5 more times fast, I might think he's right...
maybe. _____________________
imakehuddles.com/wordpress/
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Jon Rolland
Registered User
Join date: 3 Oct 2005
Posts: 705
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08-23-2006 21:21
Where do you see that?? 2,239,282 Supply Linden Sales MTD Last I knew that was about 800k. As far as the rate that's speculation. When the rate was at 295 more kept getting dumped on at that point every time it nearly ran out even though there wasn't much at 294. I thought at the time it looked like someone was dumping but the rate picked didn't make sense... However it does make sense for Supply Linden to dump large amounts without caring about the rate he gets. |
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Shaun Altman
Fund Manager
Join date: 11 Dec 2004
Posts: 1,011
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08-24-2006 02:08
The structure in which players acquire Linden Dollars is flawed. No matter what people say, you can't ignore the pending problem of too many dollars in SL causing inflation and/or a cronic devaluation of the currency. The cure to the problem is to create a Central Bank. Starting on Day 0, all Linden Dollars are wiped off the face of the map. Linden Dollar (Mach 1) will be retired from circulation. So sell while you can, because the end of days is near. On Day 1 (1/32nds of second after Day 0), the New Linden Dollar (Mach 2) is created. Although it will not replace the (L$Mach1) dollar. At this moment in time, the money supply of Second Life is L$0.00. Nobody has any of the new L$ Mach2 dollars. The only way to get a new Linden Dollar is to borrow it from the Central Bank with a mandatory repayment contract that you pay back the borrowed L$ + Interest over a given period of time (52/weeks). Maybe on Day 1, the interest rate is 0.00% to get the money out there and expand the money supply. What this structure will do is create money from debt. When Player A borrows L$100,000 from the Central Bank, they will spend it however they want. Land, Widgets, Sell it on LindenX, whatever. This puts L$100,000 into circulation within SL for other players to use and abuse. Player A now has to repay that L$100,000 @ 2% interest over 52/weeks. Which comes to L$1961.53/per week. This means Player A has to do "something" within SL to reacquire L$1961.53/per week before the Linden Tax Man auto-deducts Player A's account for the money. If he doesn't have the L$, his account will be in the negative. And any dollar Player A acquires will be auto sent to the Central Bank to repay the loan. But lucky for Player A, Player B is hiring SLers to run a Casino and the pay is L$2000/wk. Player B is making lots of money off gambling because that originial L$100,000 which was loaned by Player A from the Central Bank ended up into the hands of 500 players through various means. And they are all dropping their money on the Slots. So thanks to Player A for taking out a loan of Linden Dollars from the Central Bank, the SL money supply expanded from L$0.00 to L$100,000. And thanks to Player B for having a vehicle for Player A to repay the loan back to the Central Bank. And because 300,000 other players (if that many really exist) all do the same thing, the money supply can expand and contract as needed. And the Central Bank can control the supply of dollars in the economy through raising and lowering interest rates. The Long/Short of this monetary structure is to allow the economy to expand and contract to compensate for economic changes and to create a stable economy in SL. If the Linden Dollar is going to be a Fiat Currency, might as well structure it to be 100% fiat. Is this post a joke?  Or have you completely lost your mind? _____________________
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ReserveBank Division
Senior Member
Join date: 16 Jan 2006
Posts: 1,408
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08-24-2006 05:23
Supply Linden dumped about 1.2mil L on the market yesterday in controled dumps at 295/1. I think he's hit his tier for the month though so should be a while before anymore Lindens are dumped by LL unless they raise his tier level. Who needs tier levels when you can sell under a stock pile of alts? _____________________
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ReserveBank Division
Senior Member
Join date: 16 Jan 2006
Posts: 1,408
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08-24-2006 05:26
Is this post a joke? Or have you completely lost your mind? Let money be created from Debt. The US Government does this via the Federal Reserve Bank for our Fiat Dollar.. Why not mimic the structure in SL? _____________________
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CJ Carnot
Registered User
Join date: 23 Oct 2005
Posts: 433
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08-24-2006 05:36
Well we aren't "certain" why RBD is here... My newest hypothesis is that he operates a large ponz^h^h^h Bank in SL and is concerned how he is going to manage its inevitable collapse. The devaluation, or as he suggests here, wiping out of the currency, will provide the escape clause he requires. Just a thought. |
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ReserveBank Division
Senior Member
Join date: 16 Jan 2006
Posts: 1,408
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08-24-2006 05:45
My newest hypothesis is that he operates a large ponz^h^h^h Bank in SL and is concerned how he is going to manage its inevitable collapse. The devaluation, or as he suggests here, wiping out of the currency, will provide the escape clause he requires. Just a thought. You never know... You do realize, the SL Banks who hold your deposits actually sell those Linden Dollars for US Dollars. If the valuation of the L$ tanks, they get to buy back those deposits for pennies on the dollar. It does make for a good short play against the L$. _____________________
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Freyr Elvehjem
Registered User
Join date: 13 May 2006
Posts: 133
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08-24-2006 06:31
So sell while you can, because the end of days is near. *yawn* You said the end of days was supposed to be two months ago. What happened? |
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Colette Meiji
Registered User
Join date: 25 Mar 2005
Posts: 15,556
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08-24-2006 06:56
I have noticed over the past year and a half, People having trouble getting a foothold and make L$/USD$ in SL come up with crackpot ideas to "START OVER"
Basically any problem with the Linden and its virtual value will exist with any new version of the Linden. If people arent complaining about the Linden dollar value dropping they are complaining its stagnant. The Linden Dollar doesnt need to be appreciating to be viable. It just needs to hold a value that only decreases slowly. |
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Lee Dimsum
Registered User
Join date: 22 Feb 2006
Posts: 118
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08-24-2006 07:13
Let money be created from Debt. The US Government does this via the Federal Reserve Bank for our Fiat Dollar.. Why not mimic the structure in SL? RBD, If LL issues 1 b L$ as debt with an interest rate of 10% p.a, where will the interest money come from? Out of nothing?  |
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Siggy Romulus
DILLIGAF
Join date: 22 Sep 2003
Posts: 5,711
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08-24-2006 07:21
The structure in which players acquire Linden Dollars is flawed. No matter what people say, you can't ignore the pending problem of too many dollars in SL causing inflation and/or a cronic devaluation of the currency. What rock have you been sleeping under? You've been saying this 'devaluation' line since the L$ was sitting above 310. Whats it at now? hell it was 292 last night. If your first paragraph is proven false - I guess the rest is a 'cure' to a non existant problem... Or more likely - you sold your bucks too soon and would really like the market to climb again for you to get another good deal _____________________
The Second Life forums are living proof as to why it's illegal for people to have sex with farm animals.
I, for one, am highly un-helped by this thread |
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April Firefly
Idiosyncratic Poster
Join date: 3 Aug 2004
Posts: 1,253
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08-24-2006 07:31
Shoot, I thought this was a post about the band The Cure coming to Second Life. I was looking forward to seeing an AV of Robert Smith.
Darn. _____________________
the truth is overrated  The most successful software company in the world does a piss-poor job on all these points. Particularly the first three. Why do you expect Linden Labs to do any better?  |
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Freyr Elvehjem
Registered User
Join date: 13 May 2006
Posts: 133
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08-24-2006 08:04
You've been saying this 'devaluation' line since the L$ was sitting above 310. Actually, if you'd like I can pinpoint a post that shows RBD was screaming about devaluation and how everyone should sell immediately when the L$ was at 326:1. We're now at 293:1, so that's a full 10% rise in the strength of the L$...and yet RBD won't quit with the FUD. |
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Shaun Altman
Fund Manager
Join date: 11 Dec 2004
Posts: 1,011
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08-24-2006 08:11
Let money be created from Debt. The US Government does this via the Federal Reserve Bank for our Fiat Dollar.. Why not mimic the structure in SL? Don't get me started on US economic policies. _____________________
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ReserveBank Division
Senior Member
Join date: 16 Jan 2006
Posts: 1,408
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08-24-2006 08:17
RBD, If LL issues 1 b L$ as debt with an interest rate of 10% p.a, where will the interest money come from? Out of nothing? From Work... Interest is paid from labor... Let me give you an example: It is true that there is not enough money created to include the interest, but it is a fallacy that the only way to pay it back is to borrow still more. The assumption fails to take into account the exchange value of labor. Let us assume that you pay back your L$10,000 loan at the rate of approximately L$900 per month and that about L$80 of that represents interest. You realize you are hard pressed to make your payments so you decide to take on a part-time job. The bank, on the other hand, is now making L$80 profit each month on your loan. Since this amount is classified as "interest," it is not extinguished as is the larger portion which is a return of the loan itself. So this remains as spendable money in the account of the bank. The decision then is made to have the bank's accounting done once a week. You respond to the job ad and are hired at L$80 per month to do the job. The result is that you earn the money to pay the interest on your loan, and -- this is the point -- the money you receive is the same money which you previously had paid. As long as you perform labor for the bank each month, the same dollars go into the bank as interest, then out of the revolving door as your wages, and then back into the bank as loan repayment. It is not necessary that you work directly for the bank. No matter where you earn the money, its origin was a bank and its ultimate destination is a bank. The loop through which it travels can be large or small, but the fact remains: all interest is paid eventually by human effort. And the significance of that fact is even more startling than the assumption that not enough money is created to pay back the interest. _____________________
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ReserveBank Division
Senior Member
Join date: 16 Jan 2006
Posts: 1,408
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08-24-2006 08:25
This is also why I mentioned that on Day 1 of a change over, the interest rate the Central Bank would charge should be 0.00% to get money into the economy asap. But then as things setting down and/or issues of inflation begin to become an issue, the Central Bank can start raising the interest rate to cool the economy and stablize the L$...
And if LL is too lazy to run the Central Bank's policy on what interest rate to charge, than can just farm out the job to a panel of appointed and/or elected SLers to run. They might vote monthly on if to raise/lower rates and by how much. _____________________
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Freyr Elvehjem
Registered User
Join date: 13 May 2006
Posts: 133
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08-24-2006 08:41
This is also why I mentioned that on Day 1 of a change over, the interest rate the Central Bank would charge should be 0.00% to get money into the economy asap. But then as things setting down and/or issues of inflation begin to become an issue, the Central Bank can start raising the interest rate to cool the economy and stablize the L$... Funny...for the past two months the L$ has been stable! And if LL is too lazy to run the Central Bank's policy on what interest rate to charge, than can just farm out the job to a panel of appointed and/or elected SLers to run. They might vote monthly on if to raise/lower rates and by how much. Yes, everyone here already knows of your desire to manipu...er, regulate the SL economy. |
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Joannah Cramer
Registered User
Join date: 12 Apr 2006
Posts: 1,539
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08-24-2006 09:07
(wool) So sell while you can, because the end of days is near. (more wool) There, fixed. That 'no *obvious* threads to try and raise market panic' rule must be *really* annoying, ain't it...  |
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eltee Statosky
Luskie
Join date: 23 Sep 2003
Posts: 1,258
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08-25-2006 11:13
Hahahahahha.... I'm stockpiling to create a massive dump... Keep on raising the valuation of the L$, because its just more money for me at zero hour. so either he's basically trying to manipulate people's currency decisions with direct threats (something i believe is expressly forbidden here) or.. hes... stockpiling... high.. so that he can... sell.. low? obviously this is the next new interenet business. Its light years better than give X away free and make up for it in volume. step four: profit! _____________________
wash, rinse, repeat
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Xes Cela
Registered User
Join date: 6 Nov 2005
Posts: 2
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Economics and Inflation??
08-25-2006 12:08
Ok, I admit, right up front, I am NOT an economist. That said, I do not understand this so called inflation problem or situation, but one thing is blatently obvious to me regarding the Linden $, and real life $, that IS inflationary.
If, I as a player wish to buy $L5,000, and I get 300 lindens for each dollar, my credit card is charged $16.67. If, I as a player wish to buy $L5,000, and I get 290 lindens for each dollar, my credit card is charged $17.24 I, as a player, find that playing SL, is inflationary, as the Linden rate drops, which is what it seems all you posters want. I am unclear how a lower linden, is ANTI-inflationary, except for all you speculators, trying to rip off the average player's credit cards!!! So now, in order to generate enough income from sales or rentals to pay my tiers, I have to charge MORE for my goods or land in SL to pay in RL dollars. Again, this is INflationary to the user/player. The whole argument of making the Linden dollar fall more and more, only creates INflation in SL, defeating every argument you exploiters appear to be providing. So, why not just peg the Linden at $300/dollar, and be done with all of the exploit being commited by the Linden seller speculators, and let users play the damn game, at a fixed price? Then every player of Second Life knows what to charge for goods, to achieve the income to pay for their tiers. Take the Linden dollar exploit OUT of the game, and let the players... play, and the Linden speculators, go play in the real stock market. Remember..... the MORE it costs to play SL (in RL dollars) .... the fewer the number of paying customers.. or buying customers. |
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Freyr Elvehjem
Registered User
Join date: 13 May 2006
Posts: 133
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08-25-2006 12:12
Stuck in a trading range at L$300 for weeks.. Hit me up when you see it rally to L$290.. I'll call the farm and tell them release the Pigs to begin flying.. It's at 286:1 right now. What's your latest excuse? |
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Zonax Delorean
Registered User
Join date: 5 Jun 2004
Posts: 767
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08-25-2006 12:14
Stuck in a trading range at L$300 for weeks.. Hit me up when you see it rally to L$290.. I'll call the farm and tell them release the Pigs to begin flying.. Just got this in my mailbox: "Dear Zonax, Thank you for using LindeX. Your sell order #184XXX for L$XX000 at L$288/US$1.00 has been filled for a net income of US$XX.XX." (The XX's were placed by me.) |
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Zonax Delorean
Registered User
Join date: 5 Jun 2004
Posts: 767
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08-25-2006 12:18
Me give up? Bahahaha... Do you? I'll be here until the death of the forums. An ever lasting icon.. Nobody will remember the babble from Mcgeeb, but RBD will be spoken of years from now as the greatest economic mind that has ever graced SL. Your blindless devotion to the L$ will leave you with lint in your pocket. Just because Molotov invented a cocktail, and his name therefore frequently remembered, doesn't imply he was a good or otherwise smart man. |