** How to Crash the LINDEX and Profit from it!
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Shaun Altman
Fund Manager
Join date: 11 Dec 2004
Posts: 1,011
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12-01-2005 07:36
From: Logan Bauer Bear in mind - I'm not an economist and yes this is speculation.  What I mean is, if they value of the L$ drops enough, and if people have less faith in the stability of the L$, more people will withdraw money from Ginko. I can't find the exact quote but I think Nicholas said basically they had converted X amt of L$ to real-world cash and the amt of new-clients and new money coming in was covering the day-to-day influx/outflux, it didn't make economic sense for them to convert any of that real-world money back to L$. Sure, Ginko will be getting a better deal, but converting cash back into L$ while/if a large # of people panic and pull their money out of Ginko means that Ginko has less real-world money to fund whatever project it is they are using to generate such a high rate of return. This is still good for Ginko. Eventually, people will cash out. If they're cashing out with a crashed L$ then Ginko only has to sell off a fraction of whatever these "projects" are in order to pay the withdrawals. |
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blaze Spinnaker
1/2 Serious
Join date: 12 Aug 2004
Posts: 5,898
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12-01-2005 07:51
Unless of course they are secretively in SL and are using their funds to compete with Anshe and that's why they don't want to tell anyone who they are.
And why Anshe is so obsessed with knowing who they are!
It would also explain why LL has gone to such lengths to defend Ginko against the community.
Personally, however, I believe the problem is that deception should not be a standard of doing business around here.
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Taken from The last paragraph on pg. 16 of Cory Ondrejka's paper " Changing Realities: User Creation, Communication, and Innovation in Digital Worlds : " User-created content takes the idea of leveraging player opinions a step further by allowing them to effectively prototype new ideas and features. Developers can then measure which new concepts most improve the products and incorporate them into the game in future patches."
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Steve Nilsson
Registered User
Join date: 2 Jun 2005
Posts: 6
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12-01-2005 08:13
Hmm...should I dump my $612L balance before the big crash or buy a free helicopter with it. Decisions decisions...(puts aside $1000US for a rainy day.)  |
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Dark Korvin
Player in the RL game
Join date: 13 Jun 2005
Posts: 769
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12-01-2005 08:15
From: blaze Spinnaker Unless of course they are secretively in SL and are using their funds to compete with Anshe and that's why they don't want to tell anyone who they are.
And why Anshe is so obsessed with knowing who they are!
It would also explain why LL has gone to such lengths to defend Ginko against the community.
Personally, however, I believe the problem is that deception should not be a standard of doing business around here. Anything in the world can be speculated about something with no informaiton. 1. If they are doing this, then it can't be all they do. You can buy around 50 sims over time with that much money. I am not aware of a competitor of Anshe with that much money, and I think it is safe to say at this point that Anshe has no financial investment in Ginko with the lack of vocal support she gives it. 2. Being a land seller is not such sensitive information that you have to hide it to keep from getting investors. 3. You are starting with an assumption this is someone no one knows is connected to Ginko, and then deciding that Anshe knows about it. How does she know about this? 4. I can undederstand how Linden Labs would know about it, but I have not seen Linden Labs defend Ginko. I've seen them take the stance that we are the service provider, and you are the ones that choose and create risk with your own free will. That is not defense, that is do what you like, we just give you media to do whatever you like. 5. Linden Labs does not take a land owner defense stance. If they did, then they wouldn't have made land supply unlimited to keep land owners from making more money and land more expensive. I know people like to assume land is being made more expensive, but I don't think they realize how much supply has been created to buffer the growth of the last month. Land prices could of been much, much higher. Think about how much more the price would of jumped if the amount of land for sale didn't almost double. |
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Logan Bauer
Inept Adept
Join date: 13 Jun 2004
Posts: 2,237
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12-01-2005 08:19
From: Shaun Altman This is still good for Ginko. Eventually, people will cash out. If they're cashing out with a crashed L$ then Ginko only has to sell off a fraction of whatever these "projects" are in order to pay the withdrawals. I guess it all depends on how far the market falls and how fast, contrasted against how many people would panic and withdraw from Ginko as a result of seeing the market crash. It could infact be good for Ginko, if not that many people were panicing and withdrawing, and the market value fell a great deal. However, if the L$ had not fell that much, say around 80% of what it's value was a month ago... and 1/2 of the people invested in Ginko pulled out due to panic, then it wouldn't be good for Ginko, or am I misunderstanding something? Sure, not a likely situation, and also speculation, ect, but am I correct in thinking that someone could attempt/be attempting to do this? |
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Dark Korvin
Player in the RL game
Join date: 13 Jun 2005
Posts: 769
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12-01-2005 08:37
In addition to what I said earlier. I do think the method described could be done, but the market does not have the walls it normally does near the low prices. This does not look the same as what was happening on GOM. GOM had single orders (you could see each indiviudal order) for several million dollars acting as walls. Under half a million at each slot is not as strong of a wall. Markets always have times they go down, but the down times are always followed by an up time. Even if people are trying to crash the market, they will need the market to jump back up to make money at some point. Everyone already knows what to do. Buy when the price is low, and sell when the price is high. Don't let someone convince you the world is coming to an end, and your only chance is to sell now or forever be doomed.
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Desmond Shang
Guvnah of Caledon
Join date: 14 Mar 2005
Posts: 5,250
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12-01-2005 09:25
I don't think the fluctuations on the Lindex have much of anything to do with Ginko.
There are likely some speculators on Lindex, maybe even some fairly large scale operations.
But if they are working a profit-pump out of the Lindex's (so far) relatively small fluctuations it doesn't affect the rest of us that much.
If anyone is smart enough to legitimately trade themselves into a fortune, well, that's wonderful in my book. I'm just not willing to work that hard, myself.
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 Steampunk Victorian, Well-Mannered Caledon!
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Ferran Brodsky
Better living through rum
Join date: 3 Feb 2004
Posts: 821
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12-01-2005 10:05
From: Strife Onizuka Silly question? what would happen if someone decided to do the same thing while you were doing it and they under priced you? Wouldn't they rake in the profits? Or more accurately what if..... A- The person starting this thread is trying to get others with more L$ available to lower the market so they can buy up a bunch at reduced rates without any investment on their part. B - The person starting this thread did not account for 15-20+ people all trying to do the same thing. But if they are not investing themselves they still win. C - Pie. D - Punch. E - All of the above. Basically what I want to say is "The market is what you make it" if you want to rape it, yes you can. But, should you? |
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Hiro Queso
503less
Join date: 23 Feb 2005
Posts: 2,753
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12-01-2005 10:44
From: Ferran Brodsky "The market is what you make it" if you want to rape it, yes you can. But, should you? Well some would argue that if it's drunk, it was asking for it.  |
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Ferran Brodsky
Better living through rum
Join date: 3 Feb 2004
Posts: 821
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12-01-2005 10:47
From: Hiro Queso Well some would argue that if it's drunk, it was asking for it. And it is kind of dressed slutty too |
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Hiro Queso
503less
Join date: 23 Feb 2005
Posts: 2,753
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12-01-2005 10:53
From: Ferran Brodsky And it is kind of dressed slutty too Well there you go then, fair game! |
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Kyran Nyak
Certified lunatic
Join date: 4 Jan 2005
Posts: 24
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12-01-2005 12:46
From: Hubbard Thetan P.S. IM me for an excellent "ZX4 Attack Heli" helicopter - NO CHARGE! That's right, FREE! Thats a full L$500 less than at some "discount stores" in SecondLife!
Hubbard Thetan - Your Bridge to Bargains! XD |
