Financial News Update
by Jessica Holyoke on 18/01/08 at 8:34 am
by Jessica Holyoke
A week after the announcement of the upcoming Linden Banking Ban, Lindens and residents are reacting in different ways. The Linden reaction is that "payment of interest", the main prohibition on offering a bank goes both ways. Paying interest on deposits is prohibited, but according to some Lindens that responded in writing, receiving interest on loans or credit cards is also prohibited.
Various banks are coming up with new business plans. While BCX Bank and SL Investor’s Bank are exploring new possibilities, some banks like Bank of SL are no longer going to be paying interest on balances.
Other banks, like SL Business Bank, have disappeared from Search. JT Financial is transforming to an Avatar to RL Merchant exchange service called SL Wallet. All cash balances will be transferred from JT Financial to SL Wallet, presumably under the Arbitrage Associates LLC name.
BnT is looking to the Middle Ages for a solution called "Contractus Trinium" where the depositor agrees to deposit a sum of money in BNT Financial for zero interest on a daily, monthly, quarterly, or annual period, the depositor agrees to purchase, from BnT, insurance against default in an amount of 2.5 L$ per 1000L$ deposited, per day and then the depositor, agrees to sell to BnT, all rights to profit from use of this capital, for the amount of 10L$ per 1000L$ deposited, per day. At the same time, BnT is registering as an LLC. (source: www.ancapex.com)
Two banks with trustworthy reputations are going two different routes. SL Bank, a small quiet contender on the financial scene, as featured on Virtually Blind, is closing its doors after offering instant withdrawals for all of its customers. L&L Trust, known for its reasonable interest rates, is chartering the entity as a credit union and will be able to offer similar financial services as before.
Ginko Financial was supposedly the cause of the ban, while other frauds unmentioned include Jasper Tizzy’s The Bank, where Tizzy just disappeared, and Dylan7679 DeCosta’s Banca d’Italia, which was rumored to have illegal off-grid currency auctions.
In Ginko bailout news, Shaun Altman recently announced the sale of Ginko owned land netting L$300,000 for the Ginko depositors, now on record with the on-hiatus WSE. Altman is currently waiting to unload Ginko’s holdings of BnT stock, which is being restricted so that the market is not flooded with shares.
Loldongs
Jan 18th, 2008
Why would anyone invest in this crap anyway? take your money to wall street instead, and get real money, not this stupid spacebux crap.
Better ask your dad for another grand, intblub.
Go on a diet while you’re at it.
DaveOner
Jan 18th, 2008
If you still get involved with SL banks at this point, you probably need to wear a helmet when you go outside. I had and still have no sympathy for people that lost large sums of money in these jokes. You probably should have lost more!
How about you just give me your money instead? I can guarantee the same type of return that Ginko or “The Bank” gave!
Chav Paderborn
Jan 18th, 2008
sl is serrius bizness indeed
Benjamin Duranske
Jan 18th, 2008
FYI – the VB article on SL Bank referenced here is available at the following link:
http://virtuallyblind.com/2008/01/16/sl-banks-teufel-hauptmann/
Ben
rjs
Jan 18th, 2008
“Our con didn’t work…hmmmm, now we’ll have to investigate how to make money in SL without offering any real services like before, with no skills, education, or financial backgrounds.”
“Oh wait, that is what our business model was before. Only difference is we cannot offer the interest which was our only non product that brought in the idiots.. Hmmmm….”
“OH GOD, I have it, I’ll create “SL-Wallet”, it’s smaller than a bank, and it too was designed to hold money! I am so darn smart I impress my self. Now, how to get other peoples L in my SL-Wallet.. hmmmm”
Official SL Blankers Bog
–rjs
rjs
Jan 18th, 2008
“In Ginko bailout news, Shaun Altman recently announced the sale of Ginko owned land netting L$300,000 for the Ginko depositors,”
Okay.
750.000 USD
- 300.000 L dollars
——————–
350,000 “L” dollars
“we now owe use peeps 350,000 L dollars, whew, I thought they would be calling Ginko a con scheme.”
Official Bonkers Blag
–rjs
rjs
Jan 18th, 2008
“BnT is looking to the Middle Ages for a solution called “Contractus Trinium” where the depositor agrees to deposit a sum of money in BNT Financial for zero interest on a daily, monthly, quarterly, or annual period, the depositor agrees to purchase, from BnT, insurance against default in an amount of 2.5 L$ per 1000L$ deposited, per day and then the depositor, agrees to sell to BnT, all rights to profit from use of this capital, for the amount of 10L$ per 1000L$ deposited, per day.”
“Sorry dudes and dudetts, but Linden flucked us up. Now we gotta do this nother way cuz we don’t want mom finding out.
so.. give us your money, then pay us to insure it, then give us rights to use it then we do the big stuff called “contact us trilliam”. It’s on Wikipedia. we got LLC online so now we are real businezus. OH GOSH, mom’s home gotta go”
Official Blankers Bog
–rjs
Angel
Jan 19th, 2008
Heh “Contractus Trinium” is one of those things that when googled only turn up the article it’s mentioned in. A Googlewhack ( http://en.wikipedia.org/wiki/Googlewhack )
Generally that means it’s made up.
IntLibber Brautigan
Jan 19th, 2008
Angel Mootykips sayeth,
“Heh “Contractus Trinium” is one of those things that when googled only turn up the article it’s mentioned in. A Googlewhack”
Angel, actually what that means is your latin sucks, which is surprising given how educated you claim to be.
The actual term is Contractum Trinius. Google it, you’ll find lots of references. Don’t be a dummy, spell your latin right. What am I saying? This is the Herald….
Jessica Holyoke
Jan 19th, 2008
Actually, its my bad latin. I used trinium instead of trinius. It may be because when I initially saw it mentioned, it was spelled trinium, and not trinius, in IM and it stuck in my head, even after it was corrected.
IntLibber Brautigan
Jan 19th, 2008
btw, Jessica, I actually said BNT was an LLC already, we’ve been M2B LLC for many months now (date of formation January 24th, 2007). The other day I registered that Delaware LLC as a foreign LLC doing business in New Hampshire, in order to register our trade names, Brautigan & Tuck Holdings, BNT Financial, and Ancapistan Capital Exchange.
I was also able to confirm the following law here in NH:
a) payday loans, i.e. short term loans, have NO interest limits here in New Hampshire. The state legislature is trying to cap them at 36% now, but it likely wont pass. Payday loan companies typically charge over 300% APR equivalent in fees, so this demonstrates that, even in the real world, the interest rates that SL banks charge, and pay depositors, are not “unsustainable”.
b) unless BNT Financial reaches 25,000 USD in capital, no license is required in the state of New Hampshire. Our current deposits are 4 million L$, or about 15,000 USD, well within the limits.