L$ Exchange Panic – Spacebux Value Slides!!!
by Pixeleen Mistral on 17/06/10 at 11:28 am
On the Lindex currency exchange, the value of the L$ fell sharply yesterday as the average L$ per $1.00 USD rose to 279.76 – well above the recent average of around L$ 262. With price levels not seen in over 4 years, the market panic led to a statement from M Linden – "recent weeks have seen some reduction in economic activity compared to the record activity of the first quarter, as well as some uncertainty in the wake of recent corporate anouncements".
fire sale on L$s – but not enough buyers
A master of understatement, M Linden also pointed out, "uncertainty related to the corporate restructuring announced last week by Linden Lab, contributed to an imbalance between supply and demand on the LindeX today".
With volatility not seen in over 4 years and weak demand for L$ spacebux, it is unclear what today’s trading will bring. Land owners who must pay tier fees to Linden Lab with real dollars have little choice but to sell L$s, but as the market digests the implications of last week’s sudden 30% cut in Lab staffing levels, it may be difficult to find enough buyers to maintain the L$ spacebux value against real world currencies. A round of L$ price inflation seems likely if the slide in value continues. Mudflation anyone?
Curious
Jun 18th, 2010
With the Xstreet marketplace who needs an inworld store? Since I have started using Xstreet and the CDS spybot came about, I have had to stand and wait in a sea of lag for items to load or had my personal information hijacked from my computer, I shop on Xstreet.
I think many others like this other choice too. this would account for many of the parcels for sale and stores that only do business in world losing sales.
Father Jones
Jun 18th, 2010
Most casino owners are still there but they did not invest in other enterprises. They just followed Linden Labs way to keep gambling in SL and openend hundreds and hundreds of Zyngo-casino’s. Of course a lot of bingo-like clones were scripted after that fact as well as other so called ‘games of skill’. Type in ‘zyngo’ in search + in classifieds ads and you might become aware of how huge this gamblingbusiness still is. Games where you need to put in 100k L$ to win 1 Million L$ in a 3 minutes game session, is that normal and innocent ? Linden Lab allowed those games after the gambling ban to prevent the real economical crisis in SL that was happening. That day they were no longer respecting their own TOS anymore. They became dishonest and greedy just to keep the size of their company as it was and to keep all emplyees at work. Somewhat understandable, but what goes around comes around. Right now they already had to get rid of 30% of their personel. This the beginning of the end of SL and Linden Lab deserves it.
IntLibber Brautigan
Jun 18th, 2010
Jones,
Nice revisionism, but LL didn’t allow any gaming for a good 6-12 months after the ban. Prior to the ban, casino owners invested many millions of L$ in other SL businesses, and indirectly through SL banks. The beginning of the run on Ginko Bank began with the gambling ban, as casino owners pulled their deposits to leave SL, and drained its reserves to 0. Similarly, Midas Commons lost 1/3 of his assets in the gambling ban. The other 2/3 of his weath was in other businesses he built with profits from his casino industry profits. He was finally ruined when LukeConnell Vandeverre seized all his assets on the World Stock Exchange when Midas protested Luke refusing to pay the dividend on a bond Luke had issued.
Quite a number of estate owners today raised the capital for their sims from casinos back in the day.
IntLibber Brautigan
Jun 18th, 2010
Jane,
Hardly insults. You claim that people advertising on their own land were being “abusive”? How so? Because you and your fellow busy bodies didn’t like the appearance of advertising? I suppose you are one of those people who only watch public television, but oh, they have advertising also these days…
Just because you don’t like the appearance of something on someone elses land doesn’t mean they are abusing you. It is when you start trying to impose your will on others, what they can do on their own land, that you are, in fact, a fascist. That is what fascism is about: using force to compel people to use their property in ways only the state prescribes and nothing else. That was the point of all the “land extortion” hyperbole and spin that you and your friends used to justify your demands for bans, but you played right into LL’s hands, giving them the public support they needed to monopolize the advertising market.
If I sound insulting, well, too bad. Thats what fascists deserve.
The fact that you clearly don’t understand a bit of basic economics is also quite clear. I’m sure you voted for Obama too.
IntLibber Brautigan
Jun 18th, 2010
Unfixable,
Once again, you have your head rammed firmly up your ass. Keep sipping that LL kool aid.
FACT: Current market, two days since the panic selloff started, and the ratio of L$ buyers versus sellers in the limit orders shows there is L$248 million in the queue to be sold, but only L$28 million in the queue to buy Linden dollars. Any market where sellers outnumber buyers by 9 to 1 is a serious panic market. Current spread is 274 on the sell side and 285 on the buy side.
Sorry bub, but your spin doctoring is epic fail.
There is more than $890,000 USD in sell orders waiting to be filled, and less than $100,000 USD in buy orders coming into SL. This is a very serious case of capital flight. I will not be surprised to see the exchange rate rise some more in the next 24-48 hours as people grow frustrated with their sell orders remaining unfilled. Once the rate hits 290 then there will be a serious panic with daily price excursions up to 330 regularly as people seek to get their money out of SL at any cost.
Mrs. Wiggles
Jun 18th, 2010
Is it only a Godwin if you actually mention H by name? Or is it enough to just say -
“you are, in fact, a fascist”
Close enough, I guess. Also can I be a fascist too? I mean, just thinking about it, I realized a minute ago that if my RL neighbor decided to put up a billboard above his house, in my residential neighborhood, and deck out the billboard (let’s say it’s for hard-on pills) with 24/7 mercury floodlights and a stadium-quality sound system playing hard-on pills jingles, also 24/7… that I might find that objectionable in some way. I must be a fascist. Can I get a full-on black outfit with jackboots with that, or do I have to settle for some little “I want everyone to obey me!” lapel pin?
Oh, I know! I voted for Obama, and I sort of don’t like that oil spill thing even though big business (which is NEVER wrong) created it, so maybe that qualifies me for both the SS uniform AND the lapel pin?
Anyway, I’m now off to march in favor of random publicly-financed vivisections of old ladies. Make way for the fascista!
It's Unfixable
Jun 18th, 2010
Pfft! The fact that for all your buzzword spouting, Intblub, that you still killed your business, your reputation and every viable contract you’ve ever had in your entire life just sort of trashes anything you might have to say before you even open your mouth.
IntLibber Brautigan
Jun 18th, 2010
Unfixable Linden,
Attack the messenger, thats what they taught you in PR school eh? That is what is known as a logical fallacy, ad hominem.
The fact is, that LL stole my money and, with the help of the JLU, drove my customers out of my sims. That’s called racketeering, bub.
I definitely earned LL’s ire because I was always consistently one of the few people who wasn’t a kool aid sipping kissass worshipping at the Tao of Linden like the likes of you.
Pepper
Jun 18th, 2010
Aren’t many of those open orders simply hedging transactions placed just in case there is a run in the selloff direction? So as to not get caught when the fire alarm rings?
And…it does not look like anyone is volunteering to play George Bailey.
IntLibber Brautigan
Jun 18th, 2010
Pepper,
They aren’t hedging transactions, the Lindex doesn’t have options or futures, so there isn’t any hedging going on (though it would be very educational if it did have such options trading). Limit orders do tend to signal the sentiment of the market, though. When the buy rate rises, that means that there are more people willing to sell at market rates, selling into the buy limit orders outstanding. When there are more sells than buys, this creates upward pressure. The ratio of sell vs buy limit orders is a good indicator of where the market is heading.
UPDATE: Current L$ sell orders have expanded by 400,000 L$ while buy orders have only increased by 90k.
What one can do if one has access to real time volume information, is measure what orders are being bought and sold into from minute to minute so you can track the flow better.
However at this point, it is clear that upward price pressure is continuing, the value of the L$ will continue to crash unless LL takes a strong hand again to force the market back to “normal” pricing.
TW
Jun 18th, 2010
Those of us in the “know” have already left Second Life. Linden, just as has been stated on this site will be paying the price for their ill gotten gains.
I wipe the dust from my feet with this company. And they will now be in steady decline until they decide to give up the ship for what they have done. They will not only stand before the creator with their evil deity centric views, they will dance on the pole in the attic that only they can create through their mind games and corrupt ways.
And that is a fact.
Jayd3n
Jun 18th, 2010
Well I read like every Post on this page, and I really agree with IntLibber. Linden Lab has been letting Second Life turn into total Trash Recently. The Massive IntLibber ban, Take all his Estates, assets, ect. The Casinos, and Woodbury, and such.
Here is the thing.
Linden Lab is supporting Emerald, and Skills Hak, They kiss their behinds because Skills has 5 Estates in Second Life, and a massive ammount of customers. They support Emerald because everyone likes their viewer, But at what cost does the public have to pay for such. While Emerald Client maybe 100% Legal, they are using the Legal Project to cover up their illegal Projects for personal uses, Linden Lab backs up their Legal Project and everything, and Bans Woodbury based on outside evidence of Hacking, and because a big number of people hated them, like JLU,Emerald, ect.
JLU,Skills, and Emerald have drove Second Life into the ground, and it is about time I feel Linden Lab should do something about this. I dont really care what their intentions are, their illegal Ninja Scanning bots, and privacy violations are fearing Customers out of Second Life as a community, and once more people Leave, with no new people comming into SL to spend, or build, but just FK around all day, SL is going to die, So what a Few Copybotters here and there, it is wrong, but those users get banned eventually Killled their copybots removed, Let LL Deal with it, not a couple of idiots who have been here since 2008, and cant even show a certificate of education in LSL, and dont even live in the U.S. Yeah thats right.
I know people since 2003 who know Copybots, and LSL, and passed down quite a bit to me on some of this stuff, they have been here since Beta, unlike the stupid CCA,Modular Systems, JLU/Skills.
**OFF TOPIC**
Today I Open Beta Tested APB (All Points Bulletin MMO), it is out for release on the 26th of this month, and guess what.
Players can Create their own Clothing, and Social just like Second Life, This is proof that other MMO games are becomming more and more like SL Every Year, once that happens Linden Lab is bound to loose more people. Also this game has no DMCA Report process, because all content created Belongs to that company using 100% in game tools.
I cant say its as good as Second Life, but other MMO games are getting there, and honestly Im starting to think, why the hell am I paying $295 + USD a month to Linden Lab, when Skills Hak attempts to defame me of being a Copybutter with no evidence, Attacks me personally with his Scripted shit in SL, and Linden Lab does nothing about it. So I might just cancel everything, and say screw it, at Least APB doesnt have Drama like SL.
Emperor Norton hears a who?
Jun 18th, 2010
I think it is high time we pointed out that Adolph Hitler wanted to fix an economic down turn – just like Mark Kingdon wants to!
Curious
Jun 18th, 2010
“I think it is high time we pointed out that Adolph Hitler wanted to fix an economic down turn – just like Mark Kingdon wants to!”
OMG here comes Godwin! LMAO
It's Unfixable
Jun 18th, 2010
Oh, yeah. Some bunch of gophers in tights, a software company that doesn’t even sell its work, and the deletion of two estates totaling less than a thousandth of one percent of SL is what killed SL.
Okay, it took a while, but Unfixable’s Law finally kicked in. What a bunch of ignoramouses. Do you LISTEN to yourselves?
Honestly.
Little Lost Linden
Jun 18th, 2010
Ever wonder what would happen to the Lindex Exchange if all the bot owners removed their bots at the exact same time thusly killing the daily concurrency numbers?
I wonder if that would have any even bigger affect on the Lindex than the 30% layoffs did?
Little Lost Linden
http://www.thebotzone.net
Emperor Norton hears a who?
Jun 18th, 2010
Little Lost Linden,
You know who else padded the numbers? Adolph Hitler, that’s who. History is just repeating itself here.
You have to face facts; the Woodburry banned PROVED Kingdon is pure evil and will destroy anyone who stands in his way That discussion is over.
Adam Eight
Jun 18th, 2010
Great idea on the bot withdrawal. The concurrency has been steadily dropping for some time now.
Kingdon is a complete idiot and not qualified to run any company, let alone Linden Lab. He doesn’t understand economics in the least – or marketing for that matter. It’s a shame, because things were fine before he arrived.
As of 4pm SLT on 18 June, Sell orders on the Lindex are just under US$ 1 Million and Buy orders are around US$100k. Ten to one sell vs. buy. Do the math. And that’s valuing at L$280 to US$1.
Although I love SL and have been a resident since 2004, I’ve lost so much money (US$ 70k plus) since M arrived that I want this company to slide into the dirt until Rosedale wakes up from his Chairman slumber and ousts Kingdon… aka Botox Boy from the NY Hamptons.
Kingdon has absolutely no clue what he’s doing. He’s drunk on his own hubris, always has been. Keep up the good posts and spread the word. LL needs to get rid of this guy quickly.
Gaara Sandalwood
Jun 19th, 2010
“Okay, it took a while, but Unfixable’s Law finally kicked in.”
Yet again, called it.
Darien Caldwell
Jun 19th, 2010
it’s amazing how many ignorant people there are. But it is the Internet I guess.
It’s been said many times, but maybe just once more will make it sink in.
Companies lay people off all the time. HP recently laid of 6,000 and has plans to lay off even more. Makes 100 people seem like peanuts, doesn’t it? And yet, they are still in business, and will continue to be in business. Layoffs don’t mean they are going out of business. It’s just a cost saving measure. Maybe it’s because I’ve worked in the corporate world for decades, but layoffs are no big deal.
$L fluctuation, is just people like the posters here, panicking over nothing (as usual) and causing the spike. LL could do something about it, but why should they? It’s great for their customers, who buy L and buy things, and use the service. The L per dollar has already started to go down, and will continue to, as people ‘get over it’.
In 6 months, people wont’ even remember any of this and things will go on their merry way. Such is life.
Kiddoh
Jun 19th, 2010
“Okay, it took a while, but Unfixable’s Law finally kicked in. What a bunch of ignoramouses. Do you LISTEN to yourselves?
Honestly.”
Do YOU listen to yourself? You cry too much over spilled milk, m’am. But don’t worry, Woodbury University will always be here for you.
a furry
Jun 19th, 2010
@ Darien Caldwell, i feel that LL could get more people into sl if they advertised it on tv. World of Warcraft is running ads on tv. so LL should do the same thing.
Darien Caldwell
Jun 19th, 2010
@ a Furry,
Perhaps. But I think the biggest obstacle for LL is that Second Life hasn’t been able to define itself. People are less likely to use something they don’t even understand. Personally I think LL needs to take SL in some direction, to define it’s identity, rather than trying to be everything to all people. Only then, when it can be classifed, as being something can people understand it’s use and decide it fills their corresponding need.
Gundel Gaukelei
Jun 19th, 2010
After what happened to the Euro lately, this one makes me yawn.
LOL
Jun 19th, 2010
M Linden also pointed out, “uncertainty related to the corporate restructuring announced last week by Linden Lab, contributed to an imbalance between supply and demand on the LindeX today”.
That just means that LL Fired the Lindens who were scamming the residents and skimming $ off the top…. DUH
Clippy Office Assistant
Jun 19th, 2010
It looks like you are starting a bank.
Would you like help?
- Get help with starting the bank
- Just start the bank without help
Rinaldo Debevec
Jun 19th, 2010
I’ve been watching the L$ market for a couple of days now and it appears that the invisibile hand of the Linden Lab central bank has set targets and gradually soaked up the excess sell orders and has quelled the panic. My confidence in LL’s management of the money supply has recovered. In fact, in light of what has happened, I have greater respect than ever, they handled the monetary crisis very well!
Perhaps there is a future for SL after all ???
IntLibber Brautigan
Jun 19th, 2010
Things have calmed a bit, but there’s still L$216 million on the sell side and a mere 37 million on the buy side. Sellers outnumber buyers by almost six to one.
Looks like Supply Linden has put in an 11 million L$ buy order to cap prices at 281. Thats over 40 thousand USD in limit orders capping the market.
Apparently Mark finally got someone assigned to the job of Supply Linden once he figured out which of the people he fired was in charge of that. We’ll see if they have the budget to soak up (i.e. pay off) all the panicking sellers who are selling at market rates.
Daily volume was at 90 million yesterday, above the average 70-80 million range. Average rate 275.9 with a tighter spread than previous days, which tells us that the market is settling in to accept a 275 price as the new average. If the news cycle sets of a second wave of panic sellers it may bump up again.
Rinaldo Debevec
Jun 19th, 2010
I’ve been thinking about the impact that buying up L$ might have on LL’s bottom line, and i think they can buy a huge amount, because for them to buy L$ all they are really doing is giving the seller a USD credit to their account. So it will temporarily reduce their future revenue going forward, but they do not have to put up actual cash to buy L$.
It would be interesting to know how much volume there is of users cashing out their USD credits. For that, LL has to actually draw upon their cash to pay money to your paypal or bank account or credit card. But we don’t know this volume and probably never will.
Most users are like myself: we operate at a break-even or deficit in Second Life so we are rarely cashing out L$ for USD, we are applying the USD credit towards tier or use it to buy things in-world,
My conclusion: although LL has probably bought hundreds of thousands of USD equivalent in L$ over the last few days, only a percentage of that is being cashed out to USD, possibly as little as 10% (but probably no more than 30% .,. just a wild seat-of-the-pants guesstimate
Therefore, LL has plenty of resources to maintain currency stability and bring the exchange rate back to where it was before the panic.
… and last time I looked, the sell rate was back down to L$268 … only 2% below the L$262 rate we enjoyed before the crash.
IntLibber Brautigan
Jun 19th, 2010
“So it will temporarily reduce their future revenue going forward, but they do not have to put up actual cash to buy L$.”
It matters who is doing the cashing out and whether they put it through process credit. Generally, if someone is wanting to get the hell out of the L$ economy, as it is evident some people were this week, they arent going to leave the money on their account, but they will process it back to their paypal account or to their bank account.
With over 30,000 sims, this means their daily revenue from tier is on average, $200,000 US. It appears that over the last two days, some people cashed out on the order of L$60 million, which comes out to US$218,000, so LL’s revenues for the past two days have been cut by 50% (this includes their profit on the exchange fees as well).
If this impact on revenues were to continue, LL would be looking at cutting their staffing by half again pretty soon.
Little Lost Linden
Jun 19th, 2010
“It appears that over the last two days, some people cashed out on the order of L$60 million, which comes out to US$218,000, so LL’s revenues for the past two days have been cut by 50% (this includes their profit on the exchange fees as well).
If this impact on revenues were to continue, LL would be looking at cutting their staffing by half again pretty soon.”
Quite the roller coaster couple of weeks. First the layoffs, then the LindeX™, and this encroaching Monday the 21st brings in SL7B week!
Holy Moly I say…..Holy Moly…Too much happening too soon and it’s making my head spin. If I could only change my voice so I could be someone else and step outside myself to relax… What? They have that now too? Holy M Linden Moly.
Ok, there, my head stopped spinning so much.
King Reggin
Jun 19th, 2010
Hope you all go bankrupt from wasting money on Second Life! GEt a first life!
Rinaldo Debevec
Jun 19th, 2010
It may not always be a cake walk, but SL is always interesting never boring, always complex, always surprising, often inspiring and just as often revolting. Little Lost Linden calls it a roller-coaster .. .hell yes it is! There’s nothing else like it, and with all its faults, I still think SL is the greatest personal entertainment invention since television. And right now it’s approximately 1951 and we haven’t even seen The Honeymooners or I Love Lucy yet!
…. sorry if I sound syrupy and sentimental, it’s Saturday evening and I’ve been drinkin’ some of Pappy Enoch’s white lightnin’ !!!
Marx Dudek
Jun 20th, 2010
@King Reggin: Says the fabulously exciting person who lives such an exceptionally full and rewarding life … and yet still has time to log in from some exotic locale to troll.
Pappy Enoch
Jun 20th, 2010
@Marx, King were usin’ Omar Sharif’s new cornputin’ mersheen on our yacht and done trolled the list. Rascal keeps swimming out here every time he loses big at the Casino Royale. Got to get that there fake ID away from him.
I were sunbathin’ in my new French bikini that Omar done bought me, but I woke up rite fast when I seem a 13-year-old pimple-boy starin’ at my cha-cha bingos. I done telled him to “git” because Omar am a lovey-dove except when some rascal sneaks on board. Then he cuts ‘em up and we goes chummin’ for sharks.
So I throwed King overboard myself, a skill you learns in hillbilly-supermodel skool. I reckon he’ll find some other place to troll us. Skinny pimply boys has a way o’ not givin’ up.
@Rinaldo, you am rite on that. I knows that I Luvs Lucy am first rate stuff, but we ain’t even got close to Bonanza or Gunsmoke yet in SL. The best am yet to come!
IntLibber Brautigan
Jun 20th, 2010
It’s sunday, and sellers continue to outnumber buyers by nearly 6 to 1. (5.73 to be exact), with 218 million for sale and a mere 38 million on the buy side. To return exchange rates to the pre-crash levels, LL is going to have to buy up over 70 million L$ in current sell orders, or about a quarter million US dollars. THAT is the cost of stabilizing exchange rates. That is money LL doesn’t have to play with. About 3.7% of its monthly revenues, which is probably a fat chunk of its profit margin.
Yesterday there was almost 100 million L$ in sell orders needing to be bought in order to return exchange rates to their prior levels, so the lab (or some idiot) bought 30 million in overpriced L$ between yesterday and today. Add that in to the 70 million left to buy, and thats a good $370,000 US, or over 6% of LLs monthly revenues. Adding in all the L$ sold off in prior days (about 40 million above average) and pretty soon you are talking some serious dough.
Now, if I were M Linden and was intent on maximizing profits prior to a buyout or an IPO, a 6% boost in monthly revenues by stopping the Supply Linden subsidizing of buying out user L$ savings, would seem a pretty smart decision. Most companys in this world can’t boast of earning a 6% profit margin, being able to add that on in one month is a stroke of corporate raider brilliance. Raising monthly profit margins by 6% by ending the fixing of exchange rates means a boost in annual profits of over $6 million a year. Thats the sort of perfornance that gets a CEO a nice fat bonus check and some serious stock options.
Orion
Jun 20th, 2010
@ IntLibber – Gee, converting hundreds of thousands of USD into monopoly money… Either someone’s looking to launder their dirty deed or they’re in for a hell of a shopping spree for fake goods!
Ted
Jun 20th, 2010
Darien Caldwell wrote:
“it’s amazing how many ignorant people there are. But it is the Internet I guess.
It’s been said many times, but maybe just once more will make it sink in.
Companies lay people off all the time. HP recently laid of 6,000 and has plans to lay off even more. Makes 100 people seem like peanuts, doesn’t it? And yet, they are still in business, and will continue to be in business. Layoffs don’t mean they are going out of business. It’s just a cost saving measure. Maybe it’s because I’ve worked in the corporate world for decades, but layoffs are no big deal.”
Excuse me, but ugh, real companies with a real product isn’t the same scenario as a company that has lied to those that built their world. Linden’s fictitious world of lies hardly relates to HP and the many thousands of dollars my office has spent on quality LaserJets.
Having a real product, standing behind such product, is not what Linden has done. Let alone the fact that Linden’s product is non tangible from the get go.
HP sells quality tangible product on a world wide distribution scale. Let’s not talk about layoffs between a mere hosting company and an entity that knows what they are doing.
You need to get a clue.
II Singh
Jun 20th, 2010
@Ted -> Darien. Yep Darien the clue clue train left the station and you forgot to get on. HP at last count had well over 100,000 employees more in the 200k range. 6k represents a sizable chunk of HP staff but in no way the same percentage as what the axing was like in regards to LL. Also take into consideration that HP is CONSTANTLY acquiring other companies and constantly growing like a malignant cancer. As far as which entity is more evil… that particular conundrum is open to much debate since both have had a bit of history screwing over employees customers and business partners. Both seem to have cornered the market on hiring bubble-headed morons for CEOS and executive brass. Both have also been sort of left by the founders (one by the death’s of Bill and Dave ) in the hands of the wall street cretins to basically run the company into the ground and befoul whatever sterling reputation the company had originally.
IntLibber Brautigan
Jun 20th, 2010
Orion,
“@ IntLibber – Gee, converting hundreds of thousands of USD into monopoly money… Either someone’s looking to launder their dirty deed or they’re in for a hell of a shopping spree for fake goods!”
Actually you’ve got it in the wrong direction. People are dumping their L$ in order to cash out and are buying USD. In order for LL to stabilize the currency again, they are going to need to need to spend 6% of their monthly revenue buying L$ back or else let the L$ exchange rate float freely, for once.
IntLibber Brautigan
Jun 20th, 2010
The market is beginning to panic again, with several tens of millions sold at market rather than limit order rates in the last few hours. Sellers now outnumber buyers by 7.22 to 1. Spread remains constant although with this much selling going on, the prices could crash again this evening. With only 29 million L$ in buy orders right now, if someone dumped 23 million on the market right now the price will spike up to 286. Another 5 million and the price will exceed 330.
L$ buyers are VERY thin right now. If a significant number of landlords have to pay tier this evening, we could easily see another crash in rates. There is less than US$ 100,000 interested in coming into the L$ economy right now.
IntLibber Brautigan
Jun 20th, 2010
I will try to post updates every hour or two this evening to call the play by play. Current time of the previous post was 3:42 SLT/PDT.
Little Lost Linden
Jun 20th, 2010
“The market is beginning to panic again, with several tens of millions sold at market rather than limit order rates in the last few hours. Sellers now outnumber buyers by 7.22 to 1″
The Linden Lab roller coaster appears to be ramping up for another ride!
This is actually kind of exciting. Almost makes me wish I had some $ to throw around in the market for this. You can sort of feel the stockbroker vibe with IntLibber’s updates. Definately has my curiosity peeked.
This and SL7B tomorrow. Let the games begin!
Orion
Jun 20th, 2010
@IntLibber – I was referring to: “Yesterday there was almost 100 million L$ in sell orders needing to be bought in order to return exchange rates to their prior levels, so the lab (or some idiot) bought 30 million in overpriced L$ between yesterday and today.”
As in the possible idiot that purchased $30,000,000L
In all, it seriously wouldn’t surprise me if people were actually using the Lindex to launder money. After all – go out and get a few dozen alts, load em up with $L, pass it around between them, then cash out into a couple of different Paypal accounts. And of course since your transactions are only kept for a couple of months, its all untraceable. The perfect crime.
Darien Caldwell
Jun 20th, 2010
lol, rubbish. the market is steadily returning to normal. in fact the buy rate is now back down to 277, from the high of 290 earlier in the week.
Trying to create panic, it seems to me.
IntLibber Brautigan
Jun 21st, 2010
Little Lost Linden,
You are so right. If LL hadn’t stole all my spacebux, I’d have some skin in this game, but right now I’m just an observer trying to give some expert observation and opinion.
Volatility is the key for making profits. Day traders thrive on volatility. If you’ve got the cash to play, now is the time to try to make some decent profits, esp if the market continues to swing up and down regularly.
IntLibber Brautigan
Jun 21st, 2010
Orion,
The Money Laundering charge is an old one. It’s why LL created the RiskAPI, as a means of forcing anybody not in their FICish circle to use the LindeX to take money out of SL so that LL could report the money to the FBI. RiskAPI didn’t do anything about nefarious people bringing money INTO SL via the third party exchanges, they just didn’t want those people to take it out the same way after laundering.
Cenji Neutra, whose APEZ exchange has always been one of the major ones, once told me how most of the laundry money came into SL via Anshe’s exchange (she was part owner of XStreet), then tended to circulate in and out of APEZ and a few other smaller exchanges, eventually exiting via LindeX. The money launderers were never fooling anybody. The feds know exactly who they are.
IntLibber Brautigan
Jun 21st, 2010
Someone has put in a really big L$ buy order at 277, so the current outstanding orders at that price total over 14 million L$. This may be Supply Linden, or it may be someone who is happy making a 1L$ per dollar profit (less than four tenths of a percent) if/when they sell those L$ again (assuming the price remains stable at 266 that its at currently).
Buyers are outnumbering sellers at just under 6 to 1 (5.75), so things have calmed down a bit.
Current time: 9:11pm EST (6:11SLT/PDT)
IntLibber Brautigan
Jun 21st, 2010
Sorry I meant sellers are outnumbering buyers at 6 to 1, doh…
Pappy Enoch
Jun 21st, 2010
Y’all stop all this-here calm-mongerin’ talk.
You am ruinin’ my fake bank, dagnabbit!