Why lindex transactions hasnt increased??

[Vista Barnes]

It should be expected that lindex has now biggest number of transactions since users are forced to use one only tool.

But, seems the daily volume hast increased at all.

But what seems has increased is the volume of orders waiting onthe sellers side, but not on buyers side.

Are the final users not using lindex at same speed than sellers?

Will the linden value go down, there will be a decrease on the market... Any economist arround?

I am not for sure

[Lisa006 Baxton]

There is a great amount of international users that have no way of purchasing L's thru Lindex, refuses to use Lindex, or just do not have a credit cards/bank account to obtain a Paypal account. Those users relied on TPE to purchase thier L's. Well now that option is gone there is no way for them to purchase L's.

Sellers on the other hand, We all went thru TPE to do instant Cashouts, since that is no longer an option for us, we are all running to Lindex to cashout. As of right now there is alot of sellers but no buyers. It'll eventually even out, once we all stop making money due to the fact our customers can no longer purchase L's and pay us.

I have had my international tenants approach me and give me notice on thier rentals due to the fact they have no way of purchasing L's to pay rent again.

*sigh* Sad Times. 

[Steph Catseye]

I heard the same thing from other land owners, their tenants don't know how to pay their rent anymore and since the profit margins are very low for the land lords they expect that there will be an unexpected mass return in sims within the next 2 weeks.

The value of the Linden would only decrease when more people are selling than buying since this will hit the wall at some point because of the lack or circulation it will even out again.

If LL cannot allow 3rd party exchanges it takes time to setup an infrastructure like they have, maybe they should consider buying one of those company's.

[WolfBaginski Bearsfoot]

I can remember when the LindeX prices fluctuated a lot more. The way it has been over the last year, it has looked almost too stable to be behaving as a real free market.

Most the of fluctuations on the TPEs were related to real-world currency movements, rather than the L$/USD rate shifting.

One of the features of real markets is something called arbitrage. With more than one market, there can be a price difference between markets, and traders will buy in one market to sell in another. I can remember when exchange rates for real currencies were fixed, and I am not sure that it is a bad thing, but the pressure on a currency can build up until the rate has to change. And that sort of devaluation gets remembered.

With the current situation, that of people being cut off from the buying of L$ while others have a substantial balance they want to get out, an artificial market isn't so bad. People can hope to get out their L$ surplus, For the land rentalm businesses they might be able to downsize. But all this is going to cost Linden Labs. Their income falls, and to keep their reputation they will need to have to pay out money. Most of the time the money that comes in to buy L$ covers the money needed to pay those who cash out (If it's L$ exchanged for USD to pay tier, that isn't a problem).

If the cash flow stabilises soon enough, Linden Labs can keep the price stable. If it doesn't, we're all in a mess.

 

[Example to Google for: Harold Wilson and "the pound in your pocket"]

[Dartagan Shepherd]

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Vista Barnes wrote:

 

Will the linden value go down, there will be a decrease on the market... Any economist arround?

 

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You wouldn't need an economist for the same reasons that we don't need engineers to inspect the structural integrity of buildings in SL.

You probably won't see much of a difference in value or volume, regardless of what happens unless it's so extreme that the fiction of user to user trades simply can't hold up any longer. The pool of money is there, but gamified to the extent that economy doesn't apply.

That's my story and I'm sticking to it until I see the transparency of exactly who's buying and who's selling to whom.

[Lexi Zelin]

Pfft... that's all I have to say about this is PFFT... Merchants are closing their sims and moving on with their lives and I am also about 2.2 seconds away from doing the same thing. I DO understand WHY LL has had to change it's terms however, the way LL has gone about it is ridiculous! And if things don't improve as far as having more withdraw options and a faster rate for withdraws for the merchants and business people in Second Life. The economy is DOOMED. Period.