Mastering the LindeX

[Finite]

3 hours ago, Charlotte Bartlett said:

1. Tilia Inc. is a registered Money Service Business and has the required registrations with FinCEN per the Banking Secrecy Act in the US under 31 CFR 1022.380(a)-(f) (that's a mouthful ha).   Tilia Inc. is registered for activities 409 and 414.  Linden Research Inc. was historically registered too before they created Tilia Inc.

409 is a Money Transmitter Service.
414 is a Provider of Prepaid Access.

Hence they are fully regulated as a money transmitter and it's why we have to do things like provide proper RL identity information for cashing out.
 

Yes Tilia is but they're a separate entity to SL. So SL isn't a money transmitter as per what Slate said. Tilia money transmitter. SL virtual world with virtual currency but not a money transmitter. 

Tilia is a subsidiary of Linden Lab that offers certain financial services to the Second Life community and helps Second Life comply with U.S. laws and regulations. As of August 1, 2019, Tilia assumes management of your account's U.S. dollar balance in the form of your Tilia account. Tilia FAQ

Edited September 9, 2021 by Finite

[Charlotte Bartlett]

1 hour ago, Finite said:

Yes Tilia is but they're a separate entity to SL. So SL isn't a money transmitter as per what Slate said. Tilia money transmitter. SL virtual world with virtual currency but not a money transmitter. 

Tilia is a subsidiary of Linden Lab that offers certain financial services to the Second Life community and helps Second Life comply with U.S. laws and regulations. As of August 1, 2019, Tilia assumes management of your account's U.S. dollar balance in the form of your Tilia account. Tilia FAQ

SL is a platform not a company ....so could never be listed in any regulatory sense anywhere under the BSA.  It always has to be the legal entity providing services...

The moment you use the Lindex (selling L$) and receive USD it's part of your US$ Tilia Account Balance not your "SL" Balance. That's real life money transmitting.

I do think I get what you are trying to say - but using the term SL is confusing in your paragraph.  

Linden Research Inc.  simply separated out the "real money" part to create Tilia Inc. (and this is where I think your point is).  For multiple reasons, but I suspect one was to protect further the concept of  L$ remaining as "tokens" versus any confusion that L$ could be a convertible virtual currency.  It was a smart move.  Can you imagine having to do things like vat, sales tax etc on each micro transaction at the creator level..... hence I think you mean L$ versus "SL" and the L$ are not a reportable transaction (at this point in time).

Prior to that Linden Research Inc was the registered MSB as mentioned; however  regulation has been tightening (and is again based on the current flavor of the month).  Their timing was impeccable on that front in creating Tilia Inc.

I am pretty sure only you and I are finding this interesting at this stage!! ha.



 

[Finite]

46 minutes ago, Charlotte Bartlett said:

SL is a platform not a company ....so could never be listed in any regulatory sense anywhere under the BSA.  It always has to be the legal entity providing services...

The moment you use the Lindex (selling L$) and receive USD it's part of your US$ Tilia Account Balance not your "SL" Balance. That's real life money transmitting.

I do think I get what you are trying to say - but using the term SL is confusing in your paragraph.  

Linden Research Inc.  simply separated out the "real money" part to create Tilia Inc. (and this is where I think your point is).  For multiple reasons, but I suspect one was to protect further the concept of  L$ remaining as "tokens" versus any confusion that L$ could be a convertible virtual currency.  It was a smart move.  Can you imagine having to do things like vat, sales tax etc on each micro transaction at the creator level..... hence I think you mean L$ versus "SL" and the L$ are not a reportable transaction (at this point in time).

Prior to that Linden Research Inc was the registered MSB as mentioned; however  regulation has been tightening (and is again based on the current flavor of the month).  Their timing was impeccable on that front in creating Tilia Inc.

I am pretty sure only you and I are finding this interesting at this stage!! ha.



 

Ha ya. I was just going by what Slate Linden said in his reply to me in regards to SL's ToS. Tilia processes credit according to SL's ToS (and their own). "Second Life is not an alternative to a real-world money transmitter." - Slate Linden Account Security. When I said SL I was referring to Second Life. Not Tilia. If that makes sense. Tilia seems to be setup to process credits for other games, not just Second Life. Even though they are both owned by Linden Labs, they are separate entities.

Edit: interesting read

Edited September 9, 2021 by Finite

[Charlotte Bartlett]

46 minutes ago, Finite said:

Ha ya. I was just going by what Slate Linden said in his reply to me in regards to SL's ToS. Tilia processes credit according to SL's ToS (and their own). "Second Life is not an alternative to a real-world money transmitter." - Slate Linden Account Security. When I said SL I was referring to Second Life. Not Tilia. If that makes sense. Tilia seems to be setup to process credits for other games, not just Second Life. Even though they are both owned by Linden Labs, they are separate entities.

Edit: interesting read

   So funny when you first typed that response - I missed the Slate Linden bit and was thinking wait what SLATE covered this (the website)... Anyhow, that's def true SL is not an alternative for that!!