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Posted: Dec 30th 2007 11:59PM (Unverified) said

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I'm no economist but I wonder if keeping the L$ fixed to the US$ rather than a basket of currencies is such a wise idea? The deflation in the US$ lately means Aussies like me can buy 40% more L$ for our Aussie dollar in the last 12 months, but it also means that all our assets in SL have been loosing value.

Keeping reserves of L$ is kind of silly. It isn't real money but it sure can fall in value. LL must have taken a hit too just keeping L$ stable.





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Posted: Dec 31st 2007 12:18AM (Unverified) said

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Well, as I understand it, there isn't a true reserve. We asked under what circumstances Supply Linden sold on the exchange. The answer was "Whenever there's demand but no supply".

Honestly, we were expecting a more complicated growth or budgetry formula than that. :)

I still don't understand the "it isn't real money" view, though. It's a currency that can be used to trade for goods and services. How much realer does it have to be?
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