- Joined
- Apr 8, 2005
- Messages
- 349
Let's leave imflammatory remarks out of this, please...
Firestreak, you'e right in theory. However, that's basic macroeconomics you bring up. If you consider the fact that 18500 coins at 25k is 462.5M gil (mind you, it's 647.5M with the current market price of 35k), this doesn't follow the simple supply-demand model you talk about, because no one has the capital to actually purchase that in its entirety.
Also, there are two bottlenecks in the ancient currency market. The obvious one is the price, but the other one you're overlooking is the inflow of the currency itself into the market (which, of course affects the former) The problem with your "open market" approach is that the average person doesn't take into account the scale of what it takes to complete the relic. They look at the short term goals--like the 400 coins for the first stage and start buying coins. Perhaps it's difficult the grasp the near-exponential requirements of the later stages. The end result is that the server will be full of stage 2 relics because people give up. Also recall that the coins are "consumables" in this respect. There is no resale value once it is used for a relic.
This leads to two things: price inflation due to increased demand (by the short-sighted purchasers), and a supply shortage due to an expanded consumer base.
By keeping the market closed to people you know are serious about the endeavor, you can control the price and usage of the coins. At least, that is the philosophy of our shell.
Firestreak, you'e right in theory. However, that's basic macroeconomics you bring up. If you consider the fact that 18500 coins at 25k is 462.5M gil (mind you, it's 647.5M with the current market price of 35k), this doesn't follow the simple supply-demand model you talk about, because no one has the capital to actually purchase that in its entirety.
Also, there are two bottlenecks in the ancient currency market. The obvious one is the price, but the other one you're overlooking is the inflow of the currency itself into the market (which, of course affects the former) The problem with your "open market" approach is that the average person doesn't take into account the scale of what it takes to complete the relic. They look at the short term goals--like the 400 coins for the first stage and start buying coins. Perhaps it's difficult the grasp the near-exponential requirements of the later stages. The end result is that the server will be full of stage 2 relics because people give up. Also recall that the coins are "consumables" in this respect. There is no resale value once it is used for a relic.
This leads to two things: price inflation due to increased demand (by the short-sighted purchasers), and a supply shortage due to an expanded consumer base.
By keeping the market closed to people you know are serious about the endeavor, you can control the price and usage of the coins. At least, that is the philosophy of our shell.