I am here to ask the population of Menewsha for an opinion on an idea I have had for awhile. This idea will bring a new user-run feature to this site. These features I am speaking of would be loans, bonds and banking service. I have experienced these types of things provided on other economic games. Normally, the larger the net-value of a game would provide a larger minimum down payment or advancement for this. However, I shall break this idea down into a well spelled out idea for you, for better understanding. At the end I will give an example of one I have been thinking about doing.

The idea

The premise behind this idea is to give users a chance to make profit without having to do anything. The main users of this are generally people with extra cash on hand who want to see it increase by a percentage of the initial bond given to the holder. This older will then take the initial bond and use this bond to trade and gain profit through trading. Working with the active traders in the exchange this bond.

Over a course of time, which is dictated by the bond holder, bond will gain profit. Whether they earn this or not, they must give the payout to the bond owner. So, it behooves the bond holder themselves to actually run these numbers properly and actually work for profit. Every week, or as dictated by the user, you can follow a report and compare it to the projection report for profit of this user.

Example of this idea being:
A user does a 10% return rate for a 21 day rate.
You implement a bond to this user of 20,000g.
You would gain 2k every 21 days with minimal work.

If you do not do much more then posting. This works out in a long run for minimal amounts. The amount of the initial bond is what the percentage is based off. It would be at user discretion if they were to allow increase in % return rate. Most however find that less profitable for themselves and can get to a point in which the return turns into less then the bond is there for.

The Objective

The goal behind this is to gain profit. The idea however is to gain more profit then the % in which you return to the users. This being so you yourself gain profit for this task. Never taking on more then you can make at a minimum. You would see an increase in posting, activity, and trading simply by following the user in the exchange. Watching how your gold is working for you with minimal effort at all.

Bartuc's Example of a Bond/Banking Service he offers on another game
(rewritten to fit Menewsha's economic lifestyle)

I am offering a bond service to people. In which I am looking for 200,000 gold overall before the bond starts. With this gold I plan on using this to provide a profit to my bond holders. I will be running this bond for 3 months. Only time you can pull a bond out after it the bond time has started is during the 'payout' period. During this payout period you can choose between receiving the profit (which will be initiated via trade, this way you can decide if you want to pull the bond or not) or letting it collect up and receiving it at the end of the bond in one large sump.

Using the current market system to provide you with a 10% turn around rate on a 1 month scale. I will update you weekly on profit margins and where the bonds are sitting at. You can both follow my performance on this and if there are any concerns or questions you are free to ask them before or after the bond is initiated.

On this bond I will be taking a few select bond sizes. The following information will give you more of a detail of what I plan on doing.

Start Date: March 5th, 2010
End Date: June 4th, 2010

Bond Size: 200,000g
Minimum Bond Amount: 5k
Maximum Bond Amount: 30k

Percentage Return Rate
Large Bonds: 30k (% rate is 3k p/m)
Medium Bonds: 15k (% rate is 1.5k p/m)
Minimum Bonds: 5k (% rate is 500g p/m)

Bond Holders

[Name] - [Amount] - [Current status % wise]
[etc.. etc..]

Banking Service

I am offering a banking service for users to provide gold for a profit margin. As a banking service there are multiple users who provide on this service. All working towards the same goal. All users have been reviewed for their gold-making abilities. All funds are held by a third-party holder, the bank itself in the form of CIs. This is to act as a buffer incase the bank 'employee' decides to try something funny. All gold invested is secured in collateral by me and the other employees. Any profits not made will be returned will be reimbursed by either Bartuc out of his own pocket or a higher % rate return the next month, to include the already owed percentage rate. No user who entrusts us with their gold will be left without their rightful profit.

What we provide for you
We provide a 3% return rate on a 2 week scale. During this time period you cannot pull the gold. You can only pull gold on a two week payout period. This service will run as long as you leave it there. Profit Margin based off initial amount received.

Min Amount - 100g
Max Amount - 10k

Allowed rate allowed in Bank: 500,000 gold. (Example figure)

Two weeks upon receipt sent to your mail box from the banker. Your profit will start increasing, as we need time to process it.

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Now, with this idea who would be interested in something like this? This function is only recommended to be used by respected and well known members of this site. I do not recommend the use of using it by just some unknown source or new member.

I bring this subject up now because of two reasons. I have a well supplied and increasing capital. This capital could go to the use of users. Cause, if I fail at it one month. It is more then easy for me to offer up the percentage out of my own pocket to make the difference.

Of course however, as the site picks up and the exchange starts to gain more members and users. The profit margins gained by the trader will go up substantially, therefore the amount of gold allowed in a banking service will increase. The Max bond amount will go up as well. Percentage has to cap at some point depending on the size of the bond. Though, more would be allowed to go through.

I would also like to say, a reputation system among users is suggested if something like this is done. Reputation by other traders, staff members, etc. This being to avoid users from jumping into new users banks which could turn into scams.

To cover scams on this. There isn't much else to say then they could be scams. I will not deny that, nor try to argue it. This is why I am saying, take this in a neutral view. Having a list of accomplishments, more or less a resume, as well as other respectable people to confirm your the legitimacy of your intent.

I would work off my reputation as a good user and trader. I have personally accomplished much in my time on this site thus far.

List of accomplishments:
I have finished my quest of collecting all Event, Contribution, Commemorative, and Common items. (minus my lovelipop I gave to Jackie :lol: )
I have contributed to several give-aways as well as holding a few of my own during events.
I am currently running a recruitment contest in which I am offering people over 400,000 gold in items.
I have completed several 'quests' to help friends get rare items they wanted.
I have accumulated over 2,000,000 gold in misc items over the 3 years I have been on this site.
I had been a member of the moderator team for a year before stepping down. I still hold the values I had on staff.

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Any user, if this gets the go ahead by the users (and the staff), found scamming needs to be reported and the staff can deal with them for scamming.

I think this is a great idea, should few problems arise. It would definitely help boost sales and posting activity. With those who would be taking loans buying whatever it is they needed it for, then staying active or increasing activity to pay it off, as well as giving whoever sold their item(s) more money for themselves to play with.

As a user with gold to spare, I'd probably be willing to jump on board should this actually take off, though I'll admit I may need a grace period to catch up to speed. (In this manner, it may be better than my waiting in corners, spying out for some one to sneak-attack a donation on, or offer one-off loans.) Though I question whether I am well known enough for such an endeavor?



*Giggles at list of accomplishments* XD

Accomplishments were a quick toss together. I actually wouldn't put half of those as they do not pertain to actual trading ability. Except for maybe the first one and the value of the recruitment one. :lol:

Sounds good, where do i sign up? Lol
Seriously though, i think it's a great idea. And i have no doubts that your trustworthy & smart enough to run something like this. I think it will be great for mene. Though, sounds like a lot of hardwork for ya.

Nothing more then I already do. I already take statistical notes for trading. XD

This sounds like it could easily be exploited if not actually run by site-side coding. I think the fear of scamming will keep many users from using a feature like this if it's not done automatically by Mene.

(But I would trust you, Barty ;))

Keyori does have a point. But then again everyone who is a well known/respected member here - knows that Bartuc use to be a moderator and is trustworthy and has the gold/items to pay back, Should this fall through.

I think this is an interesting idea~ =O <3<3

Would I use it? It really will depend on the users. :x If it was you, Bartuc, or Chunsa (who also seems interested in doing this) I would give it a go because I trust the both of you. =) But if it was another user? It will depend.

I like the point raised by Keyori though. It would be nicer if this was available through in-site coding, just to make it more official. Then again, I doubt the staff and Inso have time to make a code for this, but then again I don't know how simple or hard making this would be. @[email protected];;

Originally Posted by Roachi

But then again everyone who is a well known/respected member here - knows that Bartuc use to be a moderator and is trustworthy and has the gold/items to pay back, Should this fall through.

My problem with this though is that sure, us older users know who Bartuc is and can trust him. But what about the newer users who might not know who he is? Bartuc did disappear for 2010 (am I correct? xDD), so those who joined on that date might not be as familiar with him. The list of accomplishments may help a little, I guess, but still. :x This isn't just for us older users now who are friends with the people running this thing. xDD;;

Bond doesn't seem like the right word to use. It sounds more like a private loan, ie, "I need to borrow 200k gold, I'll pay it back at 8% over three months compounded weekly, and will take up to ten lenders with amounts between 20-50k each"

I would gladly join in this endeavor.

Hummmmm. I have gold to invest. This could be useful.

Sounds nice although I just briefly skimmed over it so I need to re-read it in detail later.
If you were to run this then I would have no concerns putting my gold in.

Originally Posted by Rylynne

My problem with this though is that sure, us older users know who Bartuc is and can trust him. But what about the newer users who might not know who he is? Bartuc did disappear for 2010 (am I correct? xDD), so those who joined on that date might not be as familiar with him. The list of accomplishments may help a little, I guess, but still. :x This isn't just for us older users now who are friends with the people running this thing. xDD;;

This function is only recommended to be used by respected and well known members of this site. I do not recommend the use of using it by just some unknown source or new member.

As stated by Bartuc, i think the idea is aimed at older members rather then new ones.

I thought Bartuc's statement meant that only older and more respected members should RUN something like this, not that it should only be limited for older member usage. >3>;; Because if it was only meant for the older members to use, then that's not using the market and the users to their maximum potential, as the goal of this kind of service is to liven up the Exchange to get it going back to its more upbeat pace. =O <3<3

Oh right. I think i was thinking about Bartuc running it, not anyone else. Not sure who else would take on something of this magnitude. Especially with this much responsibility on your shoulders. Lol

Guess we just misunderstood each other then. xDD;; <3<3

Well, Chunsa did express interest? =O So that's at least one other person. XP

Yeah i think i was thinking along the lines that he was running it xD. My bad lol
Yeah, and a few others lol. I think it's a good idea, it will take a lot of time though.

I think we need more feedback from other people though. :x
Sometimes I wish we could make our own announcement things like the small bars at the top that pop up sometimes, just to draw in people, haha. XP <3<3

Yeah that would be cool, but can you imagine how many people would use it xD.
Unless we had to pay for it. Then maybe that could be a brilliant idea ^^

I just realized that that's already some form of advertising method though. And that brings to mind all the other advertising ideas in the Site Feedback forum. :x Hmm, maybe this could be another idea to add to the table, although I agree that this can be abused real bad if it's not done correctly. >.<;;

Ohh true, i should visit that forum more often.

Okay... maybe I'm reading wrong, or maybe I'm just missing it... but if I'm understanding this correctly, how will you ensure that people who borrowed gold, will pay it back on time?

I'm interested in this, but the sheer amount of work involved sounds crazy.
You'll have to actively be exchanging and whatnot in order to be able to pay back the interest, and coordinating with other people sounds hectic too.
Furthermore, you'll have to keep a super-organized system of users, amounts, interests, and stuff.
It sounds like a lotttttttttttttttttttttttt of work...

Would this system encourage spamming of threads with posts? Would it increase inflation?

Originally Posted by ReineDeLaSeine14

Would this system encourage spamming of threads with posts? Would it increase inflation?

There is nothing that should encourage spamming only activity. While inflation is the normal part of an economical system with limited edition items, I would have to say it would, but should be no different then a without.