The Value of Gaia Gold vs. The US Dollar. LOL!

[Spirrow]

Take a look at the Wingdings.

The first gens are selling for almost 50k.

That means 1,000 Gaia Gold is worth 1 cent in the case of the Wingding first gen.

if this was true with everything, you could divide your worth by 1,000.... and that's how many pennies you'd be worth. Divide it again by 100, and that's how many dollars you'd be worth.

10,000,000 would become equivalent to $100... and that's a sad state of affairs. Just think, anything you DO on Gaia to gain gold, such as posting or voting or playing BOOTY GRAB....even if you make 1,000 gold, that's equal to finding one penny on the floor in your house...

If you read Sagger's journal, you're probably familiar with our ******** up economy...but what do you think about all this?

If you don't care or have anything worth saying, PLEASE just ignore this topic. There's nothing worse than being in the GCD and reading everyone's singularly unimportant YES and NO comments.

How about some discussion? It puts the D into GCD afterall.

DISCUSS... OUR ECONOMY!
...VALUE OF GOLD VS. REAL CURRENCY...
...GIANT ROBOTS...(GAY ROBOTS)...

[Chema]

That's true if you already had the first gen, but if you're talking about your options right now, it's more like 200-400 gold per cent.

If you knew/guessed ahead of time that the wingding shirts would be worth that much, then you would have made a LOT of gold this last evo.

[Rock Rebellion]

Something not real cant be worth something that is real. there for, you confuse me.

[Spirrow]

Chema

That's true if you already had the first gen, but if you're talking about your options right now, it's more like 200-400 gold per cent.

If you knew/guessed ahead of time that the wingding shirts would be worth that much, then you would have made a LOT of gold this last evo.

Good thing I bought 50.

The point is, as items like Wingdings inflate to such levels, other items inflate too.

@Cupcake: If your definition of "real" is something that you can see, smell, hear, touch and taste... then you're talking about 5% of "reality."

Anything that has a cost, has a value. In the case of Gaia, the value is non-transferable... BUT, if you have 1,000,000 gold of items, you can sell those and buy items off the MP that have a cash value, like the new evolving items... so, by selling your old stuff, you can buy new stuff....

Just because it's virtual doesn't make it unreal. Do you understand?

[Shin-Maruku]

It's been stated, on many occasions, that the Gaia Gold piece is worth NOTHING. Why is it worth nothing? You pay nothing to get it. You get it for free for doing various things on the site, and it is used to buy items in most of the shops. The Marketplace, the malfactor, also happens to run on Gold. But, it also runs on greed. The Marketplace cannot be used as an effective measure of currency conversion, because of all the greed that's there. Let me give an example, here.
1 Token is worth 1 Gold. When you bet 1 Token, and you win, you get 2 "winnings."
1 "winning" converts to 1 Ticket. It's a 1:2 ratio, Tokens are 1G and Tickets should be 0.5G, because 0.5G x 2 = 1G. But that isn't the case here. Human greed dictates that the player wants more Gold than what it's worth, because there are people who want to buy the Tickets, rather than play for them. Because there is a demand for them, human greed will supply them. But not for the benefit of the customer; for the benefit of themselves.
As insignificant as that example was, the greed explained is apparent in the majority of the market transactions. I suppose if you did the math in some of the shops, you could figure out how much the Gold piece weighs against Gaia Cash... that would be more effective than weighing it on the marketplace, because the marketplace has prices based on benefiting the seller only, and not consistant conversions.

[Rock Rebellion]

Spirrow

Chema

That's true if you already had the first gen, but if you're talking about your options right now, it's more like 200-400 gold per cent.

If you knew/guessed ahead of time that the wingding shirts would be worth that much, then you would have made a LOT of gold this last evo.

Good thing I bought 50.

The point is, as items like Wingdings inflate to such levels, other items inflate too.

@Cupcake: If your definition of "real" is something that you can see, smell, hear, touch and taste... then you're talking about 5% of "reality."

Anything that has a cost, has a value. In the case of Gaia, the value is non-transferable... BUT, if you have 1,000,000 gold of items, you can sell those and buy items off the MP that have a cash value, like the new evolving items... so, by selling your old stuff, you can buy new stuff....

Just because it's virtual doesn't make it unreal. Do you understand?

not really, my tiny mind can not comprehend ninja

[Exploding Fruit Cups]

The gold to cash ratio is all over the place. If you look at the store prices, and what they're woth in cash, it's much different from the cash shop items.

I just looked at the most expensive item in Barton Boutique that's worth 1 cash. It's 60 gold. That means 1 cash is equal to 60 gold.

So, according to that, the newest gen of Fallen Wish which costs 999 cash should be worth 59,940 gold. It's worth over 100k in the marketplace. And the wingding is one of the worst examples of this.

At least in the stores the amount of gold per cash is about the same.

[Fanny Flaps]

Nice scare-mongering but, sadly, it doesn't work like that.

It's true the economy is more than slightly ******** up as of late but gold is not going to end up worth a fraction of a penny.
For a start, this kind of thing only works with first gens, they are of higher value than other gens for a variety of reasons but they only make up a small percentage of total EI sales.
Secondly: TITS! Not all items will contain boobage or anything else that the Gaian public will desire. These items will likely be nowhere near worth 50k for every 49 GC spent.

All in all, the Wingding shirt is a freak phenomonen exasserbated by the inflation affecting all items.
People will surely hike prices when they evaulate their CS item against the shirt but if the demand isn't there or the funds for people to afford these items then they wont follow suit.

[Phoenix Goliathane]

Little Silver Cupcake

Something not real cant be worth something that is real. there for, you confuse me.

Except the dollar itself has a worth that's only based on faith in the US government. wink So the dollar itself has no inherent value - if it were just paper, it'd be worth next to nothing. (In fact, this also goes for coins - the value of the metals in circulation coins is less than the coin's face value.)

Welcome to Economy 101, Gaia style. wink

Anyway. It's kind of like Zimbabwe - the official exchange rate is still 6000 GC/1$ US, but the market exchange rate is much higher. (On average, since our average MCs have been selling in the 20-25k range, the exchange is 10,000GC/1$. And that's low-end; as illustrated, exchange rates can get as high as 100,000GC/1$.)

I don't think it's necessarily a failure of the economy - after all, if I pick up carbon off the ground, it's cheap...but if it just so happens to have a crystalline structure that's an octahedron...well, s**t, you just made yourself a fortune. I think it's more a testament to the demand for the item, which may - or may not - be warranted.

[Spirrow]

Shin-Maruku

It's been stated, on many occasions, that the Gaia Gold piece is worth NOTHING. Why is it worth nothing? You pay nothing to get it. You get it for free for doing various things on the site, and it is used to buy items in most of the shops. The Marketplace, the malfactor, also happens to run on Gold. But, it also runs on greed. The Marketplace cannot be used as an effective measure of currency conversion, because of all the greed that's there. Let me give an example, here.
1 Token is worth 1 Gold. When you bet 1 Token, and you win, you get 2 "winnings."
1 "winning" converts to 1 Ticket. It's a 1:2 ratio, Tokens are 1G and Tickets should be 0.5G, because 0.5G x 2 = 1G. But that isn't the case here. Human greed dictates that the player wants more Gold than what it's worth, because there are people who want to buy the Tickets, rather than play for them. Because there is a demand for them, human greed will supply them. But not for the benefit of the customer; for the benefit of themselves.
As insignificant as that example was, the greed explained is apparent in the majority of the market transactions. I suppose if you did the math in some of the shops, you could figure out how much the Gold piece weighs against Gaia Cash... that would be more effective than weighing it on the marketplace, because the marketplace has prices based on benefiting the seller only, and not consistant conversions.

You're right about the marketplace and greed. But rather than calling it "greed", let's call it providence, If you use REAL money to buy something, you and everyone else that did so are in a group of sellers withe the RIGHT to set the price. It's been this way forever.

I'm not interested in your slots x token x tickets example, because the last time I played slots was 2006. Let's talk about the market trends involving the cash shop... because IF there was no cash shop, we wouldn't have a way to keep measure of value... but since I can look at an item with a REAL cash value, and compare it to an arbitrary gold value, I can make realistic theories about the economy.

Just ask Sagger.

[taintedvisage]

Giant Flaw: They've increased in value dramatically since their release.
They WERE 49 cent items, and they sold for around 3k+
It's only after it was discovered what they were worth that they jumped up substantially in value.
Also consider that in shops 1 Cash is equivalent to 60 gold, you'll notice your figures are again quite askew.

The contrast in gold price versus cash price is because of it's value because of potential.

A can of Coke is 49 cents. If that can of Coke could evolve and become a ******** Mech, you bet your a** it'd raise to a few hundreds dollars in value.


You'll also notice Gaia Economy =/= Real life economy.
How often in a real economy does money just appear out of the a**s of a fish?

[Spirrow]

Exploding Fruit Cups

The gold to cash ratio is all over the place. If you look at the store prices, and what they're woth in cash, it's much different from the cash shop items.

I just looked at the most expensive item in Barton Boutique that's worth 1 cash. It's 60 gold. That means 1 cash is equal to 60 gold.

So, according to that, the newest gen of Fallen Wish which costs 999 cash should be worth 59,940 gold. It's worth over 100k in the marketplace. And the wingding is one of the worst examples of this.

At least in the stores the amount of gold per cash is about the same.

So, what's the REAL value of the items?

Why would anyone with 1/2 a brain use their Gaia Cash for the shop items, when they can use their GC on CS items at a MUCH more lucrative return.

The shop converted prices are Gaia's way of attempting to set a bar and failing miserably.

They used to have 1,000 gold gift credits back in the day... it was $1 for 1,000 gold. Their first failed attempt to set value....why did it fail?

Because you could buy an MC for $2.50, 2 and 1/2 gift credits... and sell it for 10-15k easily (At that time)

So what's the incentive for people to buy gift credits, when buying and selling MCs was much more profitable.

Am I the only one that has a grasp on how our economy works?

[Spirrow]

Fanny Flaps

Nice scare-mongering but, sadly, it doesn't work like that.

It's true the economy is more than slightly ******** up as of late but gold is not going to end up worth a fraction of a penny.
For a start, this kind of thing only works with first gens, they are of higher value than other gens for a variety of reasons but they only make up a small percentage of total EI sales.
Secondly: TITS! Not all items will contain boobage or anything else that the Gaian public will desire. These items will likely be nowhere near worth 50k for every 49 GC spent.

All in all, the Wingding shirt is a freak phenomonen exasserbated by the inflation affecting all items.
People will surely hike prices when they evaulate their CS item against the shirt but if the demand isn't there or the funds for people to afford these items then they wont follow suit.

The fact that people are paying 50,000 gold instead of spending 49 cents should scare you.

Think about that without rushing to respond; it's pretty sad.

[Spirrow]

Phoenix Goliathane

Little Silver Cupcake

Something not real cant be worth something that is real. there for, you confuse me.

Except the dollar itself has a worth that's only based on faith in the US government. wink So the dollar itself has no inherent value - if it were just paper, it'd be worth next to nothing. (In fact, this also goes for coins - the value of the metals in circulation coins is less than the coin's face value.)

Welcome to Economy 101, Gaia style. wink

Anyway. It's kind of like Zimbabwe - the official exchange rate is still 6000 GC/1$ US, but the market exchange rate is much higher. (On average, since our average MCs have been selling in the 20-25k range, the exchange is 10,000GC/1$. And that's low-end; as illustrated, exchange rates can get as high as 100,000GC/1$.)

I don't think it's necessarily a failure of the economy - after all, if I pick up carbon off the ground, it's cheap...but if it just so happens to have a crystalline structure that's an octahedron...well, s**t, you just made yourself a fortune. I think it's more a testament to the demand for the item, which may - or may not - be warranted.

Thanks for restoring my faith in the GCD, captain!

[Spirrow]

taintedvisage

Giant Flaw: They've increased in value dramatically since their release.
They WERE 49 cent items, and they sold for around 3k+
It's only after it was discovered what they were worth that they jumped up substantially in value.
Also consider that in shops 1 Cash is equivalent to 60 gold, you'll notice your figures are again quite askew.

The contrast in gold price versus cash price is because of it's value because of potential.

A can of Coke is 49 cents. If that can of Coke could evolve and become a ******** Mech, you bet your a** it'd raise to a few hundreds dollars in value.


You'll also notice Gaia Economy =/= Real life economy.
How often in a real economy does money just appear out of the a**s of a fish?

The reason the economy in Gaia is = / = real economics, is because our market is driven purely by the demand of the majority of the users. Take a look at those demographics, and everything makes sense.