Is CLD's the new bubble
- Thread starter Yquem
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easy answer: no
Unless MA goes tits up, CLD's will never be a bubble ... Since you get weekly payouts even if they fall in price you simply hold on to them a little longer to compensate for that loss ... Sorry but them at over 20% roi (even at 1300 ped a piece) are an excellent investment opportunity.
Angel
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Care to eleborate beyond the "easy answer" which sounds alot like personal opinion with no real arguments?
so you'd buy at this point then, to reap the rewards of the bubble?
Harmony.
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Not yet, but i'm sure they will be if the reselling keeps on going strong.
Then again the same would be true for any limited supply item. If i would buy all a103 in auction for the next 2 months, prices would skyrocket. Ofc when i would try to sell them all again, they will drop like a brick as well.
Then again the same would be true for any limited supply item. If i would buy all a103 in auction for the next 2 months, prices would skyrocket. Ofc when i would try to sell them all again, they will drop like a brick as well.
Shadowsong
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Can't grow CLDs like tulips
Can't register infinite new CLDs like dotcoms
Can't build CLDs like housing estates
In my opinion, if the legendary Entropia ATM Card was functional, with reasonable withdrawal fee structure and on-demand withdrawal, the CLD would easily rank amongst the top investment opportunities on the planet, real or virtual.
Of course, MA could elect to fornicate the canine at any point, and dilute the value with new issues, but that crap happens on real-life bourses every day. Most of the protections that apparently exist in real life institutions are largely illusory, as we see how many Enrons, Bankers and Realtors demonstrate with routine ease.
So sure, they are not shares, or stock. They are a new instrument. Trade with caution. If EU succeeds, the CLD succeeds, if EU fails, we're all poked anyway, but at least we'll all be able to afford a modfap
mastermesh
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wonder how many participants are needed on Arkadia before there are Planet Arkadia Land Deeds?
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I have wondered this myself (ALDs?)
It shouldnt make a difference to CLD value as payouts would be from independant revenue streams.
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Was not the whole idea for MA or what ever sister company sold the deeds was to get a cash enjection into the company for advertising and other stuff? So unless Ark needs the cash quick they might not be in hurry to give out that slice of pie for while yet. They still have over avanues to go down that could make them alot of money with out giving away large chunk of money like selling land.
mastermesh
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ok then, maybe it'd be better to have a Next Island deed system created in a while?.. lol.
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No, it is not a bubble.
A bubble is created by a massive injection of money into a certain segment of the economy by central banks. And also, the government steps in and protects and coddles said industry. The influx of easy money and protection from governmental agencies produce an industry that is not even close to being competitive. The money granted from government subsidies is money that is not from investors that look for a profitable venture, it is money that is forcibly taken from tax payers. So no real thought is needed to make a business profitable. There will "always" be more tax money and subsidies.The result is the industry requiring ever larger subsidies and bailouts and until the industry finally collapses under the weight of its own inefficiency.
Now the CLD's were ALL bought with private money from people with a reasonable expectation of future profit. There is no free money or subsidies pouring in to prop up the price. When people decide that their chances are not good for profit, they will simple stop buying and sell. The price is not being artifically being propped up by government actions.
Now, there seems to be one individual that seems to be trying very hard to raise the price on CLD's. But he will discover, that once a certain price is reached, buyers will leave the market. None will be sold at the price he is demanding. Does that mean the market will crash? Probably not, but the price of a CLD will go lower to a more realistic price. Maybe a hundred peds, maybe two. Eventually, the price will reflect the returns that are produced by the CLD's.
Harmony.
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you will not get much monthly payouts
Still it would have been a good idea for next island to sell some. I would buy some to support them, even if weekly payout is only 5 pec.
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No, CLD's are not bubble.
Ozi said in one of interviews that he do not plan to issue Land Deeds as Calypso did. He reasoned it with having cheaper ways to borrow money if needed, due to high % payouts on CLD's.
Ozi said in one of interviews that he do not plan to issue Land Deeds as Calypso did. He reasoned it with having cheaper ways to borrow money if needed, due to high % payouts on CLD's.
SpikeBlack
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Personally I'd think any PP willing to sell half they're income and effectively give it back to MA would be insane for a short term cash injection unless they were going to cut and run. They'd have to double the income to get themselves back to the same income level they had before.
With MA and Calypso it was different the cash stayed with MA as most players don't withdraw it and instead use it to play. For a player on another planet it becomes like a deposit, the cash which would have gone to the PP instead goes to MA.
RexDameon
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The bubble was all of Entropia like 3-4 years ago the Treasure Island and Club Neverdie Days. Thats when we probably had the most players. I think the bubble has already burst and Entropia is more stuck in a rut right now. CLD's will be stable unless all of Entropia goes belly up which i dont see happening to many people that love to just play this game as a form of gambiling. it be like saying people are going to stop playing poker or blackjack or going to casinos.
What we need is a new bubble that actually bring in heeps of players and maybe keep it from bursting this time.
What we need is a new bubble that actually bring in heeps of players and maybe keep it from bursting this time.
Yquem
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A bubble is when something is valued higher and higher without its true value is still the same.
Like when you can buy a house for a few tulips
Like when you can buy dot com share one day and next sell it for double what you paied
Like when you should buy a house and sell it again in 6 month and make 20% or more
No doubt it is possible to make money on bubbles - its only the last sucker to pay for the party...
Joat
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Maybe not a bubble, more of miscalculation imo.
They were ment as a injection for RL money to MA, but problem is that a lot of
values that were used to buy CLDs were values that already excisted inside EU,
so now when some making really good profit on sold CLDs, MA might lose a
lot if values are withdrawn from EU...
They were ment as a injection for RL money to MA, but problem is that a lot of
values that were used to buy CLDs were values that already excisted inside EU,
so now when some making really good profit on sold CLDs, MA might lose a
lot if values are withdrawn from EU...
A lot of the money?
That is only conjecture on your part.
What we know is one big buyer bought 25%. That money came from outside the game.
The money I used to buy my stash of CLD's came from outside the game. I know several people on these forums deposited large amounts just for buying CLD's.
It is really impossible to say how many of the deeds were bought with money from inside the game, but it is probably less than what you think.
That is only conjecture on your part.
What we know is one big buyer bought 25%. That money came from outside the game.
The money I used to buy my stash of CLD's came from outside the game. I know several people on these forums deposited large amounts just for buying CLD's.
It is really impossible to say how many of the deeds were bought with money from inside the game, but it is probably less than what you think.
GeorgeSkywalker
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I wouldn't say it's a bubble. More like supply and demand. At the moment their price is high. There may well come a point when CLD are sold below 1k ped each. Things change, people are fickle, and price of CLD will follow suit. Could happen for example if a serious PP launched with full on advertising. This new PP being soo good that many current EU players want to go there. Demand for CLD will at that point be lower. However, in long run it'll pick back up because they are a good investment and Calypso will always be one of our fav planets.
Joat
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Yep, as you wrote, we can't really know exact values, but I do know some made RL profit
from CLDs that weren't bought with fresh depos, so thats facts too.
But if you had looked a little closer, I did write "...MA might lose a
lot if values are withdrawn from EU..." which means it could happen in a
larger scale, but not that it has already happened.
I bought all of mine with money from outside too, thinking of selling them of and withdraw soon thou'.
So even with fresh depos made just for buying CLDs, does not garantuee a good boost for
MA, since it isn't that hard to sell them now and get +130% more than what were deposited,
minus fees thou' ofc.
I guess we'll see hard facts later this year or next year when annual report comes.