The Math Behind the LindeX

LindeX MathThe recent instability in the LindeX Exchange has caused a lot of people to begin questioning the reasons … and the solutions. But to really understand what is happening and why, first we must understand the Math behind the LindeX. Even though I’m not a trained economist, I do know math. Today’s post will hopefully explain things using math but in a basic manner that doesn’t require a sheepskin and a super-computer to comprehend.

LindeX Basics

The LindeX is a basic “Money Exchange”. That means it lets people exchange one type of money for another. The LindeX specializes in exchanging Linden Dollars for US Dollars. Just like many real-world exchanges, the rate of exchange is subject to many varied influences. Unlike real-world exchanges there is no regulatory agency or body of laws that oversee its operation. In other words, it can go nuts as a result of panic and misinformation, but there is no controlling agency to keep it from going too crazy.

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The LindeX Roller-Coaster

LindeX - Declining Linden Dollar“Holy Smoke! What have they done to the LindeX?”

Over the past few weeks, the value of the Linden Dollar has plummeted. There are lots of reasons suggested for this precipitous change. Today we’ll discuss some of my favorite theories. And I promise, you won’t need your Tin Foil Hat .. much.

Before we start let’s review some LindeX™ basics.

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The Bridge to Project Sansar

January 6, 2016 by · 1 Comment
Filed under: Linden Lab and Second Life, Project Sansar 

Linden Lab is breaking out of their walled garden by devoting their efforts toward a new product, currently code-named Project Sansar. As high-tech product development efforts go, this one has all the secrecy and mystery of a good CIA Plot or a bad spy novel. Either way, without knowing any particulars of the project itself, we can make some very solid evaluations of their efforts and their chances of success. Perhaps even so far as to estimate how big any success might be.

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