Use the economic crisis: get rich after?

I haven't been playing erepublik for very long, so I might be completely wrong, and that's why I'd like to hear something from you first. Who knows, you might as well strike it rich too in the process.

I was thinking: looking historically, the economy in almost all eCountries in the eWorld has eDropped much. Salaries are extremely low (a Guru* can barely earn 1 BEF/hour in Belgium) and so are the prices (bread for 0.30 BEF!). BEF is worth nothing.

So, assuming that this situation will only change positively (= higher salaries AND higher prices), you must be able to make some profit here. What if I would sell all my gold for BEF, and, when the economy is restored, sell it again? Would that make me money? Am I right or am I wrong? Please let me know.

Biblost

Lots of people have gotten rich playing the money market in the past. However, I would not count on the value of the BEF (or any other local currency) going up significantly in the near future. It is not because of a cyclical business cycle or government policies that the value of the BEF has dropped so low this time. Rather, it is due to deep systemic changes that were made by the admins in V2 (e.g. boosters and other ways for gold to leave the economy) that has permanently increased the worldwide demand for gold. Unless the admins make changes that allow more gold to stay in the economy (which is highly unlikely considering the greedy bastards they have proven themselves to be), the value of local currencies will either continue to fall or plateau, but I would not expect them to increase by much.

yes you would make money


problem is the economy won't restore for a long time (unless we have sudden baby-booms). So you could be waiting for your profit for a long time. Taking the time in account you need to wait before you have a decent profit is imo not worth it. You earn much more from playing the currency markets on short therm.

Yes, I heard about this 'currency playing' before, but no matter how many tutorials about the monetary market I read, I still can't figure it out. How do I know when to buy a currency and when to sell it?

@Stilpo: I've sent you an in-game message about becoming embassador a few days ago, but I haven't received a reply yet. Since you seem to be active on the fora, I assume you've read?

Biblost wrote:Yes, I heard about this 'currency playing' before, but no matter how many tutorials about the monetary market I read, I still can't figure it out. How do I know when to buy a currency and when to sell it?

Currency Trading is a very risky business to get involved with especially with the unstable markets we have right now. Previously in V1 it was a lot more easier due to a stable currency compared to what we have now because of system changes. The basic way to make money is to post an offer to buy BEF for gold. Companies or people will want to exchange their BEF to gold and in almost every single currency you gain anywhere from 0.1-3% depending on the currency. (Requires you to post an offer to sell BEF for gold though) There are many more advanced ways to do it but they can be complex and take time. I used to be a full on currency trader and made a decent amount of cash off of it with my old investment firm.

That does sound risky. I made the following calculation that seems a lot less risky, but therefor I think I might as well be wrong.

For example: at this moment there are two offers on the market (there are more, of course, but these are the ones I'll focus on):

- Schwan sells 148 BEF at a rate of 1 BEF = 0.018 Gold
- OLVIA TRAVEL sells 1.27 Gold at a rate of 1 Gold = 59.197 Gold

Now, if I multiply 0.018 by 59.197, the solution is 1.065546
Would that mean that I would have a 6.5546% profit if I buy 1 Gold and sell 1 Gold?


Thank you for your answers. Take your time to think about it, I figured out I can't trade untill level 15.

Don't think so no

This is what you would do if I understood you correctly:

Step 1: Buy 1 gold from Olvia at a rate of 1 gold = 59,197BEF, paying 59,197BEF for that 1 gold.

Step 2: Sell 1 gold to Schwan at a rate of 1BEF = 0,018 gold. Yielding yourself 55,55BEF (1/0,018)

You would lose 3,647BEF in that transaction, or a loss of -6,16% on your initial input (3,647/59,197)

You're absolutely right. Damn these summer holidays, making me forget everything about mathematics.

Its really just profiting off the people who are not patient and want gold now. As long as the market is stable you should be fine. But if you work in a larger currency market it may take longer for your currency to sell compared to a smaller market. But it also may not sell until a few days in a smaller market.

I'll try to study some more guides (I hope the monetary market hasn't changed since v1) untill I reach level 15. But thanks a lot for your help, I really appriciate it.

The money market has not changed since V1, at least the mechanics haven't changed. Profits take a little longer to materialize now because there is less demand for currency and more demand for gold, but eventually, most offers will sell. It just takes time. The MM has started to pick up a bit lately as the spread is now not entirely dependent on NBB-BNB, but is instead usualy driven by private individuals.

use this


I used to use it all the time as well

http://erepublik.ws/currencies

a few protips tho: when you /buy/sell currency, make sure you to take currency that's being traded allot. Pakistani currency for example often has huge swings, but noone buys so it's completely useless.

shadowukcs wrote:use this


I used to use it all the time as well

http://erepublik.ws/currencies

a few protips tho: when you /buy/sell currency, make sure you to take currency that's being traded allot. Pakistani currency for example often has huge swings, but noone buys so it's completely useless.

Did you notice that it was last updated 51 days ago?