Showing posts with label Linden exchangers. Show all posts
Showing posts with label Linden exchangers. Show all posts

Monday, November 2, 2015

Podex is Gone



They're truly gone.

A little more than two months since the third party Linden currency exchanger closed down, a visit to their location in the Coda sim revealed ... an empty space. It seems Jacek has more or less given up on Linden Lab reversing it's decision to order all independent currency exchangers in Second Life to cease operations and close down in Second Life.

Podex, owned by Jacek Shuftan, and the Second Life Newser had a long history together. The third party Linden currency exchanger, which traded Linden dollars for several real world currencies, received praise from people, such as business owners and overseas residents, whom would have to wait for Linden Lab's Lindex to approve transactions. They began sponsoring the paper a few months after it's founding. But banks doing their job well is uneventful, so the Newser did a number of advertisements for them over the years, notably the continuing misadventures of a bandit who kept trying to rob the place and never succeeded whom would eventually be known as "Clumsy Cooper."

But in May 2013, trouble struck when Linden Lab first ordered all third party Linden exchangers to close. Podex resisted at first, saying they had obligations to their customers. Linden Lab responded by suspending Jacek Shuftan's account, effectively shutting down Podex. But residents complained and Linden Lab made a partial reversal, allowing a list of approved third party exchangers, including Podex, but they could only sell Linden dollars, not buy them from residents. This Linden third-party exchanger program would continue for two years until June 2015 when they announced the program was coming to an end and the exchangers had until the end of July to do business. Jacek hoped Linden Lab would listen to reason, and over a thousand residents signed a petition to keep the exchanges open. Despite complaints from some overseas residents the Lindex still wasn't working for them, Linden Lab went through with it's decision to close.

In the past few years, Podex diversified it's service, trading the virtual currency of InWorldz and a number of other virtual worlds. But now Second Life residents will have to do without their service. And for the Newser, this is the end of a long business partnership, of which their loss has been a painful hit in the pocketbook.

Bixyl Shuftan

Monday, July 27, 2015

Commentary: Linden Lab Continues to Shoot Itself in the Foot


By Bixyl Shuftan

With the Relay for Life now over, time to focus more on other issues, such as Linden Labs and its recent blunders.

When Ebbe Altberg took over as CEO of Linden Lab, at the time a number of residents were having serious doubts as to its commitment to the residents of Second Life, the content creator rights controversy being the big issue at the time. When the new leader of the Lab spoke more on the issue in five minutes than the company had in five months, many residents became hopeful things were changing for the better. When the controversial section of the new terms of service that had created the mess was rewritten, more felt certain better times had arrived. A few longtimers held their enthusiasm in check though, commenting they'd seen hopeful signs followed by disappointment before, saying chances were, this was just a honeymoon period for the new CEO.

It would seem the honeymoon has ended.

A few months ago in April, residents were surpised to hear about the closing of the SS Galaxy, the three sim ocean liner which had been around for over eight years, the largest build on the grid. It came as an even greater shock as to what led to the closing: a severe griefing assault followed by Linden Lab telling the ship's managers they would get only one sim rollback to repair damage, and then no more. All that money spent by a longtime customer, and when they asked for customer service were essentially told to stuff it. No surprise the owners decided they could no longer promise the experience they offered to Second Life's cruise liner fans before, and announced they were closing.

Sadly, the closing of the SS Galaxy would not be the only Linden blunder in recent weeks. In June, Linden Lab announced they would be calling off the deal they made with third party currency exchangers two years before, telling them after July to leave Second Life. They stated they had improved their Lindex and solved the problems people complained about the previous time they tried closing down the exchangers two years earlier. However, Second Life residents, notably those outside the United States, have complained about problems with Lindex, saying their ability to buy Linden dollars will be compromised, if not outright shut down, once the third party exchangers are. Despite two petitions totaling over 1200 signatures, Linden Lab shows no sign of backing down from it's course, leaving those dependent on third party exchangers with an uncertain future in Second Life.

This month, Linden Lab almost had a public relations disaster when the noted Grendel's Children store was almost taken down along with it's sims because of it's co-owner Flea Bussy, the one who paid for the virtual land, being locked out due to a technicality. Flea and his partner Toady Nakamura are topnotch builders whom recently got attention with Toady's exhibit at the Second Life birthday. Bussy so impressed Philip Linden, he was quoted as saying, "As goes Grendles, so goes the Grid. Imagine what it would have looked like if the store once seen as symbolic of Second Life had been shut down due to a technicality?

Incidents like this are nothing new. One friend told me she once lived on a Fantasy roleplay community of which the sims suddenly went offline, and when they didn't go backup, the owners suspended payment. After two months, Linden Lab told the sim owners they were ready to bring them back online, but demanded the teir for the two months the sims had been offline. They refused, and the sims were reopened just long enough for the community members to gather their items before the land went down for good. Granted this didn't happen recently, the sims in question going down a few years ago, but it was a reminder of Linden Lab's "customer no service," to borrow an expression from financial commentator Clark Howard.

Linden Lab, what is going on?

Despite some raised eyebrows of your announcement of SL 2.0, or Project Sansar as you insist on calling it, your reputation had recovered from the messes you'd gotten into earlier. And now with two high profile failures plus a strategic move that will make it more difficult for residents outisde the US to purchase Linden dollars, once again you're looking like the uncaring, incompetant beast criticss accused you of being. Such incidents do not make you look well when people think about whether or not to buy a sim or renew one, or purchase Linden dollars to help their Second Life experience.

You've worked on bells and whistles to improve how things look around here, to try to get things to rezz more smoothly, to get the items closer to someone to rezz first to him. her. This of course is great, but how good is it if residents can't be sure the Lab will help if something goes wrong?

There's more to this then just Second Life, but your planned sequel to it, Project Sansar. You say you're going to make it "so good, people will want to leave Second Life for it." But if they see you as goofing up with Second Life, why will they trust you with it's sequel?

I've stated it before in previous commentaries. For businesses, trust is a valuable commodity. Trust that you will honor your commitments. Trust that you have the competence to run your business and manage your product well. It cannout be gained quickly or bought, only earned over time.

And right now, the trust you're regained over the course of a year is being lost.

Bixyl Shuftan

Tuesday, July 7, 2015

Over a Thousand Second Life Residents Sign Petitions to Keep Linden Exchangers Open


In the latest article from Hypergrid Business about Linden Lab's announcement for third party currency exchange businesses to shut down after the end of the month, it seems two petitions to keep them running have gotten an number of signatures. One at "savetheexchanges.com" at over 300, and a German language one at "Open Petition" at over 750, for a total as of the writing of this article of over 1050.

Linden Labs says it has many advantages to buy through Lindex, but the fact is, that they will ask you for your RL data, this is something many people in Second Life don’t feel comfortable doing.

We fear the problems, that will be caused by this, will have a great impact on Second Life and its residents. It will be of influence on shopkeepers, residents, and communities. Many SIM’s will have to close down, events, depending on Exchanges, cannot take place and shops with ATM’s and other possibilities to buy Linden Dollars will have to accept losses. 

We need your help! We call on everyone to protest against these incomprehensible and damaging steps that Linden Labs will take from 1 August 2015! Help us to keep the Exchanges in Second Life!

The article described  various residents describing their problems with the upcoming exchanger ban.

“I have no other option than to buy Linden dollars on the Eldex and was shocked about what Linden Labs has done,” wrote Pfister Hammer Matthias from Vilshofen. “My preferred payment option is the Paysave card.”

“I pay through my bank,” wrote Günther Kaffrell from Fürth. “Not with plastic.”

“Unfortunately, the majority of the world’s Internet-enabled population still has neither PayPal nor credit cards nor MoneyBookers,” wrote Beate König from Heiligenhaus. “This poses a huge hurdle for new and current Second Life users.”

“I don’t want to put payment info on file, there are too many griefer tools in Second Life,” wrote “Havoxx Resident” from Berlin. “If they stop the Reseller Program, I’ll stop buying Lindens.”

“I have always used Podex which has provided great service for years,” wrote an anonymous user from Dillingen. “I want it to stay.”

“It is easier and faster to buy L$ with VirWoX,” wrote an anonymous user from Mülheim an der Ruhr. “An immediate transfer is possible.”

“Using PayPal, it takes me two weeks to get money into Second Life,” wrote Ralf Secker from Heilbronn.

Maria Korolov, who wrote the article, added in the comments afterwards, "Those who are using the third party exchanges use them because they have to. The thousand people who signed the petitions signed them for a reason. If they thought the exchanges were ripping them off, they'd go right back to the Lindex."

Unless Linden Lab can be persuaded to change it's mind, the third party currency exchangers will have to close on August 1.

Source: Hypergrid Business

Bixyl Shuftan

Tuesday, June 30, 2015

Update on Linden Lab and the Third-Party Linden Exchangers


By Bixyl Shuftan

It's been two weeks since Linden Lab announced that it was ending it's deal with Linden Exchange services, essentially telling them they could no longer buy Lindens after June 30 (today) and had until August 1 to sell their inventory of Linden dollars and then shut down. When they told the Linden exchangers to shut down two years ago, as word got around in just a few days, the result was an uproar, especially among residents outside the US whom had problems with using Lindex, the official Linden exchange service from Linden Lab. Eventually, the Lab partially relented, allowing the exchangers to join an "authorized reseller" program to stay in business. But they could no longer buy back Lindens for real world currencies.

This time the response has been a little less vocal, possibly because of the timing of the announcement with the Second Life Birthday. Linden Lab's decision wasn't mentioned in New World Notes this time. Though it was in some blogs such as Inara Pey's Modem World, Daniel Voyager's Blog, and Across the Grid with Lindal Kidd. Lindal was particularly critical of the Lab's decision, "In my opinion, the move us ... yet another attempt on the part of LL to appropriate a Second Life revenue stream developed by the residents for themselves. ... when clever residents come up with ways to make money in SL, it smacks of bullying for LL to usurp those income streams by fiat." She felt the Lab had "shafted the residents and merchants that support Second Life and shot themselves in the foot into the bargain."

Hypergrid Business' Maria Korolov has written some about the issue, on June 15 and 27. It reported that one exchanger, Crossworlds, announced it would be folding on June 30 (today). "There is nothing else to do," Crossworlds owner Tony Bastianelli was reported as saying, "Linden Lab has left all exchanges with no options." RUExchange was stated as saying (in Russian), "Unfortunately, the official payment methods, Paypal and Skrill, do not satisfy the majority of our users. ... At the moment, we are negotiating with Linden Lab about the future of the Russian community, and unfortunately our technical support can not give you a comment on the situation."

Korolov stated that the Podex Exchange was planning on staying up, quoting it's CEO Jacek Shuftan as saying, "Linden Lab is not stable in it's decisions, as history taught us before, so I do hope that their decision would be changed in the future, as it happened before with 3rd party resellers closure. ... The motives of present shutting down are completely unclear," he added, "Last time we could suspect FinCen influence. But as far as I know, there were no big changes regarding virtual currencies last days in American law, so I do not understand why Linden Lab made such (a) decision."

Jacek felt "the Lab is only shooting itself in the foot," stated Korolov, quoting him, "Payment methods wich they offer are not accessible in many countries, so they will not only lose profit but also their best clients who invest real money in (the) grid, and now will not be able to do it."

Jacek predicted that Linden Lab's move would encourage people to head to Opensim worlds. Since the first time the Lab threatened to drive away his business, Podex has diversified by expanding to InWorldz, Avination, and other grids besides Second Life. On June 29, it announced it had set up an exchange service on it's 16th virtual world. "Linden Lab('s) decision will affect the Podex Exchange, as well as all other currency resellers, but Second Life is only one of the 16 grids which we serve, so we only lose part of our profit."

There is a petition for Linden Lab to keep it's Authorized Reseller Program , started by a Norman Zimmerman. As of the writing of this article, it had over 660 signatures.

As the deadline for the exchange services is a month away, what happens next is uncertain. But as Jacek stated, the Lab has changed it's mind before.

Podex is a sponsor of Second Life Newser.

Source: Hypergrid Business

Bixyl Shuftan

Tuesday, June 16, 2015

Breaking News: Linden Lab Orders Third-Party Linden Exchangers To Close By August


In a reversal of it's deal with third-party Linden exchange services wanting to stay in business two years ago, Linden Lab announced in it's blog that it was "Concluding the Authorized L$ Reseller Pilot Program."

In 2013, we introduced a pilot program for Authorized Linden Dollar (L$) Resellers. This pilot program was designed to give Second Life Residents additional options for purchasing Linden Dollars, particularly for those based outside the US.

Since then, we have expanded the payment options for Second Life users, and today, you can easily purchase L$ in more countries than ever before, using a credit card, PayPal, or Skrill, which supports a wide range of payment methods. We’ve found that these options support the vast majority of Second Life users, and we have therefore made the business decision to close the Authorized Linden Dollar Reseller pilot program.

We are contacting program participants directly to detail the next steps for them, and they will have approximately six weeks to sell off their L$ inventory.

As of August 1, 2015, the Authorized L$ Reseller pilot program will be closed, and the LindeX will be the only authorized place to purchase L$.

Among the Linden Exchangers is Podex, a long-term sponsor of Second Life Newser.

More details to come later on this stunning news development.

To view the announcement in full, Click Here.


Monday, August 18, 2014

Interview with Prokofy Neva, Part Two


Earlier this summer, we interviewed Prokofy Neva, an outspoken, sometimes controversial figure in Second Life. Prokofy had much on his mind as we talked. In the second part of the interview, he discussed last year's third-party Linden exchange services' ban and the recent controversy about content creators' rights. He also talked about his opinions about the plans for a new Grid, and why Second Life hasn't caught on with the masses like Twitter and Facebook have. One thing that might take some critics by surprise, he had a few kind words for a friend.

Read the interview in People.