Khrapht
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Posted - 2005.05.05 03:57:00 -
[1]
If a share system is too hard to make, CCP should instead consider a bond system. Bonds are basically IOUs that corps issue, that can be resold on the open market. For simplicity, just zero coupon discount bonds can be used initially. These are basically items which the corp issues for X-Y, and promises to buy back after a certain date (called the maturity date) at X.
Implementation of this system would be very simple and make use of existing systems. Add an option to the corp HQ that only corp treasurers can access called "Issue bonds...". When it is selected, a dialog comes up that allows the treasurer to choose how many bonds to issue and maturity date/period.
When this is all selected, the bonds will be created as items in the corp inventory. These bonds can then be sold at whatever price the corp wants through the market system, and when the info for these items will have their maturity date. The items should be called "<Corp name> bond".
When the bonds reach maturity, they automatically change into new items called "Mature <Corp name> bond". These items should be sellable back to the corp at 100000 ISK each. Add a "Claim bond" option to the right click menu of a mature bond, that automatically sells the bond back to the corp when you choose it and triggers a default when you can't. The treasurer will also always be able to pay back mature bonds from an option in the corp menu "Call mature bonds...".
Every corp will have the total number of bonds outstanding, total defaults and last default listed on the corp info. That will allow people to tell what their bonds are worth.
And that's all that's needed for a bond system.
Here's how it would work:
Let's say that a corp needs 1 bil ISK for some operation, and they expect to turn it into 2 bil ISK within a week. They can issue about 1.25 bil ISK in bonds (12500 bonds) with a maturity date of 1 week in the future and sell them on the market for 1 bil ISK (80000 ISK per 100000 ISK bond). Various people buy the bonds and the corp has its money. During the week, these people can resell the bonds, the price rising and falling depending on whether people think the corp will really be able to pay back the bonds at maturity.
At maturity in a week, one of several things happen. The corp really turns it into 2 bil ISK, buy back the 12500 bonds for 100000 ISK each and pocket the remaining 750 mil ISK. Everyone's happy. They make less than that, but still make the payments. Everyone's less happy. They don't make it, and can't make the payments and default. The corp gets hounded (hunted?) by their debtors. They take a long time to eventually pay off the mature bonds. The next time round, people will expect a higher payout on this corp's bonds (more yield) to take on the risk of this set of losers again.
CONCORD should also issue bonds, which never default. This will set the "riskless rate", which is the minimum yield that player corps will need to offer for their bonds. The CONCORD bonds will allow CCP to control the economy in the same way the Fed controls the RL economy -- by setting interest rates. It will also allow people to invest and get a return for their spare cash when they're offline, allowing casual players to compete reasonably both in skills and ISK with the hardcore set.
A bond system will have all the advantages of a share system yet be simpler and easier to police. It can even (with imagination) be used in place of a corporate tax system, allowing lots of birds to be killed with this one stone. Making bonds items also allows them to be stolen, which is fun fun fun.
After bonds, consider a banking system, with loans. Or get the share system done at last. This will make an already financially deep game even deeper and more enjoyable. |