I don't know how this relates to GLBSE, as I don't follow the GLBSE, but now I'm curious and am going to have to check it out!

Seeking investors and suggesting a possible return on investment is one thing, but selling actual shares/securities is something far more regulated and scrutinized. I don't have a dog in this fight either way, but I work in finance and know that selling shares is serious business.

If thats the case then why are there no distributed stock markets and why do all existing stock markets aim to be fast?

Speed is a requirement when you want to buy or sell something before someone else.

Then we're getting into distributed blockchain based stockmarkets, and I believe that there is already a thread on this, the major problem being speed, markets need to be able to process transactions quickly which requires centralisation (or very VERY fast replication).

did any of you had a look at:
http://www.slcapex.com/

and asked the question if the second life capital exchange is regulated?

my opinion is similar to trading imaginary money for virtual stock and if you want to regulate that, please remember to take your meds.

Article I: Capital Exchange Disclosure Statement

Capital Exchange (CapEx) is a fictional stock market simulation game operating for entertainment and educational purposes only, and currently exists solely in support of Second Life®, a feature-rich online 3-D virtual world including an "economy" and a "currency" ($Linden) operated and supported by Linden Research, Inc. Capital Exchange (http://www.SLCapEx.com) is not affiliated with Linden Research, Inc. For more information regarding Second Life® please visit (http://www.secondlife.com).

To be very clear, Capital Exchange is not a real-world stock exchange and does not offer opportunity for direct real-world investment or profit. Shares purchased on this stock exchange simulation game do not entitle you to any legal real-world rights to a listed virtual company. Please play accordingly!

CapEx operates within the Second Life® environment, and beyond its boundaries via our website which acts as a clearinghouse for the trading of CapEx-listed "Stocks" and "$Lindens". The underlying companies are fictitious and none of the companies offer "registered" investment quality securities for sale in any form whatsoever via our website. Lindens used to purchase virtual stock here are in essence being transferred to the ownership of the person you are buying the virtual shares from, and not Capital Exchange. All stock and shares purchased are for purely entertainment only, and not considered part/whole ownership in any legal entity or real life company.

The terms "profit" and "earnings" as used within the context of the CapEx.com website, and any claim of monetary value therein, relates solely and specifically to the valuation of $Lindens as specified in the Linden Lab Terms of Service, Section 1.4 (http://secondlife.com/corporate/tos.php).

The $Linden "currency" is a limited license right available for purchase or free distribution at Linden Lab's sole discretion, and is not redeemable for monetary value from Linden Labor from CapEx.com.

CapEx offers no direct opportunity for conversion of ($Lindens) to legal tender currencies including $US Dollars. Linden Lab does offer an Exchange, called LindeX™, for the trading of $Lindens. Please refer to the Linden Lab Terms of Service, Section 1.5 for information regarding LindeX™ transactions.

Notwithstanding the warnings herein, CapEx as designed and offered is a serious stock simulation game. The participants here “play for keeps” and their time and $Linden-based holdings represent a considerable investment in our community.

Your participation here is not without risk. You could lose some or all of your $Lindens invested here. Only invest here what you can afford to lose.

There are additional policies, rules and Terms of Service for participation as published and amended from time-to-time. Please review and fully understand them before playing.

Finally, the operators of CapEx.com make no representation of any kind regarding the accuracy, fitness for purpose, or use of the software residing at (http://www.SLCapEx.com). Your use of the software in any manner whatsoever shall constitute an understanding and acceptance of this Disclosure Statement in its entirety. The individuals who operate the software residing at (http://www.SLCapEx.com) offer no warranty and offer no remedies whatsoever for its use or consequence. You play this stock simulation game at your own risk.

Although we don't have a hot swap system ready and waiting GLBSE is prepared for the unlikely event of the  server being shut down, we would be offline for a maximum of 3 days.

I can assure you that the FSA sees bitcoin as monopoly money and simply doesn't care.

Just because I happen to live in the UK doesn't mean that this is where GLBSE is operating from. The fact is it would be very difficult for any country to shut down GLBSE (being as we have no bank accounts to be frozen or physical assets to seize).

1st argument is in box 1 - not carrying out a business.  BTC is not recognised as currency or security, so trading with them exempts GLBSE.

I've dealt with tax officials on the definition of "carry on a business" with respect to value added taxes, and the intention is basically to create taxable income.  GLBSE is not aiming to create taxable income in the UK (or probably anywhere else).

(the S could be for "stuff")

GLBSE in not a U.S. exchange or company.
The owners and managers of GLBSE are not American citizens nor do they live in the US.


I agree that GLBSE is not a stock exchange, it's an asset exchange (where the assets may be shares, bonds, futures or some other form of security), but GLBSE users like to call it that so that's what we do.

I wonder, should we change the name to Global Bitcoin Securities Exchange?