Silk Road forums
Discussion => Newbie discussion => Topic started by: Fluke on September 03, 2013, 10:58 pm
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Maybe I'm not understanding the logic to all this, but something isn't adding up here. I have been following numerous vendor prices since the BTC dropped to $69 USD 2 months ago.
As the coin has steadily increased in value so have the silk road prices. So it costs us more to buy 1 BTC and on top of that vendors are upping there asking price? This is crazy. I will note that not all vendors(smaller percentage) have done this. Matter of fact some vendors have taken the logical action and lowered there prices to fairly match increased value of the coin. Problem is most of the popular vendors have participated in the price hike with the high BTC value.
Prime example. 1 pill(****) was costing $20 USD, or 200mg of powder(***) was $28 USD. BTC was at $95 USD
With BTC currently at 142 USD , that same1 pill is going for = $32 and that 200mg powder is $45
When the coins value plummeted to $68 vendors increased there prices to compensate which made sense, but they now do the same when the opposite happens. I'm curious who else has noticed this and how many of you have continued to support these vendor's greed.
Anyhow, would love to hear what buyer's thoughts are on these matters.
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I guess you've got to give it a few more days, who knows whether BTC will stabilize at $145 for now or spike up and plunge down the next day.
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A few days will make no difference unless the coin crashes. The inflation has been going on here the last 2 months. There is no reason to increase price when the coin has been consistently gaining value day by day.
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I agree the price shouldn't increase with the value of btc. I wonder if it is intentional.
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they are increasing their prices because the BTC price here is not accurate.
$145 is the price on MtGox, $125-130 is what we actually get when we cash out.
Once MtGox stops being part of the calculation process, I think you will see prices return to what they were
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Oh yea that totally makes sense. Good call.
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they are increasing their prices because the BTC price here is not accurate.
$145 is the price on MtGox, $125-130 is what we actually get when we cash out.
Once MtGox stops being part of the calculation process, I think you will see prices return to what they were
Even with the slight discrepancy in the mtgox price compared to the other exchanges it still does not account for the price hikes across the board. Prices remained consistent and steady at the 90 USD BTC mark. That means for example if an itemXXX sold for 90 BTC at that time and the coin raises in value by $40 which equals to today's BTC value of $130 why then would the price of itemXXX increase with the coin? That itemXXX that was 90 USD is now selling for $115 USD. It should actually sell for a slightly cheaper price, instead it sells for a higher price which is illogical from an economical standpoint.
I just hope that those reading this thread pay close attention to the relationship between the BTC value increase in comparison to the vendors price inflation. This is pure greed. I have watched closely at over 110 top 10% USA/CAN vendors in the last 2 months and they have been slowly and incrementally jacking up the price hoping that nobody notices. Well people are catching on, I searched reddit today and already found a few posts there discussing this very issue. I must mention again not all Vendors have jumped on this price hike bandwagon. A small number of them have maintained a consistent price on there goods even though they are now making larger profits with the increased value of the coin. So when you take that into account, there is no excuse for the inflation on goods here. This is simply a slap in the face to us customers.
It's funny how when the coin was worth shit, we easily sided with the price increase for silkroad goods since common sense naturally dictated it as the right thing to do. Vendors increased the asking price in order to create balance from the low BTC value so as to fairly reflect the market price for said goods.
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Oh yea that totally makes sense. Good call.
It would only seem to make sense if you only have been paying attention for a short while say 2 weeks. The whole Mtgox argument is irreverent when you take into consideration that even at $$128-130 exchange from other places, vendors are still making more bank now then they did in the last 2 months. In in those last 2 months the prices for goods were cheaper with a lower coin value of 90-100 BTC.
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It also depends what the vendors have set there prices in $ or BTC I know all the vendors I buy off the BTC price of products has dropped and I only ue the BTC value as the $ or any other fiat currencys are not true prices as are the SR exchange rate
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Also thanks to the fucked up way SR calculates it's commissions the % commission vendors pay actually rises as the BTC price rises.
Stupidest logic I have every heard and nobody even tells me how to calculate the exact % commission on a 75% item
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Also thanks to the fucked up way SR calculates it's commissions the % commission vendors pay actually rises as the BTC price rises.
Stupidest logic I have every heard and nobody even tells me how to calculate the exact % commission on a 75% item
Yeah, I kind of agree, despite the strength of your statements. The last time I saw the commission details (I'm not a vendor) it was a total clusterfuck that would take a professional statistician to reduce to a single equation...
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When the BTC's go up they tend to later go down. Therefore vedors need to make more to cover the losses they will incur on the way down.
Modzi
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Most all vendors set their prices in USD. This USD amount stays the same regardless of what the BTC value is. If BTC goes up 10% then we get paid 10% less in BTC for our listings.
The rise it BTC does not mean most vendors are getting paid more since we aren't setting our prices in BTC.
If vendor prices are going up because vendors are increasing them manually then so be it. It is their right to set their prices however they wish and it is your right to choose whether to purchase that item or not.
It is true that many vendors have manually adjusted their prices recently to make up for the loss suffered due to the way SR calculates the price of BTC. SR includes Gox in their equation and right now Gox has an artificially high price. If the SR price is 10% greater then anyone can sell a BTC for then vendors must raise their prices 10% to make up for this. The flip side to this is that you are able to buy coins for less then the SR BTC price so when you purchase you have more money to spend then you used to buy your coins.
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Yeah, I kind of agree, despite the strength of your statements. The last time I saw the commission details (I'm not a vendor) it was a total clusterfuck that would take a professional statistician to reduce to a single equation...
Sorry I was between frustrations of the site not loading and then the forum not loading :/
but yea, I've asked many times for one working example of how to calculate the commission so I know the method and mods/admin cant even give that.
It would only take a few seconds to throw together a page for vendors to enter the price of the item and it tells them the current commission percentage that would be taken.
I think it's just common curtsey to give the guy your fucking in the ass a reach around while you're there.
I mean sorry could they not make it a little easier.
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If you are good with a vendor they will most likely throw you some extra weight if they gaining a bit on the exchange rate.. let them make the call since they take some losses too on the downswing