> Why is everyone so afraid of OSGold....it seems to be > a valid way to exchange funds ... new as it is they > seem to not have missed a beat.. E-gold was new at one > time also. What is the deal...please explain in plain > english as I really want to understand here. Several red flags: 1) No one knows who they are; meaning that they are not known in gold-bug circles. 2) They don't describe how they are holding the gold in reserve, other than in vague generalities. 3) They make wild claims, like the one where they said that each account was backed by 150% in gold. Combine this statement with another statement where they said that they handle about 40,000 transactions a week, and several inconsistencies come up: 1) It took E-Gold 5 years to reach 40,000 transactions a week, but only seems to have taken OSGold 2 months; 2) Why is it that E-Gold has not experienced a noticeable drop in its weekly transactions during the past couple of months when OSGold has reportedly picked up so many; 3) E-Gold does about 40,000 transactions a week now, with about $12,000,000 in reserve. If OSGold has a similar amount in reserve, then they would need about $18,000,000 in reserve to be backed 150%. If they have this much gold, then someone would have had to have put up $6,000,000 in investment capital. However, if OSGold had that kind of money, we would have heard about them long ago. So, it's highly unlikely that they are backed by 150% in gold, and that they turn-over anything near 40,000 transactions per week. 4) They openly promote 'investment programs' based on pyramid schemes. These are scams because they don't openly tell those to whom they promote these 'programs', how they operate. All of these programs are doomed to fail because they return invested capital as income to previous participants. For the speculation to stop, OSGold will have to become more open about how they operate, and will have to perform an open, independent, audit. Craig --- You are currently subscribed to e-gold-list as: archive@jab.org To unsubscribe send a blank email to [EMAIL PROTECTED]
