How does this business model work?

[Auld]

Twas just chatting with my bro... apparently, 1 million gold will sell for USD$19 on the RMAH... I dare say this is being dispensed by the Bank of Blizzard.

So we can probably expect items to be jacked up in price as people know buyers have a means to purchase in game gold and can afford paying more for items

5-250Million for top end gear isnt enough for you?

Blizzard have repeatedly stated they wont be selling anything and they don't need to, people will farm gold to sell it for profit.

[Mugsy]

I was mainly referring to the low end items which should only be going for a few thousand.

I sure hope Blizzard stay true to their word... really don't want the market to be flooded with gold.

[revengous]

I would assume there would be no 'whitehole' for gold to just appear from, that would cause insane inflation on the economy.

I always thought it was only people selling gold

[skitzor]

I would assume there would be no 'whitehole' for gold to just appear from, that would cause insane inflation on the economy.

I always thought it was only people selling gold

this sounds like the obvious answer, due to the repercussions (both in the economy and the public **** storm) of blizzard making gold from no where.

I imagine some sort of sink will be in place (like on the GAH) to control things.

Twas just chatting with my bro... apparently, 1 million gold will sell for USD$19 on the RMAH.

that seems way overpriced. I've seen an item sell for 80million gold. there is no way it is worth $1500. the amount of money in gold circulating right now would be **** immense.

[RaTTuS007]

That price is about average for what the good sellers are selling it for now you can bet when the rmah goes live you'll see 1m in about the 3-5dollar range imo, proberly even driven down further by undecutters wanting a quick buck.