Gold also plays an indirect role in so called swap transactions, depending on the gold/silver exchange rate in the player-driven market. These work as follows:
For certain in-game expenses, we will be introducing a player market driven swap mechanism that will give discounts on silver prices if there is too much gold in the game. You will get the discount whether you have gold or not.
The mechanism works in the following way:
Assume that the gold/silver rate set by the game is 100 to 1 (last alpha, it was 10 to 1)
Assume that a certain action such as repairing Albion Online Items would normally cost you 1.000 silver
Now, if the gold/silver rate in the player market is lower than 100, say it is 80, you will actually get a discount on the repair: instead of paying 1.000 silver, you will only pay 800 silver.
In general, the discount on your silver costs is the same as the percentage that the player driven gold/silver rate trades below the reference rate.
If, on the other hand, the gold/silver rate in the player market is higher than 100, then you will still pay 1.000 silver – you will not have to pay more. So, in a nutshell, if there is too much gold in the world, the silver cost for doing certain activities will decrease.
This is how the mechanism will work from a player point of view. What our system will do “in the background” – but only if the gold/silver rate is smaller than 100 – is the following: it will take the silver you paid. It will use that silver to buy gold from the player market. It will take that gold out of the game. If the gold/silver rate is higher than 100, than nothing special will happen, the expense will simply be taken in silver. From an economic point of view, what this does is the following: if there is too much gold in the game, everybody will benefit as the silver prices for certain activities will come down. On top of that, if there is too much gold in the game such that the gold/silver ratio is higher than 100, it will act as a gold sink, which will help our business model. We believe that this creates a really cool win-win-win situation between us as a developer, people who do not mind spending some money on the game and people who want to play entirely for free.