Private Venture Capital Stock Exchange

The Private Venture Capital Stock Exchange has been experiencing a temporary hiatus in operations. Thank you for your patience while we work around these difficulties.

There are two sets of issues involved at present. The most recent issue which took our site off-line for a few weeks was the moving of a server. We were given plenty of advance warning, but we took no action at the time to ensure continuity of operations. We chose instead to let the site go dark for a few weeks, as we had much to contemplate. As you can see, we have now begun the process of resolving the site on a new server. In particular, we are now getting good name service and the domain resolves to this page.

The other set of issues involves the events of late April 2007. The United States feral government took unprecedented, and, in our view, unconstitutional steps in late April to shut down the e-gold operations of numerous sites, including 1MDC.com. We were, of course, accepting 1MDC as a payment method for members seeking to fund their accounts up until that point.

In addition to charging the principals of Gold & Silver Reserve, e-gold, OmniPay, et alia with various felonies, including money laundering and operating an unlicensed money service business, the government not only seized but also forced the liquidation of the gold held on behalf of 1MDC, the Bullion Exchange, and several other legitimate business operations. They did so without cause, without due process, and without decency.

As a result of this seizure, the 1MDC system is out of commission. Which means that all PVCSE members who funded their accounts with 1MDC can no longer cash out of their PVCSE accounts to their 1MDC accounts. This arbitrary imposition of force majeure also means that many stock purchases that had been funded with 1MDC by various members are now no longer balanced by gold in our trust accounts - the gold which was in our 1MDC trust account having been seized and liquidated by the USA feral government.

There are a number of effects, including some side effects, of this situation. One effect is the need to convert the accounts of members who were funded with 1MDC to accounts funded by some other gold currency. We currently accept e-gold, Pecunix, and GoldMoney. We are considering very seriously the addition of c-gold, eCache, Loom-related gold, and WebMoney gold.

Of course, it is also clearly a consideration that e-gold may be destroyed by government action, or suffer a radical change in management if the government should take it into receivership somehow (presumably by further unconstitutional and indecent actions) and begin operating it very differently. We are, cognizant, therefore, of the need to offer members who have funded their accounts with e-gold or 1MDC an alternative.

What we are proposing to do at this time is provide the opportunity for members to convert their 1MDC or e-gold accounts to Pecunix or GoldMoney for a one-time fee of a gram of gold. We intend to provide the e-gold balances held by members in the new currency of their choice subject to our cost of exchanging one type of gold for another. So, if we pay a 2% fee to convert e-gold to Pecunix, then your account balance would be reduced by that two percent. As soon as we have exchange quotes from competent exchangers, we'll provide information to members seeking to convert their accounts.

As a result of the seizure and liquidation of the gold in the 1MDC system it is not possible to offer any conversion of 1MDC account balances at this time. However, members with 1MDC balances shall have a notation in their account indicating the amount of 1MDC previously held on their behalf by our system. In the unlikely event that the seizure order may one day be vacated, or reversed on appeal, or otherwise overturned and undone, and 1MDC made available once again, we shall, of course, honor our obligations in full. As long as the gold in 1MDC is gone, we cannot offer any conversion of 1MDC account balances.

We very much regret the difficulty involved in these matters. As soon as practical, we shall return this page to the familiar PVCSE interface, and you'll have access to your accounts, again. We are proceeding forward with our plan to place PVCSE on a sound footing. Please bear with us.

Thank you.