"Ladies and gentlemen! After the public opinion offensive we launched in various countries, as well as the continuous fermentation for more than half a year, a large number of foreign investors are already in place with huge amounts of funds.
After the small drop in price caused by the delivery of tulip bulbs, it rebounded strongly within a day. But because everyone is waiting for tulips to appreciate further, there are very few bulbs in circulation on the market.
I think now is the time to put the futures contract in our hands on the market. The first shot of the tulip winter trade will be fired by the Eye of Wealth. "
In the ring-shaped conference room, Argo, wearing gold-rimmed glasses, was speaking with assurance on the podium.
The unique emblem of a ruler and a golden eye hung on the wall in the middle. Obviously, this was the internal meeting of the Eye of Wealth.
The Eye of Wealth was originally just a secret association of big bankers and big capitalists from various countries.
But after obtaining the political power of the Low Countries, they had openly stepped onto the stage and gained huge economic and political influence.
They had a magnificent headquarters building in Antwerp and also had their own independent armed forces.
Hearing Argo's introduction and combining it with their own market research, these members of the organization with huge wealth were already somewhat moved.
They had never thought of harvesting next year's bulbs according to the Tulip contract. Moreover, none of the big shots present were fools. They all understood the principle that the greater the profit, the greater the risk.
But driven by profit, everyone wanted to sell at the highest price and obtain the greatest profit.
And the reason why the consortium monopolizing next year's output existed was to ensure this.
"Although the prophets and the priests of the Church of Wealth have no way to obtain any useful information from this frenzy, our analysts still have a reasonable understanding of the current situation.
However, our analysts still made a reasonable prediction based on the current supply and demand relationship. The price cannot continue to rise without limit, and the risk does exist.
The recommended time node is best placed before next year's spring.
And after this experience, there are still many applications for futures. Cotton, steel, coal, ink trees, indigo … and other bulk commodities can all be used in this way.
For everyone, this is a broad road to harvest wealth! "
At present, they clearly realized that futures were not mainly goods, but standardized tradable contracts in the form of financial assets such as stocks, bonds, and so on.
Take the Tulip contract as an example. There were no clear rules in the futures market, and there were no specific restrictions on the buyer and seller. The contract was very easy to buy and sell, changing hands several times in a very short period of time.
This made it possible for these big bankers and big capitalists to do whatever they wanted, buy and sell short, and reap wealth at will.
The future was infinitely beautiful!
"Also … There's a resolution here that has been officially passed this morning. It should have been sent to the various exchanges by now. The path for large-scale futures trading has been completely paved!"
Argo took out a document and showed it to the members of the organization. They immediately cheered.
Driven by huge profits, speculation was crazy and irrational.
In order to promote the continued growth of such transactions, the Senate and government controlled by the Eye of Wealth had specially introduced a targeted policy.
As long as speculators were willing to pay a premium of 5% to the government, the government was willing to provide a guarantee.
When the speculators defaulted on the deal, they were responsible for taking over the deal, adding fuel to the fire of the extremely hot tulip deal.
Their thinking was simple. According to the current trend of the price increase, they would be able to offset the risk in a few transactions. Moreover, in the hot tulip deal, this was not a high probability event.
The resolution was reached.
All the members could not help but stand up and shout the motto of the Eye of Wealth:
"When money stands up and speaks, the truth must be silent! The future of the world belongs to the Eye of Wealth! "
"The future of the world belongs to …"
However, just as the torrent of capital was about to sweep out …
Boom!
The closed door was suddenly pushed open. The major shareholder of the Tulip Guild, Somerfield, who had been accepted into the Eye of Wealth as an exception, rushed in while panting.
His face was filled with fear. He shouted loudly as if he was asking for help:
"Not good! Someone has started to sell bulbs at the exchange today. It's not just one or two people, it's a lot of people. The price of tulips … has collapsed! "
Even though they were used to big scenes, many of the people present could not help but feel dizzy after their hearts skipped a beat.
"Oh, my God!"
.....
Actually, three days ago.
In the entire Lowland Republic, the Tulip Exchange in many cities, taverns, private clubs … and other places where tulip bulbs could be traded.
A very similar scene appeared in all of them.
A foreign or local speculator would suddenly appear next to a person and mysteriously say:
"Hey! Friend, we have some tulip bulbs in stock. They are all superior varieties. Are you interested? "
The answer was, of course, without exception.
The Faceless Men carried out Elvin's plan and sneaked into the village. They did not use any guns and did not trade through the guild. Instead, they traded privately with interested buyers.
Compared to the futures contract which required an additional year of "time cost" and various uncertain factors in the middle, the buyers were naturally more willing to accept the visible and tangible transactions based on the mentality of "safe in the bag".
Just like in the early days of the savings business, the elderly were willing to believe in a black and white passbook instead of a savings card with only a number.
The most important thing was that the price of tulips in the trading market had been increasing. It was different every hour.
But these sellers were very easy to talk to and gave them ample opportunities to raise money. As long as they could complete the delivery on the same day, the settlement would be based on the opening price in the morning.
Therefore, everyone who could grab this batch of tulips could not help but sigh at their luck.
However.
When this situation continued for a full three days, as long as they wanted to buy, the other party would always be able to provide the goods. Finally, some of the smart people realized that something was wrong.
Moreover, the selling of tulip bulbs covered the entire Lowland Republic. Although the volume of trading in a single city was not too high, it was enough to shake the skyrocketing price curve in the entire country.
Elvin wanted to take advantage of the fact that the feverish market was still not awake to harvest as much as he wanted in the Lowland Republic.
With one bite, one's mouth would be full of oil!
During this period, the Holy Angel and the Goddess also cast their attention to it, stirring up the spiritual world which was already extremely chaotic due to the wide range of implications.
No prophet could use Beyonder means to accurately predict this international event that had a huge impact, as well as Elvin's sniping operation.
On the fourth day, the confidence of some smart people began to waver. They followed the Faceless Men and began to sell, which also shook the Eye of Wealth union.
The "Beating the Drum and Passing the Flower Game" was officially launched.
"It's just a flower! How many people are willing to exchange a house, a few dozen tons of cheese, and a few dozen sheep for it? "
Once the reflection began, it could no longer be stopped.
Previously, in a short period of half a year, the price of tulips had been raised by nearly seventy times. The tulips had reached an unprecedented level of glory.
However, the peak only lasted until the beginning of winter.
It only took a day for the stock to be sold off in a panic, starting from the morning's tentative launch into the market to the panic of the large-scale selling.
The bubble that was getting bigger and bigger finally collapsed completely.
"Sell it, sell it, discount it, I only want half of the contract!"
"I only want one-third!"
"Buy mine, buy mine!"
Speculators sold in large quantities, causing the market to fall into an unprecedented state of panic.
The still bright and moving tulips had become a hot potato, and no one dared to take it. The price of the bulbs was like a boulder rolling down a cliff, plummeting rapidly.
At this time, the Republic government saw that the situation was not good and decided to intervene to suppress the panicked selling.
However, it was too late. The collapse of confidence was not something that could be easily remedied by administrative means.
Subsequently, an unprecedented collapse drowned the entire country like a landslide.
The Tulip market of the "Lowland Republic" a few days ago, which was flourishing and burning, suddenly turned into a hell of misery and debtors!
Thousands of people went bankrupt in an instant.
Many speculators who bought the tulips with debt or borrowed the leverage of the bank even jumped into the sea like dumplings.
Even wealthy businessmen and large organizations were caught off guard. Because of the large number of bulbs hoarded, all of them were injured.
In a short period of a week, the entire "Lowland Republic" and several surrounding countries were in a state of distress.
Ding!
"Cheers!"
Elvin, who was holed up in St. James' Palace remotely, lightly clinked his glass with Levina. The harvest in just a few days was almost the same as the Duchy's GDP for that year.
This made the firm heart of an industrialist uncontrollably ripple.
It was the feeling of brandishing a sickle to cut leeks. It was really cool!
However, things did not stop there.
It was also at this time.
Seeing that the ground was already full of chicken feathers, a large number of innocent "flower farmers" and "plantation owners" quickly joined forces.
Waving the transaction contract signed when the price of tulips was high in their hands, they came to Antwerp with a large number of tulip bulbs that they had picked up from the ground.
They required the contracting parties and the current holders of the contract — many banking groups and investment institutions, also known as the "Eye of Wealth" to honor the contract.
In addition to the 20% advance payment that had almost sucked dry the liquidity of the "Eye of Wealth", they still needed to pay the remaining 80% of the purchase price according to the contract.
And this step was Elvin's real killing blow, which was the core!
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