Phasing out DXDA to RB

Digot of The Day (Session 125):

VIR Premium - 4.8889 - Gain - .2227


QOD Asked by TW: I'm new on the block so I'm trying to understand the implications of the phasing out of DXDebit to RB. I've only been at it five days and have trippled my my TDV with the help of DXAvailable. If I understand the flow chart, one would have to outxchange from DXDebit and then inxchange to manage the use of the RB of the PF. Ultimately, what is going to happen to DXDebit? Is it going to be managed similarly to the way it had been managed in the past or will it eventually disappear? Any clarification you could provide would be greatly appreciated.

Part of the issue is that you are not 100% DXDebit Qualified yet. This means that you are not allowed to access all of your DXDebit on a daily basis. After 30 days of activity, you should be at 100%. You are correct in that you will have to outX and InX to the Reserve Balance in order to buy more digots after the DXDA to RB is phased out. See the funds flow chart here. The thing that would worry me is that you do have to pay an outX fee of 2.85% (I think?) and possibly a fee to whichever ecurrency you are outxing to. This means that you will lose a small part of your gains to do this. But, if your main goal is to build your portfolio, do it slowly and keep your TDV/DXDU ratio below 50%.

According to DXInOne, if your TDV/DXDU ratio is above 80%, you will no longer have the option to transfer from DXDA to RB beginning September 21, 2005. For 30 days that 80% will decrease 1% daily for 30 days, at which time it will be completely gone. For example if you now have a 70% ratio, after September 31, you cannot transfer anymore to RB.

The moral of the story? Transfer what you can now and get your fees into incoming before this date. Again, its September 21, 2005. Good luck!

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Happy Investing,

LadyDXer