(Originally published at SLNN.COM)

A month after Linden Lab announced its ban on unregulated banking, companies, and the exchanges their stocks are traded on, continue to adapt.

A month has passed since Linden Lab decreed the end of unregulated in world banking. During the following days, banks dealt with the run that this created and attempted reimburse as many depositors as possible. Exchanges sought clarification about what would and wouldn’t be permissible, and expressed frustration at Linden Lab’s inability or unwillingness to clarify details of its new policy. Companies scrambled to change their business plans to comply with the new decree, and some companies claimed that even though they had change their business to meet Linden Lab’s new requirements.

Not a lot has changed since then. The World Stock Exchange (WSE), which had suspended operations a few days before the event for a major software revision has not resumed trading. Firms listed on the WSE continue to post their financial reports, although analyst reports have been few and far between. Rumors are circulating that when WSE resumes trading, it will only use their own ‘World Internet Currency’ which will be exchangeable for other currencies via Paypal.

The Second Life Capital Exchange (SLCapEx) experienced a run on its ATMs. They shut down their ATMs and started working on new ways of handling funds including the use of Paypal, the creation of SLWallet, and started discussions about a private currency. SLCapEx ended paying interest on deposits at the exchange. Despite the shutdown of their ATMs, trading has remained active on the SLCapEx.

The International Stock Exchange (ISE), Virtual Stock Exchange (VSTEX), and Ancapistan Capital Exchange (ACE) all continued to operate with minimal disruption of business.

The effects on different companies has also been varied. Share prices of Brautigan and Tuck Holdings (BNT), the parent company for ACE, dipped slightly after the announcement, but is now trading better than it had been before the announcement. ACE is starting to offer trading classes and is in the process of setting up an alternative grid.

Tyrian Camilo’s enterprises have performed well since the ban on banking, despite various difficulties with Linden Lab. His flagship company, SL International Business (SLIB), rebranded from SL Investors Bank has an IPO on ACE. Already over 4 million shares have been purchased. SLIB has set up online forums for investors to talk about different companies. They have retained Codename Denmark to handle advertising and marketing.

Kauppa Stores (KAU), a subsidiary of SLIB, which was trading in the range of a dollar a share before the banking ban has climbed to the three to six dollar range recently. Mainostaulu Network (MAI), another subsidiary of SLIB also recently completed an IPO on ACE.

The biggest loser on the ACE has been WJUV which had been trading at over ten dollars a share prior to the banking ban, has dropped between three and four dollars a share. There have been no announcements and it is not clear how this would relate to the banking ban.

On the SLCapEx, the biggest change has been the departure of Dragon Global Diversified (DGD). They shut down in an orderly fashion making good efforts to pay back investors. Another big change on the SLCapEx was with the JT Investment Certificates (JTIC). Upon the news of the banking ban, JTIC dropped 20%. It was unclear what their future was. However, they have changed their structure to offer dividends and their value has returned to its previous levels.

Other companies to note on the SLCapEx include SL Reports (SLR) which up around 30%, Verballis (VBL) which is up around 20% and Yellow Paperclip Corp(YEP) which is also up around 20%. At the other end of the spectrum, TNW Designs & R.E. (TNW) has declined nearly 40% over the month and Sky Power Fund (POW) trading is temporarily halted. It dropped over 30% on the news of the banking ban, and his since climbed back to trade at close to pre-ban prices. SLCapEx is waiting for updated financial information to resume trading of POW. All in all, the Innovative Index Fund (NDX) has dropped around 13% over the past month.

Shares of VSTEX (VSE) dropped slightly when the ban was announced, but have climbed and VSE is now trading 25% higher than it was when the ban was imposed. Bikini Management Group (BMG) has posted very strong gains, trading at six times their price prior to the ban. However, trading on BMG is very light, with few existing shareholders willing to sell shares. ITLAND Italian Beach Jazz Club (ITL) and Quattrocolori SL (QCL) are both trading about 50% higher than before the banking ban.

Springboard Publications (SBP) had been in a steady decline since no new magazine had been published in quite a while. However, on January 28th, Zoey Corleone was announced as the new CEO and stock prices recovered. The companies taking the largest hits on the VSTEX were Atlas Virtual Capital (AVC) which was down about 20% and Begneski Investment Firm (BNF) which is down around 30%.

The Linden Lab decreed to end of unregulated in world banking caused many people to restructure their businesses. Some simply closed down. Others adapted with various levels of success. So, barring any new rash actions by Linden Lab, the capital markets in Second Life appear to have evolved successfully and we shall see how they continue to evolve.