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Haven't figured out exactly what it does yet but we can assume it does either one or both.
When I equip it there seems to be a cut-down on my max magic points. About 15%. Not sure it's worth it.
Boosts gauntlet damage too.
Greed prevents your mana from regenerating.
To full, anyway. You lose 20% of your mana pool, but it still shows as if you should have it.