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> What makes bitcoin special? Nothing. Being first is not nothing. It's called first mover advantage. > But they mostly have one goal which is to find someone
by 21 8y ago
> What makes bitcoin special? Nothing.
Being first is not nothing. It's called first mover advantage.
> But they mostly have one goal which is to find someone who will one day pay a lot more for the same bitcoin then they did.
Funny, you also just described VCs with that phrase. Put $1 mil in this company today in the hope of flipping it for $100 mil in two years. They also brag loudly about it, how they "exited" for many times more than they put in. I presume you also find VCs incredibly stupid and unproductive as bitcoin.
- YZF 8y agoVC's can't "flip" a company for $100M unless that company is actually valued at $100M. VCs invest in a team and an idea that they believe will build that company. This is why they are productive (as opposed to bitcoin). The way companies are valued, in general, is by their discounted cash flow. That is the only way you can sell a company for $100M is if you convince someone that company's business will earn at least $100M in present value (typically a lot more). This is exactly the difference between investment and speculation. EDIT: VC's don't need someone to pay more. They need a good business. It's true they're generally interested in selling those businesses but they might stay an owner for a very long time if it's a great business. It's not the other people who pay their money that makes VC's money, it's the business creating value. As to their motivation, of course it is partly to make more money through investment, but they don't rely on a bigger fool to succeed.
- 21 8y agoI was talking about motivation. Why do the vast majority of VCs "invest"? Profit. Why do the vast majority of people buy cryptos? Profit. If you attack bitcoin buyers for wanting to get rich, you should feel the same about VCs.