Eli Dourado has a well written and easy to understand article about how Bitcoin transaction reversal and arbitration works. The feature built into Bitcoin is known as m-of-n or “multisignature” transactions. Here’s a brief extract: The simplest variant is a 2-of-3 transaction. Let’s say that I want to buy goods online from an anonymous counterparty. […]
December 4, 2013 | Bitcoin, Economics, Finance | No comments
As someone who recently purchased Bitcoin and two other crypto currencies using three different methods, I thought I’d share how to buy Bitcoin because I know there’s precious little information out there: Coinbase: The easiest way I found without leaving your computer is to sign into Coinbase.com and add your bank account. They’ll do 2 […]
November 28, 2013 | Economics, Finance, Investing | 7 comments
Facebook’s second quarter revenue is expected to be $1.1 billion. That would give them roughly $4.4 billion per year, not exactly a number that justifies the $100 billion market cap they were/are hoping for. Compare that to Google’s $37 billion last year with current $200B market cap and Facebook isn’t even a player yet. The […]
Every profitable business has a Money Guy. Sometimes it’s the CEO, sometimes it’s another member of the exec team. Money sticks to this persons hands for reasons unknown. They know how to get the best deals for anything they buy and they have a habit of making more money than they lose. If you don’t […]
July 23, 2012 | Finance, Startup Hacks, Startups | No comments
A reputable investment bank approaches you and says they’ll lend you as much money as you want for a very low interest rate. The rate depends on how long you want to hang onto the cash: 1 Month will cost you 0.01% APR interest 6 months: 0.07% 1 years: 0.11% 5 years: 0.88% 10 years: […]
I am long the stock market. I’ve been accumulating stock in businesses I understand for the last month or two. Why? I’m predicting a bull market starting in the next 12 months. My reason for writing this is purely selfish. I want to be able to say I told you so. I’ve also been predicting […]
January 5, 2012 | Finance | No comments
Last Friday and again today the DJIA got a nice bump from data showing unemployment has dropped from 9% to 8.6%. This number is known as U3 and only counts those actively looking for work. U4 is what the government should publish which counts U3 + those who have given up looking. We “added 120,000 […]
December 5, 2011 | Business, Economics, Finance | No comments
I have a sinking feeling there will be blood. Right now Dow is down 4.45%, S&P down 5.69%, Nasdaq down 5.7%, Gold up 3.87% and rising. The DAX closed down 5% and the worst drops happend towards end of trading, so I’m expecting the same for US markets. Update: I hate to say I told […]
The Nikkei just opened and is up 1% after a brutal week. Guess they’re confident the US is going to get it’s act together. They must not have heard Pelosi is thinking of backing out. Or maybe FT.com’s stats are delayed.
July 31, 2011 | Finance | No comments
A month ago on Techcrunch, Michael Arrington wrote about “Twitter’s Revenue Dilemma”: “Your valuation can actually go down once you turn on revenue.”. “Turning on revenue” frames it as a binary thing. You’re either making money or you’re not. It completely disregards the most important variable in finance: Time. With the tiniest trickle of revenue […]