Investment under a Bitcoin Standard. Bitcoin Tech Talk #236

The current system of investment is strange. Stocks with no profits for years soar to crazy heights. Bonds that return negative yields go up in value. There are lots of VCs who put in lots of money to lots of startups hoping for returns in 7-10 years.

Startups are often unprofitable for most, if not all, of that time and are all-in on market capture. It’s considered stupid to earn profits and re-investment into the business to grow such companies is what’s considered wise. Big companies also don’t like keeping cash on their balance sheet and instead buy competitors, or their own stock. Debt is looked upon as a good thing, especially if the interest rate is low.