USD Coin: The Stable Crypto From Circle

USD Coin the Stable crypto from Circle

With USD Coin (USDC) the Circle vs. Coinbase saga continues… And Circle seems to be out-innovating Coinbase, at least with its latest move… The launch of a fiat currency backed, “stable crypto” called USD Coin. USD Coin is an asset backed token backed by the U.S. dollar. Each USDC held by a Circle account holder will float in value to an actual U.S. dollar that will be held in the user’s account. USD Coin as Stable Crypto With USD Coin, Circle aims to leverage the positives of crypto, while minimizing the…

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Trusted Third Parties Will Rule… Until They Don’t

Trust is earned

I saw this poster Berkshire Hathaway HomeServices on the Metro North line this evening… Sappy but true. Trust is, more or less, earned. Blockchain technology makes promises all the time… And Bitcoin was built on the premise of eliminating the trusted third party altogether. But until blockchain is just invisible to us, a part of our lives… Until it is proven to be trusted. Trusted third parties have nothing to worry about. Somewhere beneath the message about the benefits of blockchain are that any transaction that involves a third party is…

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Buffett Wants All of Apple

When I read that Warren Buffett had acquired 5% of Apple, I was a little uneasy. This is almost unheard of… Apple is now Berkshire Hathaway’s largest investment in dollar terms, according to this chart by CNBC. In percentage terms, Berkshire owns 5% of Apple now. Apple is almost a trillion dollar company. How much is a trillion? It’s one thousand billion. Wow. That’s like Kevin O’Leary on Shark Tank saying he wants 5% of a startup because it’s just enough to get him excited… Only it’s Apple. So that…

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Goldman Sachs Will Start Trading Bitcoin

goldman sachs start trading bitcoin

Goldman Sachs has announced that it will start a Bitcoin trading operation using its own funds. The firm will start with trading derivatives, and may extend its operation to trade client accounts holding Bitcoin and other cryptocurrencies. According to a NYTimes article, Goldman is seeking regulatory approval to trade actual Bitcoins while simultaneously exploring risk management strategies to minimize downside risk due to the severe volatility of cryptocurrencies. Goldman’s efforts to set up a trading shop will most assuredly lend credibility to Bitcoin, and perhaps have a halo effect on…

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How to Make Good, Uncorrelated Bets

I’m reading Ray Dalio’s book “Principles” right now. The first time I started hearing his name over and over was when he was mentioned by Tony Robbins in his book “Money: Master The Game”. Dalio recommends making 20 good, uncorrelated bets as the “Holy Grail” of investing. The key words there are “good” and “uncorrelated”. What Are Good, Uncorrelated Bets? The meaning of “Good” is obvious. Don’t make dumb investments. The meaning of “Uncorrelated” refers to a statistical relationship between assets as measured on a scale. The degree to which…

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You Can Now Mine Bacon With Bacoin

Mine Bacoin

Oscar Meyer announced that they have launched a cryptocurrency called “Bacoin”. To see if you can instantly win some Bacoin, visit this site. Winners are awarded at random… the “strip-o-currency” will only exist for two weeks. The current value of a Bacoin is 27 strips of actual bacon (as of this writing). As you can see from the chart below, there was a spike in the price earlier today when peoples’ heads exploded realizing that this was a thing… Then it went down… Now it’s trending up again. The maximum value…

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LendingClub Needs a Name Change…

LendingClub needs a name change

LendingClub (LC) can’t catch a break. The company just announced that it’s being sued by the FTC. The lawsuit alleges that the peer to peer lender misled users about hidden fees. Sigh. If LendingClub was some new startup in Silicon Valley providing a marketplace for online, peer to peer loans to people, you’d think the stock would be through the roof. But for all intents and purposes, LC lives in “Bizarro” online business stock performance world… If you take the long term view, a company like LendingClub should be all…

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Apple Lacks Innovation? Get Your Head Examined…

Apple lacks innovation? Get your head examined

Every (insert time period here) there seems to be another article written by some blogger or journalist somewhere insisting that Apple lacks innovation. Writers like to claim that Apple has “killed innovation” or ponder if Apple has lost its “innovation mojo“. For instance, here is a quote from a “mojo” article from 2017 (emphasis and bolding mine): Apple has entered one new product category under Cook. It released the Apple Watch. But it was late to the wearables game and Apple has yet to release figures on sales of the Watch.…

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What is Verge Cryptocurrency?

Porn site “PornHub.com” is accepting cryptocurrency for payments. The worlds biggest porn site now accepts a cryptocurrency called “Verge”… FWIW, Verge has nothing to do with the tech news site “TheVerge.com”…. Verge cryptocurrency is a rebranded forked version of the meme coin “dogecoin”. Indeed, Verge cryptocurrency used to be called “Dogecoin Dark”. Verge Coin was chosen because the cryptocurrency is traded on a blockchain that is obscured by the Tor network on the Dark Web. Tor obscures the public blockchain transactions to keep users’ activity private. PornHub wants to offer…

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Should Apple Be Insulated From Tech Backlash?

Should Apple Be Insulated From Tech Backlash

While the current media furor over the mismanagement of personal data by technology FAANG companies is unlikely to die down anytime soon… It seems as though all Silicon Valley tech companies have been crushed. Should Apple also be suffering from the current tech meltdown? Apple vs. Other FAANG Companies: Facebook: $456B (25 P/E) – No dividend Amazon: $680B (307 P/E) – No dividend Apple: $854B (16.45 P/E) – Dividend 1.5% Netflix: $125B (202 P/E) – No dividend Google/Alphabet: $700B (31.37 P/E) – No dividend Facebook has lost around 20% of…

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