BC TECH

Saved by @zmbnski

Patrick McKenzie
@patio11 7 years, 10 months ago 3395 views

Save to PDF Share See On Twitter

It’s underremarked upon that stablecoins accomplish basically all of the original design goals for Bitcoin qua a transactional mechanism (instant free value transfer anywhere), but that nobody cares about this because nobody ever cared about that part of the pitch.

“Why do people care about stablecoins then?”

A mix of “they encourage dollar-denominated liquidity in the cryptocurrency ecosystem and discourage withdrawal of the same” and “they’re good for money laundering.”

“But they make value transfer between exchanges much faster!”

This was a solved problem in traditional finance, too, mostly through the extension of credit. (It doesn’t matter how long settlement takes if there is sufficient trust to enable credit.)

The Bitcoin ecosystem is *positively allergic* to credit, so you have to call it a coin for them to accept it. And after you call it a coin they ignore everything the world has learned about credit, like risk management.

“Stablecoins aren’t credit!”

They’re pretty much exactly credit? A tether is a zero-coupon Bitfinex bond with a non-functioning call option. I

More from Patrick McKenzie

Patrick McKenzie
@patio11

There are a *lot* of software shops in the world that would far rather have one more technical dependency than they'd like to pay for one of their 20 engineers to become the company's SPOF expert on the joys of e.g. HTTP file uploads, CSV parsing bugs, PDF generation, etc.

On a serious note, it's interesting to observe that you can build a decent business charging $20 - $50 per month for something that any good developer can set up. This is one of those micro-saas sweet spots between "easy for me to build" and "tedious for others to build"
— Jon Yongfook (@yongfook) September 5, 2019

Every year at MicroConf I get surprised-not-surprised by the number of people I meet who are running "Does one thing reasonably well, ranks well for it, pulls down a full-time dev salary" out of a fun side project which obviates a frequent 1~5 engineer-day sprint horizontally.

"Who is the prototypical client here?"

A consulting shop delivering a $X00k engagement for an internal system, a SaaS company doing something custom for a large client or internally facing or deeply non-core to their business, etc.

(I feel like many of these businesses are good answers to the "how would you monetize OSS to make it sustainable?" fashion, since they often wrap a core OSS offering in the assorted infrastructure which makes it easily consumable.)

"But don't the customers get subscription fatigue?"

I think subscription fatigue is far more reported by people who are embarrassed to charge money for software than it is experienced by for-profit businesses, who don't seem to have gotten pay-biweekly-for-services fatigue.

Patrick McKenzie
@patio11

FAQ: “How do I get better at writing?”
Me: Write a million words.
Follow up: “Hah but seriously.”
Me: Start with 20,000 words. Everyone gets to that 50 times in their first million.
Follow up: “No seriously.”
Me: Nobody expects 10 Quick Tips To Play Violin At Carnegie Hall.

The Internet is so much better at teaching writing than the traditional educational system principally because it removes an artificial and limiting constraint on output imposed by ability of gatekeepers’ limited time to evaluate output.

(Interestingly in fields where we actually care about performance we’re good at encouraging students to practice when no one is watching but for writing we basically assume all the value is created by the teacher-minute of attention. Teacher-minutes are scarce and rationed.)

If you ever want to be deeply, deeply disillusioned about the state of the world, compare what we do where we care about output quality and what we do where we don’t, and which domains sort into which column by revealed preference.

Advertisement

Patrick McKenzie
@patio11

My friends @robwalling and @einarvollset just launched TinySeed, an accelerator for software companies where a successful outcome is a healthy, sustainable business rather than attempting to ride the rocketship trajectory. https://t.co/LSHqZNcVid

I have some thoughts:

As somebody who bootstrapped ~4 companies, I feel like I had to make some clearly suboptimal decisions early in them for lack of what is, in hindsight, not all that much money. But there's a huge gap in the product space for investment options.

It's weird: you can get $25k from Amex trivially, and angels are very willing to write a check for that much, but you have to make representations about your goals/ambitions/market/etc which don't really apply to everyone.

And so you see the traditional angel/VC ecosystem fund companies where honestly the returns are probably not there, and this is knowable pretty early, but the chase of them will wreck what could have been a perfectly happy business.

(To make the math work for traditional VCs the company has to at least have a market-appropriate shot of $100 million a year. There are a lot more $10 million a year companies than $100 million a year companies. That is *not* a bad terminal outcome for founders/employees.)

Patrick McKenzie
@patio11

Bitfinex files discovery in "Yo bro, where did our $800 million go?" action and it is every bit as interesting as you'd expect it to

Here's their CFO describing their agreement (which we know from other litigation was never contractualized because, presumably because money launderers hate paper trails):

Bitfinex's CFO was shocked, shocked to learn that the money launderer they engaged to provide money laundering services while I-swear-to-God-this-is-an-actual-quote "we learned to bank like criminals" may have from time to time lied to banks.

"Institutional constraints" means, here, "We were attempting to avoid velocity checks placed by our banking partners to detect fraud and money laundering, which would have detected our fraud and money laundering."

Money at the speed of code, yadda yadda yadda, the Bitcoin economy is surprisingly blasé when several hundred million dollars is in an interstitial state for months.

In a situation never before encountered by a financial institution: the check was not, in fact, in the mail.

Patrick McKenzie
@patio11

Most software founders, particularly in B2B, need to get radically better at sales. @Steli , who is the best person for explaining the scrappy stages in the beginning and then building out a team with scripts and processes, wrote a guide to:

For technical founders it is irrationally, obscenely hard to reverse years of programming (ba dum bum) that sales is a value-destroying activity. Sales is CLEARLY a value-creating activity, contingent on you have a value-creating product.

The world will not drop what they are doing to adopt your work. This is particularly true in B2B, where simply building a better mousetrap won't overcome the activation energy required to get people with additional non-mice problems to prioritize changing mousetraps today.

This is very non-obvious for founders because founders are not often people who *want* to be sold to. We often come from a background where trying out tools is a bit of a fun hobby. We like looking at all the options, making charts, and ripping out partially complete tests.

"This week I unsuccessfully trialed four software options for automating that thing that has been killing us. Our actual production process remains the same as last week. Don't worry; this was a great use of time." is not a thing you want to write in a progress report to manager.

More from Tech

Jared Spool
@jmspool

A common misunderstanding about Agile and “Big Design Up Front”:

There’s nothing in the Agile Manifesto or Principles that states you should never have any idea what you’re trying to build.

You’re allowed to think about a desired outcome from the beginning.

It’s not Big Design Up Front if you do in-depth research to understand the user’s problem.

It’s not BDUF if you spend detailed time learning who needs this thing and why they need it.

It’s not BDUF if you help every team member know what success looks like.

Agile is about reducing risk.

It’s not Agile if you increase risk by starting your sprints with complete ignorance.

It’s not Agile if you don’t research.

Don’t make the mistake of shutting down critical understanding by labeling it Bg Design Up Front.

It would be a mistake to assume this research should only be done by designers and researchers.

Product management and developers also need to be out with the team, conducting the research.

Shared Understanding is the key objective

I\u2019d recommend that the devs participate directly in the research.

If the devs go into the first sprint with a thorough understanding of the user\u2019s problems, they are far more likely to solve it well.
— Jared Spool (@jmspool) November 18, 2018

Big Design Up Front is a thing to avoid.

Defining all the functionality before coding is BDUF.

Drawing every screen and every pixel is BDUF.

Promising functionality (or delivery dates) to customers before development starts is BDUF.

These things shouldn’t happen in Agile.

Greta Musk
@GretaMusk

🚔 HUGE #Tesla SERVICE PROBLEMS THREAD🚔

You might remember my 3 prior threads on how
TESLA. TREATS. ITS. CUSTOMERS. LIKE. TRASH.

Here's the 4th installment.
@tomkeinan @jonsey_lisa @jwmooc @tchanpoker @bryanthediamond @EconomicManBlog
$TSLA $TSLAQ 1/22

Welcome to Greta's 4th edition of #Tesla customers getting used and abused. Because that's the Elon Musk way.
@coffeebreakls @KocgibiHarun @omaragha @JayGhahari
$TSLA $TSLAQ 2/22

"The best service is no service." - Elon Musk a.k.a. #SpaceKaren
@briansaziz @FarSha998899 @thinktankfour @Billoday1
#Tesla $TSLA $TSLAQ 3/22

These #Tesla customers represent just the very tip of the iceberg. They are ones who have Twitter, have decided to complain about their #TeslaServiceIssues publicly, and were found by yours truly.
@yanismydj @hajelatweets @AlanHeldman @francislongo5 $TSLA $TSLAQ 4/22

Dear #Tesla customers: In California, if your vehicle has been out of service for >30 days total, it's a lemon. You can get punitive damages and attorney's fees. Don't sit around and take Elon's abuse. @13arm13arm @cecimar12 @richardson_skip @shootinglee $TSLA $TSLAQ 5/22

Advertisement

Kelly Ellis
@justkelly_ok

So, I want to talk about how sexual harassment and fair pay are linked at Google (and beyond), because I think that's an angle that isn't being highlighted enough in the coverage of these walk-outs. I'm going to frame it largely around my personal experience there. Thread.

When I was sexually harassed by the director of the area I was working in, I was afraid to report it because I was worried that "getting him in trouble" would result in the subtle retaliation of missed leadership opportunities.

I wanted to continue working on the team I was on, because I'd gained a lot of very deep knowledge and expertise in that area, as well as reputation and camaraderie with the other folks working in that area. I didn't want to make the situation more "difficult."

To get promoted at Google, several need to happen: 1. you need opportunities for ownership and leadership above your current level (basically, opportunities to show you're working at the next level you're trying to get promoted to). The work you're "assigned" has a big impact.

2. You need glowing reviews from peers, *at or particularly above the level you're hoping to get promoted to.* Basically, you need people a lot more senior than you to say you're doing awesome work.

Gbenga Samuel-Wemimo
@GbengaWemimo

An apostle was addressing his own members
If not for technology, you wouldn't be privy to his discussion with his members
He was sharing with them within the context of their understanding of his message, nature, and personality how he thrived in the middle of a season of casting

down
He mentioned what he achieved and even though it might sound like a boast, he was not boasting to you
He was boasting to his church members and as such, you cannot call it a boast
A father does not need to boast to his children and a shepherd surely does not need to boast to

his sheep
Newspapers needed a scandal and felt the message of the apostle was the right fit in their quest to get eyeballs
You read it and you began to insult the apostle
You, the son of a dog from Abatan refuse dump decided to drag an apostle on Twitter
Do you understand what it

means to be an apostle?
The angels working with an apostle are innumerable, they do not only work at his command, but they also work at his behest!
They are entrusted with the duty of ensuring that the Lordship of his office is respected by both spiritual and mundane entities

In the days of Jesus, many of the Pharisees and religious leaders treated his words and actions the same way many of the gutter bred stone casters with 100 Naira data and stolen or London used phone treated the words of the apostle
Jesus warned them at the time that they were

The Captain
@TheCaptain182

What an amazing presentation! Loved how @ravidharamshi77 brilliantly started off with global macros & capital markets, and then gradually migrated to Indian equities, summing up his thesis for a bull market case!

@MadhusudanKela @VQIndia @sameervq

My key learnings: ⬇️⬇️⬇️

Bubble or Bull Market? Join us for a short presentation and candid one on one on 27th Jan, 4pm with Shri \u2066 @MadhusudanKela\u2069. \u2066@VQIndia\u2069 \u2066@sameervq\u2069 #bubbleorbullmarket pic.twitter.com/LBvlBrz6mS
— Ravi Dharamshi (@ravidharamshi77) January 24, 2021

First, the BEAR case:

1. Bitcoin has surpassed all the bubbles of the last 45 years in extent that includes Gold, Nikkei, dotcom bubble.

2. Cyclically adjusted PE ratio for S&P 500 almost at 1929 (The Great Depression) peaks, at highest levels except the dotcom crisis in 2000.

3. World market cap to GDP ratio presently at 124% vs last 5 years average of 92% & last 10 years average of 85%.
US market cap to GDP nearing 200%.

4. Bitcoin (as an asset class) has moved to the 3rd place in terms of price gains in preceding 3 years before peak (900%); 1st was Tulip bubble in 17th century (rising 2200%).

You May Also Like

$Corey Lynn \U0001f64f\U0001f1fa\U0001f1f8$

Corey Lynn 🙏🇺🇸...
@CoreysDigs

1) OBSERVATION: The frequencies are changing. I would have to assess stats on the electromagnetic field to see its fluctuations. All I know is, I am highly sensitive to energy/frequencies, and they are changing, because…

2) 2 Weeks ago, my dog was effected by it as well. He is hearing things that aren’t technically audible. I can tell by his body language and sounds. One week ago I began feeling a pressure in my head and ears. It wasn’t painful at all, but it was intense for a bit.

3) It reminded me of taking off in an airplane a bit. I felt like I was in a vacuum. It went on and off for a couple of days. I’ve picked up on frequencies and high pitched sounds (not audible to most) for 30 years, and today my right ear began to ring for longer than usual.

4) This is nothing unusual for me, with exception of the duration. This happens often with me. No, it’s not tinnitus. Only this time, when I spoke, there was reverb creating a high pitch in my ear from my voice. This lasted for about 30 minutes. It did not hurt, just annoying.

5) So yes, the frequencies are changing. What this means exactly, I am unsure of at the moment. Some will say electromagnetic fields, others will say ascension, and some will say pole shift. I honestly can’t say at this very moment.

WORLD OF SANATAN DHARM...
@world_sanatan

WHY BABUR NEVER TRIED TO ATTACK SRI KRISHNADEVARAYA ?

A🧵u must read

It is very well known that Babur considered Krishna Dev Raya as the strongest ruler of the entire subcontinent, and Vijayanagar empire the strongest during that time in India.

1/10

The Vijayanagar empire reached its peak during 1509-1529 around the reign of Krishna Dev Raya.

Vijayanagar’s famed elephant brigade 👇

2/10

At his command there were over 50000 elite troops with a regiment of Portuguese gunners and 3200 cavalry with 600 elephants.

3/10

Along with that more than four hundred thousand ( four lakh) peasant levies and irregular military made this empire one of the largest in all of South Asia.

A typical Vijayanagar levie soldier 👇

4/10

During Baburs invasion, Krishna Dev Raya ruled supreme in all of deccan.

In fact, in an all our brawl, Krisha Dev Raya will beat Babur fair and square.

Babur could muster at max 50000 troops with 50 canons.

While Krishna Dev Raya had these numbers in Hampi alone

5/10

Advertisement

George Mack
@george__mack

THREAD: 15 of the most useful razors and rules I've found.

Rules of thumb that simplify decisions.

Bezos' Razors:

• If unsure what action to take, let your 80-year-old self make it.

• If unsure who to work with, pick the person that has the best chances of breaking you out of a 3rd world prison.

Skinner's Law:

• If procrastinating on an item, you only have 2 options:

1. Make the pain of not doing it greater than the pain of doing it.

2. Make the pleasure of doing it greater than the pleasure of not doing it.

Luck Razor:

• If stuck with 2 equal options, pick the one that feels like it will produce the most luck later down the line.

I used this razor to go for drinks with a stranger rather than watch Netflix.

In hindsight, it was the highest ROI decision I've ever made.

Bragging Razor:

• If someone brags about their success or happiness, assume it’s half what they claim.

• If someone downplays their success or happiness, assume it’s double what they claim.

The map is not the terrain.

$ArmaniTalks \U0001f399\U0001f525$

ArmaniTalks 🎙🔥...
@ArmaniTalks

Shy people are either overthinking or highly observant of the social setting.

And in many cases it can be both.

'So what do I do?'

You learn the 75/25 law.

'What is that?'

The law of charisma...👇

Let's address the over thinkers first.

Do you have any idea why you overthink?

'Yea. Because others are judging how shy I am.'

Incorrect.

Others are thinking about themselves, not you.

But the fact that you think they are thinking about you, you fuck up the interaction.

Now you stay in your head too much & avoid the present moment.

A major no no in the social world.

Your tendency to think that others are judging you for being shy, coincidentally makes you more shy.

And that's when you start giving off a strange vibration to the social setting.

This is when you begin attracting comments like 'why are you so quiet?'

Vibhu Vashisth
@VIBHU_Tweet

LACHIT BORPHUKAN : AN UNSUNG WARRIOR OF THE AHOM KINGDOM & THE GREAT BATTLE OF SARAIGHAT

Originally named as Lachit Deca, Lachit Borphukan, the fierce and invincible Ahom Commander, was born during the early 17th century at Betioni in the Golaghat district of modern Assam.

His father, Momai Tamuli Borbarua was the ‘Governor’ of the kingdom and also ‘Commander-in-Chief’ of Ahom army under King Pratap Singha during his reign starting from 1603 to 1639. Lachit received military training from an early age and joined the Ahom King Jayadhvaj Singha...

...(1648-1663) as a scarf-bearer. The post ‘scarf-bearer’ or ‘Soladhara Barua’ is considered as a part of the incumbent king’s personal staff. Owing to his military training Lechit was appointed "Ghora Barua", Supdt. of the Royal horses. When Chakradhwaj Singha became king..

..of Ahom dynasty in 1663,he appointed him Suptd. of The Royal Guards &finally he was appointed as Borphukan by the king.Then onwards,he was known as Lachit Borphukan.Borphukan used to be top councillor in Ahom Kingdom. This position was embedded with executive & judicial powers.

Assam was facing incessant Islamic invasion since Jan1662, when Mughal General Mir Jumla II attacked Ahom capital Gargaon. He never defeated Ahom king Jayadhwaja Singha as king retreated to hill &continued Guerrilla warfare.Prolonged fight &prospect of stalemate disturbed Jumla.