The Israel Deception

Is the return of Israel in the 20th century truly a work of God, or is it a result of a cosmic chess move to deceive the elect by the adversary?

Showing posts with label crowdfunding. Show all posts
Showing posts with label crowdfunding. Show all posts

Tuesday, May 30, 2017

The future of funding companies could shift from stock and IPO's to crowdfunding and cryptocurrency token ICO's

With the blockchain suddenly becoming much more than simply a platform able to run the over 700 different cryptocurrencies, there is growing talk that the technology may also be the catalyst to replace how companies receive funding in the future.

Today most startup companies rely upon venture capitalists and brokers to grow to the point where they can apply for an Initial Public Offering (IPO) on a given market exchange.  And in exchange for cash, investors receive stock shares in that company.

But a few recent events are providing a conduit for businesses that may no longer require stock exchanges at all to receive capital, and the rewards to investors may come in the way of cryptocurrency tokens rather than in the old form of shares and stock certificates.

Ever since Bitcoin first appeared on the scene several years ago, fans of the cryptocurrency have been searching for a way to apply the idea that might capture the public imagination and broaden the use of the technology beyond just geeks and programmers. 
Now, some believe that application has appeared with the rise of the "token" economy, in which companies or startup ventures fund their operations by handing out units of cryptocurrencies. Some companies have even done what are known as "initial coin offerings" or ICOs, in which they distribute tokens instead of shares to investors. 
The cryptocurrency market is seen by some as a bubble with hugely inflated prices. Some observers say bitcoin and other similar ventures are similar to Linux, an open-source alternative to Microsoft's Windows operating system that has never really achieved mainstream success. 
But entrepreneur and investor Balaji Srinivasan, a partner at Silicon Valley venture capital firm Andreessen Horowitz, believes that token-based systems "may eventually create and capture more value than the last generation of Internet companies." - Fortune
Ironically it may have been actions taken by the banks themselves following the 2008 finance crisis that could see the demise of the traditional way in which companies receive capital to expand and grow.  This is because most commercial banks have shut off lending to small businesses and projects that would have otherwise been their bread and butter in the past, and this has led to the creation of capital sourcing through mechanisms such as Crowdfunding over the past eight years.

With the advent of Initial Coin Offerings (ICO's) being used in place of Initial Public Offerings (IPO's) to fund new enterprises, markets could be seeing the beginning of a new paradigm shift, where stocks no longer hold the same value as they did in the past, and where cryptocurrency tokens replace them as the asset for short and long-term investment.

Thursday, November 19, 2015

Brother can you spare $106,000?

One longstanding mantra in the investment world has always been, buy on rumor, sell on news.  But thanks to social media, and a 24 hour a day business news cycle, this paradigm has gone much further than ever before, and where the media has become the platform for stock manipulation created on many levels.
We can recall a few months ago how weight watchers stock soared in the aftermath of an announcement that billionaire media mogul Oprah Winfrey had purchased a stake in the company, despite the fact that the fundamentals for the company had not changed.  And in a unique instance of speculation gone wrong this week, a short seller of a bio-tech company was suddenly crushed simply because an infamous name in the investment community stepped in to buy half the company he was shorting, and it has led to a margin call of extreme proportions.

Read more on this article here...

Monday, November 9, 2015

Has GoFundMe and other Crowdfunding sites become the 21st century street corner for begging?

Online funding sites like GoFundMe and Kickstarter have done wonders in the realm of alternative finance where small businesses, esoteric products and services, and even charitable concerns can get public funding since banks no longer provide these services after the Credit Crisis of 2008.  In fact, crowdfunding has helped many people to do wondrous things over the past few years, with one of the most notable accomplishments being the producing of a Veronica Mars movie that had been clamored for by rabid fans for several years.
But like with nearly every new and innovative idea, there are always one or more individuals who use these platforms to either con or scheme to get money for themselves without actually producing or providing a tangible return to those who voluntarily give to that ’cause’.

Wednesday, October 2, 2013

Crowdfunding and Kickstarter replacing Municipal bonds as means for cities to get money for projects

Since 2008, the Municipal Bond markets have been decimated by a combination of lower returns and the potential for cities to go bankrupt.  In fact, in June of this year, over $13.5 billion wasremoved from the Muni market, making this decline the second largest on record.
So in an attempt to get necessary cash to pay for both needed and discretionary projects, municipalities are looking at voluntary donations through online places such as Crowdfunding and Kickstarter.  In Central Falls, RI for example, the city placed a fundraising project on Crowdfunding to try to pay for five no garbage cans in a park that is quickly becoming inundated with trash and debris.