It is always interesting to watch the evolution of technology and how it changes not only the economy but society.
Back in the Dotcom era, headlines were made one year when a number of Internet companies were advertising on the Super Bowl. For those now aware, this is the panacea of the United States advertising world. The rates for a 30 second commercial are outlandish. Companies release advertisements that were specially designed to be aired on this broadcast.
In fact, many watch the Super Bowl simply due to the interest in the ads.
Of course, the fallout from that was the collapse of the DotCom Bubble and the disappearance of many of the companies. These were ahead of the curve in the sense of the technology not meeting the economic impact. Few can deny what the Internet did. However, the lasting effects of Webvan or pets.com is non-existent.
Could we say the same about crypto?
Certainly it followed a similar path with FTX, as one, getting naming rights to a stadium. The implosion of that company is similar to the Internet age.
What we have to learn from these situation is the winners will tend to be bigger than what went before.
I can't state what was most valuable before the DotCom era started. It is likely due to compute, i.e. Microsoft. We also had legacy companies such as General Motors or GE who were still powerful forces.
That was about to change.
Today, most of the largest companies were not even around in 1995. The ones that formed around then, such as Google and Amazon, were Internet firms that excelled.
Since that time, they spread into different areas. The network effects allowed them to enter alternative markets, enriching the businesses.
We are seeing the same thing occurring with crypto.
Tether is one of the largest names in crypto. It is, by far, the largest stablecoin in the world. This has led to serious clout in the new economy that is emerging.
Like previous generations, there is an opportunity to get involved with other markets. Tether is now seeking to enter the world of sports.
Crypto stablecoin issuer Tether says it has launched a bid to fully acquire the Italian professional soccer club, Juventus Football Club, which has reportedly already been shot down.
Tether said on Friday that it submitted a binding all-cash proposal to Exor, the holding company of the Agnelli family, for its 65.4% controlling stake in Juventus that it has held for over 100 years.
There was no word if the payment will be in USDT.
This is more than just a sponsorship agreement. It is actually a crypto based company buying a controlling stake in a well established business (in this case a sports franchise).
We are looking at something new forming.
A lot was made about Elon Musk's new compensation plan with Tesla. He is slated to become the world's first trillionaire. What is ironic is that it might not be his Tesla stake that gets him to that level. Instead, it could be the public offering of SpaceX that pushing Elon into the trillion dollar net worth category.
The Internet produced a ton of billionaires. It allowed people like Jeff Bezos to provide more retail transactions that any of the largest outlets. Again, the network effects Bezos kicked off are still unrivaled.
Crypto is going to unleash some trillionaires. We are going to see another evolutionary step in our economy. The output due to crypto along with AI will result in an economic singularity, defined by me as a 10x jump. This would put the annual growth rate at roughly 30%.
It is easy to see how crypto platforms could benefit. Is there a cap on what ETH can be worth? What about some other entities that have enormous potential? The compounding effects that come from convergence are likely to be mind blowing.
Some of the household "crypto names" are likely to become the next Cuban, Bezos, or Google boys. Their entry at an early time will be leveraged as crypto takes over the world. The legacy financial system, which created a ton of billionaires, is undergoing a change. With increased economic capacity, we are likely to see a number of trillionaires emerging.
Crypto is not some fad. The entry by Wall Street firms make it clear where things stand. They are not letting this opportunity pass by.
