[Originally published on TheoryOfSelf.com] A few weeks ago I wrote about why I don’t think it’s wise to hold altcoins. Today I’d like to continue my contrarian impulses by talking about why I don’t think it makes sense to invest in an ICO or startup based on a decentralized application. Decentralized applications (dApps) may very well change the world — but they are very unlikely to make their creators rich. To understand why, it’s helpful to take a step back and understand the basic mechanism that allows entrepreneurs to accrue wealth in the first place: the firm.
Don't invest in decentralized startups
Don't invest in decentralized startups
Don't invest in decentralized startups
[Originally published on TheoryOfSelf.com] A few weeks ago I wrote about why I don’t think it’s wise to hold altcoins. Today I’d like to continue my contrarian impulses by talking about why I don’t think it makes sense to invest in an ICO or startup based on a decentralized application. Decentralized applications (dApps) may very well change the world — but they are very unlikely to make their creators rich. To understand why, it’s helpful to take a step back and understand the basic mechanism that allows entrepreneurs to accrue wealth in the first place: the firm.