It isn't just bitcoin companies, but should become all companies of value over time, and eventually I'd like to strip cheap equity off erstwhile hegemons with bitcoin's moon. Meaning:
If the money is BTC, and Ford is paying its dividend in BTC, and earning profits in BTC, I want Ford in my portfolio too in order to make + BTC. If Riot Blockchain pays BTC dividends, it's an early example of that, and the same goes for some of these BTC/LN companies like BLOCK et al. The wealth transfer is BTC becoming the money people spend, save in, and what everything is settled in; with the twist of being a deflationary system that "recycles money, energy, and prosperity" as this somewhat underrated post taught me:
But yeah, that's my reply to your question, I could be wrong, just where my logic has lead me. 🤷‍♂️
Thanks for all your insight here, and the post you linked was a fantastic - really good read and ideas on energy/bitcoin correlation and true decentralization. Thanks for linking that.
Everything you mention makes sense to me - whether Ford, Block, etc - I want a cashflowing business with strong fundamentals in my portfolio, and as the money system moves to bitcoin denomination, I will be able to increase my Bitcoin holdings.
That wealth transfer you mention is where I'm still hung up...
If it's a "slow" transition (ie longer than my remaining lifetime), then I want to invest in any company that produces the best risk adjusted returns. If Bitcon adoption is very slow, this favors more of a traditional company (let's just call in $MSFT, $AMZN, $F).
I guess it's this "medium term transfer" where we get some steady transfer of wealth to Bitcoin - which offers some sort of favorable "blue ocean" to Bitcoin/Lightning companies in a new market. So maybe this is where the best risk adjusted return is for investing in Bitcoin/Lightning co's (good business fundamentals, a new market, and steady adoption rates)?
But in a "fast" transfer of wealth scenario - if hyperbitcoinization occurs anytime in the next 20 years let's say - then it seems the value increase of my Bitcoin savings far outweighs the return on any Bitcoin/Lightning company - especially given the risk correlation?
I don't claim to have some formula or answer, just thinking out loud here...I guess a lot of the analysis depends on the timeline of the overall adoption/wealth transfer and how that models into the portfolio co's fundamentals?
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