DeFi is moving so fast that we are investing in offers that don’t exist yet. Launch pools give investors a way to engage early. They combine features from escrow, SPACs, Kickstarter, and DAOs, using some magic that is only available in the world of DeFi.
Investors can put refundable stakes into a “launch pool.” This gives them votes, and a place in line, with rewards for early staking. When the investment is fully defined, they can commit to it. This mechanism can reduce startup cost, risk and time.
An entrepreneur considers a lot of up front costs and decisions before…
DeFi is the best business opportunity that I have seen in my career. It’s a hot market, delivering real consumer benefits. Fortunately, I have been able to persuade seven entrepreneurs to join me in building products for “real-world DeFi.”
Maxos is working on a pipeline of projects that we describe as a “venture studio”. This helps us to break the huge restructuring of the financial industry into specific projects that we can contribute to. We are using a weekly group call, a stage-gate process, and a set of private and public Discord channels.
I’m honored to be working with:
Bitcoin is up, leaving crypto owners with a Lambo-load of value correlated with bitcoin. This increases the volatility of their portfolio and their risk of losses. They will be tempted to “rebalance”, to sell some of their winnings, and look for new opportunities with new upside.
People do this instinctively. And their instinct is supported by math. Modern Portfolio Theory tells us that we can make more money, with less risk, if we own “uncorrelated” assets. This carries us through times when BTC is going nowhere, but other assets are on average going up.
“When the apocalypse comes, everyone will be on their own to buy healthcare.” Dave “ePatient” DeBronkart dropped this casually into a phone call. I had to ask about the apocalypse. “It’s when the system collapses under it’s own cost and complexity”. Our conversation happened a month before the COVID epidemic wiped out revenue for hospitals and pushed them toward bankruptcy.
Maybe this will be good! Maybe we will find that we can buy great healthcare with the money that we save because we were too sick to go out and buy a $4 coffee. Maybe machines will concoct a personalized…
DeFi is bringing new excitement to the old idea of cooperative ownership. Customers get tokens, earn fees, and vote on decisions. In theory, this improves governance. In practice it accelerates customer commitment and adoption with a great loyalty reward. Can we apply this idea to the world of fund management?
It’s a $5T question. Private market investment through long-term limited partnerships has been massively successful. These partnerships fund much-needed innovation and infrastructure. They have delivered high returns for professional private market investors. LP funds now contain more than $5T worth of assets.
So, why mess with a good thing? There…
Tokenized securities were a disaster in 2018. Investors didn’t want them, regulators didn’t like them, and issuers used them to offer scammy small-caps. All of those things need to change before we can use a tokenized format for attractive securities offers.
The SEC has admitted that tokenized securities are likely to become important. Currently, we use complicated organizations and mainframe systems to deliver financial products. If we can do the same thing with simple scripts, we can improve efficiency, innovation and risk-management. Maybe that’s why I’m getting a lot of new questions about tokenized securities.
I get pitched that exchanges…
Sometimes, you want a bigger team, even if it is messier and less focused.
”Smaller teams are faster” is now deeply conventional wisdom. We have heard that three brave souls with inspiration, passion, and talent can change the world. They will turn on a dime, and produce a product that blows away a big corporate team with a departmental org chart. Those big teams are slow. They spend weeks or months just talking to each other. Your software teams should start small, and grow only until they fit around one pizza box.
I don’t use this conventional wisdom when I…
In March, I was ready. I got a call from a startup where I am on the board. They had lost a big chunk of their development team, they were working from home, and they wanted to switch to a global team. I was able to run my playbook, and fill five slots in two weeks. I was also able to increase the value delivered by simplifying the product and improving focus. We compressed a 700 ticket backlog into a 10 slot Kanban board. By June, revenue had increased 3X.
Suddenly, everyone wants a software team that’s distributed, global, and…
We are no longer working on learning pods for K-12. We are full-speed ahead with a related project to open up the college experience.
We are not going to try to help K-12 teachers and parents. The back-to-school situation is a mess, and we want to help parents deal with the mess. On the other hand there is no obvious opportunity to support a business that helps fix the mess. My expectation is that in-school classes will vector back towards normal over the next three months.
We spent a few weeks working with charter schools. We proposed to help them…
America’s children are already damaged by the spring school closing, falling months behind in academic achievement. Their parents are eager to send their kids back to school and return to work. And yet, schools have not found a formula to fully reopen. Schools that open their classrooms at full density run the risk of spreading COVID, and many teachers are backing away from that environment.
We have had a series of conversations with school leaders. They are proposing a variety of approaches for the fall. Current plans involve lowering density by pushing kids into remote learning for part of the…
SaaS entrepreneur/engineer. Founder of MAXOS, Real World DeFi. Previously founded Assembla, PowerSteering Software, on team at SNL Financial.