Avichal - Electric ϟ Capital Profile picture
Oct 23, 2018 12 tweets 4 min read Read on X
1/ Only ~30% of Americans trust schools, the media, or banks. Similar trends appear globally. This is a 40-year downward trend, not b/c of the Internet. We no longer trust the pillar institutions of post-WWII society and this has significant consequences: medium.com/@ElectricCapit…
2/ We used to think of paranoia about schools, banks, or the media as fringe beliefs. But they are now the mainstream belief structure! The foundational beliefs behind Bitcoin are not new. They are resonating now because culture has shifted.
3/ Truly decentralized cryptocurrencies are terrible in most dimensions -- throughput, dispute resolution, volatility. However this is a conscious decision to prioritize other dimensions -- seizure resistance, immutability, decentralization, etc.
4/ Focusing on the inefficiencies misses the point. It would be like trying to understand YouTube as a worse form of television. Blockchains and cryptocurrencies are not a worse developer platform. They are platforms that prioritize solving trust challenges above all else.
5/ Where trading throughput off for seizure resistance makes sense is in the financial stack, starting with stores of value (and a handful of a other use cases). Most dapps fail this test. They are not fundamentally embracing the native advantages of blockchain and crypto.
6/ The best projects in BUIDL mode understand this new world is fundamentally about (lack of) trust. We are in the early days of adoption, but when innovations are adopted, they are adopted VERY quickly. And the rate of adoption is increasing with each new wave of tech
7/ As many have noted, people tend to over-estimate what can be done in two years but dramatically under-estimate what we can do in ten. But even the last year has seen a remarkable rate of progress. Play this forward ten years and the world looks very different.
8/ The best projects embrace what makes crypto-platforms unique. What can we do now that we could not previously? Not just do better, but that we simply could not do? Odds are you are not the first to think of an idea, but that's ok. Most ideas are too early, not too late.
9/ Of course, we have to be mindful of the lessons of the Internet. Disruptive innovation has secondary effects that are hard to predict, and we should do our best to plan for these risks. We should think about the consequences of our work on both individuals and societies.
10/ The collapse of trust in formerly trusted institutions is a cultural shift that cannot be understated. How exactly will we rebuild these institutions? When does it happen exactly? Which populations fully embrace the native use cases? 🤷‍♂️ There are many unknowns in crypto.
11/ But history has taught us: Do NOT bet against entrepreneurs, developers, and builders. Given enough time they *will* win. We went from Kitty Hawk to humans on the moon in 65 years. The iPhone is only 10 years old. WeChat is only 7 years old. A decade is an eternity in tech.
12/ Now thousands, soon millions, of developers have tools to solve trust problems & are experimenting en masse. Builders will try to reimagine every untrusted institution and all means to transmit trust. Many will fail, some may succeed. But this is just getting started. ⚡️

• • •

Missing some Tweet in this thread? You can try to force a refresh
 

Keep Current with Avichal - Electric ϟ Capital

Avichal - Electric ϟ Capital Profile picture

Stay in touch and get notified when new unrolls are available from this author!

Read all threads

This Thread may be Removed Anytime!

PDF

Twitter may remove this content at anytime! Save it as PDF for later use!

Try unrolling a thread yourself!

how to unroll video
  1. Follow @ThreadReaderApp to mention us!

  2. From a Twitter thread mention us with a keyword "unroll"
@threadreaderapp unroll

Practice here first or read more on our help page!

More from @avichal

Mar 24, 2023
1/ The US has lost its global lead in crypto & blockchain developers.

This is a policy disaster for the US.

Almost every other region understands the potential of these technologies and how to regulate reasonably.

We see this daily. Amazing founders are leaving the US 👇
2/ In the @ElectricCapital portfolio alone, founders of companies/protocols worth $5B+ have left the US and given up permanent residency.

@solana, @NEARFoundation, @cosmos host their developer conferences outside the US

The center of gravity of @Polygon is in Dubai and India
3/ @binance is the world's largest exchange despite @coinbase having a head start and spending millions on compliance every year

Even well-intentioned projects now block users from the US, North Korea, Iran, and Syria. <-- how crazy is that list?!
Read 9 tweets
Apr 19, 2022
1/ People are surprised to learn @ElectricCapital's team is 68% software engineers and designers

Why does a VC firm need engineers?

Because Crypto will do to TradFi & venture capital firms what the Internet did to retail & media companies.

🧵👇

mirror.xyz/electriccap.et…
2/ When @pmarca wrote "Why Software is Eating the World" he noted every business must become a software business

Software companies deliver better products, have big moats, acquire customers at lower CAC, and have better margins.

To compete, every company must be software-first
3/ Legacy companies had huge head-starts and resources vs. software startups...but they still lost.

@Walmart has not been able to compete against @Amazon.

Newspapers lost to @Twitter and @Facebook.

Why?
Read 17 tweets
Mar 1, 2022
1/ @ElectricCapital has raised $1 billion in new capital, our largest fundraise yet.

The web3 economy built on top of the programmable money stack will be one of the defining disruptions of the 2020s.

Where are we going to invest $1 billion?

mirror.xyz/electriccap.et…

🧵👇
2/ We believe five key trends will define the 2020s:

i) DAOs will empower global communities to allocate resources in new ways

ii) NFTs will form a new asset and infrastructure layer for Web3

iii) DeFi will democratize access to financial products
3/ Five key trends that will define the 2020s continued:

iv) Decentralized Infrastructure will allow engineers to build the next generation of apps without a central point of failure or control

v) Accessible user experiences will onboard one billion users to Web3
Read 6 tweets
Jan 5, 2022
1/ Time for @ElectricCapital's Annual Developer Report:
medium.com/electric-capit…

We analyzed 150m+ repos & xM code commits to produce these 100+ charts.

This was a community effort: 150 people contributed via email and Github! Thank you everyone who helped.

Let's dig in👇
2/ Our methodology:
We focus on open source code, so we undercount total developers in web3.

We focus on unique code and do not count purely copy/paste code.

These are all imperfect measures but directionally useful to understand web3 growth. Feedback is appreciated!
3/ tl;dr - Web3 is at All-Time Highs:
* 18k+ monthly devs
* 2.5k monthly devs in DeFi
* 3k NEW devs touch web3 code each month
* Several emerging ecosystems are growing faster than @Ethereum at the same stage in its history
* 20-25% of new devs each month start on @Ethereum
Read 37 tweets
Sep 4, 2021
1/ Loot is like @ethereum. It has ignited the imagination of a community by giving us some basic primitives.

It is clunky and limiting, but it is a working MVP.

If the community energy persists, it is a BIG breakthrough. It is the first truly community-owned gaming platform

🧵
2/ Quick @lootproject primer for those new to it.

A Loot bag is an NFT that contains text. The bag is a collection of items each with a known rarity -- think @Wizards_DnD, Magic the Gathering, or Pokemon

It is now up to the community what games to build on top of Loot items.
3/ Once you get your head around what it is, you can appreciate @lootproject's significance.

Loot is the 3rd major NFT innovation

1st breakthrough: collectibles (CryptoPunks)
2nd: generative art (@artblocks_io)
3rd: community-owned gaming (@lootproject)
Read 11 tweets
Dec 27, 2020
1/ Some friends and I are trying an experiment:

$400k for 7% on a SAFE, *before* you've picked an idea for a startup

medium.com/south-park-com…

I've done this w/ 3 founders since 2017. 100% of the companies have raised a A and they are worth ~$200M

Details on the $400k👇🧵
2/ @southpkcommons, @rsanghvi, @adityaag, @jubos, @tfmeeks22, and I are coordinating this experiment.

More important than $400k is the South Park Commons community -- 250+ founders, domain experts, authors, researchers, intentionally exploring together: southparkcommons.com/faq
3/ Why are we doing $400k so early, before founders have picked an idea?

We believe the founder(s) are the most important ingredient in startup success.

We also believe some ideas are better than others & that we can help founders orient towards these better markets and ideas
Read 10 tweets

Did Thread Reader help you today?

Support us! We are indie developers!


This site is made by just two indie developers on a laptop doing marketing, support and development! Read more about the story.

Become a Premium Member ($3/month or $30/year) and get exclusive features!

Become Premium

Don't want to be a Premium member but still want to support us?

Make a small donation by buying us coffee ($5) or help with server cost ($10)

Donate via Paypal

Or Donate anonymously using crypto!

Ethereum

0xfe58350B80634f60Fa6Dc149a72b4DFbc17D341E copy

Bitcoin

3ATGMxNzCUFzxpMCHL5sWSt4DVtS8UqXpi copy

Thank you for your support!

Follow Us!

:(