Hundreds of billion dollar businesses have been built on SMTP (and of course HTTP).
“What about spam and other bad things?”
As with SMTP and HTTP, we have legal system, plus providers (gmail etc) can filter (but are constrained from turning evil because the user switching costs are low).
“But this didn’t work in year [yyyy]”
That’s true of almost every tech idea that eventually works :)
Plus we have many new tools now, including 1) a way to store information on the internet where the user instead of a company controls it, and 2) a new way to fund protocols.
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Blockchains are virtual computers that run on top of a network of physical computers that trade off performance (overhead of consensus mechanism) for the novel property that you can make credible long-term commitments to users and developers.
Therefore it is correct but not interesting to say blockchains are less performant that an individual computer controlled by, say Google or Facebook.
If you want to trust your business or you personal life to a computer owned by Google or Facebook, that’s great.
I wouldn’t. Many of us would like to opt out and try a different model.
There is a widespread view that the internet and software industry is now mature, that the historical pattern of disruptive revolutions every 10-15 years is now over. 🧵
In my experience, this view is tacitly held by most of the establishment: institutional investors, tech execs, policymakers, media, etc. It affects valuations, corporate behavior, media coverage, and policy making.
Let’s say you run a startup that has a successful product, and you are now considering what product you should build or acquire next. 🧵
Something I find useful is mapping out the typical economic loop from start to finish, and then considering the startup’s position within that loop.
I’ll explain by looking at the current internet landscape and the strategic position of Google, Facebook, Amazon, and Apple. (I’ll adapt this to web3 in a future thread.)
Web2 is built on advertising. Big companies like Facebook and Google make most of their money on advertising, and many web2 startups build their customer base using advertising.
When you build a business on advertising, the theory is that if you retain enough customers, the long-term economics will work out and you’ll eventually be profitable.