TechCrunch founding shareholder Keith Teare "Bear City" is really nothing unusual
Keith Teare is a veritable serial entrepreneur. He not only founded the world's first "Internet cafe" but also successfully created two "unicorn" companies EasyNet and RealNames. Founded in 1983 he is also known as the founding shareholder of the well-known technology media TechCrunch. Today he is the executive chairman of Acclerrated Digital Ventures and has become a big-name figure in the blockchain of Silicon Valley. A few days ago Golden Finance talked with Keith Teare to experience an insight into the development of the blockchain industry by working with outstanding people and doing entrepreneurial careers.
TechCrunch founding shareholder Keith Teare "Bear City" is really nothing unusual
Bear market? Nothing strange not worried
"I really think that the so-called 'bear market' is not unusual. You can see that I am basically starting a business. First of all it is clear that doing a startup company means that no one will believe you at the beginning which means that the startup is successful. I have been in the 'bear market' before." Keith's rich history of entrepreneurship made him accustomed to the storm and looked at the bear market very lightly.
“The 'bull market' in the blockchain industry is really a rare thing.” The reason is that the existence of cryptocurrencies provides “financing” for many projects. And now the "bubble" is clearly squeezed out and everything is restored to what startup companies should look like.
"Startup companies should be like this. People must first look at whether the project is worth investing. People who started to get a lot of money in this wave of 'bull market' last year are very lucky but this is not the norm. Now is the normal state." Keith said . He is also not worried about the current market because good teams still have good ideas in this industry.
However the entrepreneurial expert also felt confused and lost in the bear market but the reasons are completely different. "What I don't understand is that people's expectations are so high. It's like a large part of the world economy has to come to the blockchain and cryptocurrency world. This field is indeed more solid and realistic. The combination is stronger but the fact is that the blockchain industry is still a 'children'."
He believes that there should be "work" support behind "value" and most of the current cryptocurrencies are supported by community consensus. It may be possible in the short term but to find value cryptocurrencies must be useful.
Return to zero? The mainstream currency of the real network is unlikely
In 1997 Keith Teare founded RealNames which later became a unicorn company. RealNames was successfully listed on the NASDAQ in 1999 valued at $1.5 billion while corporate revenue was only 34 million. There is a huge gap between price and value. “This is actually unsustainable and ultimately the price and value will always converge.” Keith Teare said “If a speculative market cash is sensible but we are now heading towards a real market blockchain distribution. Technology such as bookkeeping will bring tangible value and we should pay attention to these values."
So what about blockchain startups and cryptocurrencies? Keith Teare believes that different currencies have different values and risks and Bitcoin is still a safe choice for lower risk because he is almost the “general equivalent” of all cryptocurrencies; Ethereum is made by the real developers behind it. Active networks will also show value in the long run. Because of the existence of real networks the risk of “zeroing” is relatively small.
From a realistic point of view cryptocurrency is a good choice for value storage in the long run. "When Trump said that the United States should once again be great it also reflects that the US economy is not so brilliant. The US dollar and other mainstream currencies are not very suitable for value storage for various reasons. The mainstream cryptocurrency such as Bitcoin is a very Good value storage means. As for other currencies whether it is worthwhile depends on whether the "economic system" it supports is strong. "That is to say a currency really represents people joining and contributing to work."
To achieve mutual participation ecology is extremely important. Keith Teare shares his thoughts on the “startup company ecology” that he is putting into practice. “If a startup gets the community’s Token reward based on the size of the financing and the entire community can use the rewarded Token as a way to pay for the company’s actual products and services if the community agrees Token will immediately generate value” explains Keith Teare. He said that he is also working hard to get big companies like Amazon and Microsoft to accept this payment method. "Big companies will benefit from it." In this way they will get a new premium user base for startups every year. ”
Winter? Investment will not stop
Keith Teare values the incentive effect of the blockchain. “If there is no incentive the blockchain is just a database.” After the incentives are combined the database will play a greater value. "We should put the network and incentives together" he said. And this familiar old-fashioned Marxist entrepreneur from Britain used the new economic theory of the Soviet Union Preobrazhinsky to illustrate the incentive mechanism that the incentive mechanism has always played for the economy.
However when it comes to Token financing Keith Teare also made it clear that “ICO is dead”. He added "Exactly ICO 1.0 is dead this form of sales Token which was previously targeted at retail investors without clear risk control cannot be sustained and the financing of blockchain should be in the future. In the face of institutional investors Token must have intrinsic value and at the same time investment will continue."
When will the next bull market come? Keith said that in fact not only the "bear market" does not matter but the "bull market" is not so important
"In 1998 Amazon under the Internet bubble evaporated 98% of the market value and now Amazon's market value has returned to the peak of the year and doubled. This process lasted for 20 years. In 20 years we did not see the so-called 'bull market'. Keith Teare used gestures to draw a smooth upward curve. "Real time also proves that we need this kind of stable value growth compared to the bull market."