COMPETING FOR FUNDING AGAINST BITCOIN
Karl Dakin
Capital Coach | Stakeholder Investor Campaigns | Design, Stage, and Manage or Support | Reduce Time, Money, and Risk of Raising Funding | Increase Probability of Success! | Opportunity Management
QUICK CALENDAR
TOMORROW, TUESDAY, NOVEMBER 26, Successful Funding show, 8 am Mountain Time / 10 am Eastern Time
WEDNESDAY, NOVEMBER 27, Don Cohen show, 9 am Mountain Time / 11 am Eastern Time
No Community Revitalization show this week – HAPPY THANKSGIVING!
?FUNDING HAPPENINGS
TRADEPUBS continues to offer free copies of new books that may be of value to many readers. This offer is for Get Organised! Clear The Clutter And Get On With Your Day. It is described as “Knowledge, careful planning, organised systems and dedication can give any organisation the basics it needs to be strong. Getting organised is one of the best elements to implement within any structured boundary.?Positive elements may then able to surface from the conscious effort of eliminating negatives like getting rid of unhealthy stress & tensions that cause clutter, time robbing habits, and other more complex but coinciding features.†Download for Free.
?ASK CAP
CAP, my artificial intelligence (AI) avatar, is available on my website 24/7/365 to answer your questions for free on matters related to funding.
?I developed CAP with a license from Knowledge Avatars to answer frequent questions about funding and save myself time when answering the harder questions.
?I asked CAP,
“In considering an investment strategy for an individual, should they invest in Bitcoin?â€
CAP responded:
“When considering Bitcoin as part of an investment strategy, it's crucial to evaluate the individual's risk tolerance, investment goals, and time horizon.
?Bitcoin, known for its volatility, can offer high returns but also carries significant risk.
As part of a diversified portfolio, it may provide growth potential, but it should be balanced with more stable investments.
?It's advisable to consult a financial advisor to tailor the strategy to the individual's specific situation."
?FUNDING POINT – COMPETING FOR FUNDING AGAINST BITCOIN
Every small business or community project seeking investment is competing for the dollars of the investor candidate. These competitors are not limited to other businesses and communities but to anyone and everyone who is also seeking money. This includes family, church, charities, personal hobbies, or anything that the investor candidate may write a check or swipe a credit card.
Now, in addition to all of those competitors for funding,g there is also Bitcoin.
This year to date, 2024, Bitcoin has increased in value 109%. That’s outstanding, except for Years 2014, 2018 and 2022.
How will your small business or community project compete with this rate of return?
“Although profit margin varies by industry, 7 to 10% is a healthy profit margin for most small businesses. Some companies, like retail and food, can be financially stable with lower profit margins because they have naturally high overhead.†Pay.com
Since most investors base their investment decisions solely upon return on investment, it would take the average small business of 11 to 16 years to match the profits that an investor may have earned on Bitcoin this year alone.
?An investor in Bitcoin does not need to develop a level of trust with the management team and does not need to worry about whether customers love or hate the products or if the value of the business goes up or down. Simply put, Bitcoin presents a no-worries investment.
A small business or community project competing for investment dollars must come up with a reason for investor candidates to choose them instead of Bitcoin.
?My primary objection to Bitcoin is that it is a cryptocurrency that is not backed by assets. It has no value except at the point of exchange, where it can be traded for something else. Its price is speculative. Any increase in price is driven by speculation that it will continue to increase in price. This basis for setting a price offers the risk that there may be a loss of investor confidence that would bring the price down, as seen in 2014, 2018, and 2022. This pattern suggests a major decrease in price next year. However, is the pricing that predictable? It would be more accurate to predict that future pricing is more like flipping a coin with the odds of which direction the price will be at 50/50.
?There are other reasons for an investor to choose a small business in which to make an investment instead of Bitcoin.
- Bitcoin never hired anyone.
- Bitcoin never served a cup of coffee or a sandwich.
- Bridges are not made out of Bitcoin.
- Bitcoin cannot teach school.
- Bitcoin cannot lead a community.
- Food is not made out of Bitcoin.
- Bitcoin does not build computers or blockchain miners
?I think you see where I am going with my thoughts.
?At what point does the price of Bitcoin exceed the total assets of the world? What happens then? Will Bitcoin prove to be the Emperor’s New Clothes? How far will prices drop?
?More importantly, in the present, businesses and communities raising money cannot fall back on the old mantra of “invest in me, and I will make you rich†when whatever promise and potential that they may have for appreciation in value, they are currently getting their ass kicked by Bitcoin. Businesses and communities will need to offer more than a rate of return and/or focus their fundraising on investor candidates who do not believe in Bitcoin.
领英推è
BELIZE REAL ESTATE & LIFESTYLES SHOW
LAST WEDNESDAY, Boris Mannsfeld and I hosted the inaugural Belize Real Estate & Life Styles show. The program covered a wide variety of reasons why Belize may be in anyone’s future for tourism, business, or retirement.
You may the show recording at:
SUCCESSFUL FUNDING SHOW
TUESDAY, NOVEMBER 26, Mark Maraia will be my guest on the Successful Funding show at 8 am Mountain Time / 10 am Eastern Time. The topic will be Bitcoin.
You may view the show live or watch the recording later at:
LAST TUESDAY, Thomas Frey CSP was my guest on the Successful Funding show. Dr. Tom Frey is a world-class futurist. We talked about the future of funding. The conversation included the topics of change, tokens, cryptocurrency, anticipated changes at the SEC, and higher-quality access to information.
You may watch the recording of the show at:
COMMUNITY INVESTMENT SHOW
LAST THURSDAY, Donald Cohen was our guest on the Community Revitalization show presented by RCI Community Funds and RCI Academy. Stephen Shaff and I acted as co-hosts as we discussed the importance of communications within communities. Not only is it a key asset in building and operating community investment funds, but as a prerequisite, communication serves to inform a community and enable it to have a sense of identity.
You may see a recording of the show at:
DON COHEN SHOW
WEDNESDAY, NOVEMBER 27, I will be a guest on Don Cohen’s show at 9 am Mountain Time / 11 am Eastern Time. We will be discussing ‘Documentation’, which means getting in writing, books and records, and third-party testing.
Tis the day before Thanksgiving.
You may view the show live or watch the recording later at:
YESTERDAY, I was a guest on Don Cohen’s show. Our topic was crowdfunding. We discussed the future of crowdfunding, things people are doing right or wrong to gain the most from crowdfunding, and the challenges of building a ‘crowd.’
You may view a recording of the show at:
SUBSCRIBE
You may subscribe to this Weekly edition of my Instant Funding Newsletter, or you may subscribe to my Daily edition.
Karl Dakin, the Capital Coach
Dakin Capital LLC
--
4 个月That's going to be Amazing program karl Dank thanks for sharing this best wishes to each and everyone their ?????????????????????????
Capital Coach | Stakeholder Investor Campaigns | Design, Stage, and Manage or Support | Reduce Time, Money, and Risk of Raising Funding | Increase Probability of Success! | Opportunity Management
4 个月How do you compete for investment dollars against Bitcoin?