I doubt we'll see nostr companies having hockey-stick valuation growth curves.
The main reason FAANGs experienced such valuation growth was due to the ability to siphon off most value accrued from network effects.
Network effects in nostr accrue directly to users. Data ownership implies users cannot be extorted.
Agree, the networks may see hockey stick growth, but not the companies associated with them.
I agree. Without the hockey-stick growth, do you see valley type investors funding those companies?
The interesting thing will be what types of services and products are created when these developers have instant access to an entire network of users.
100%
and the type of businesses that are possible when you can have data moving throughout apps transparently, so you can have a craigslist-style app interacting with an airbnb-style app and a twitter-like app wherever it makes sense
The possibility of mashups and hybrids enabled by seamless interoperability is exciting.
FAANG growth was fiat nonsense. Ploughing in crazy money to build a large enough walled garden that could eventually be monetised.
That won’t work here and most fiat companies that try to become bitcoin companies because of nostr will also fail.
This is a new paradigm.
I definitely agree this is a new paradigm
smaller, non-rent-seeking companies
VCs/investors will have to adjust to this new reality
It’s going to be a big change, a company office occupying several floors in prime spots, chef made lunch, talent getting paid from credit sourced from investors, to keep up with inflation, with valuation based on vanity metrics.
To new smaller non-funded companies, 20 people, iterating on ideas of their competitors delivering value to the community.
Valuation is the capital in Bitcoin, not the company itself. All are shareholders in this.
it’s going to be wild if true.
Adding value first, then getting paid. Wow what a novel, rational idea. 😂 Fiat signals have completely fucked the way our society has coordinated itself.
Yes, no place for value extracting intermediaries on nostr. Still, if network effect kicks in, ad billions will still try to find their way in. Will be very interesting to watch how this plays out. Companies will meet sovereign users on a level playing field. Potential game changer in this relationship.
never say never, we have jpegs on bitcoin now, but I would be surprised if ad dollars can be injected into the timeline without users finding an organic way around them
it might just be that it ends up playing as #[3] suggested: companies zapping popular notes to brand themselves which effectively creates an organic bidding war
I've been thinking a bunch about this recently...
I agree, but at the same time, unless there is a sustainable way to build businesses on/around Nostr, it's unlikely to gain escape velocity to reach mass market adoption.
There definitely are tons of sustainable business opportunities, just not FAANG-size/speed
More importantly, there are opportunities the protocol (and it’s wide adoption) enables that couldn’t exist before
I would imagine companies will build paid clients, plugins, index services, and data analytics services that you can opt into. The beauty is that it has to be worth it to the consumer, and it's opt in. But I agree, I don't see someone making billions in annual revenue.
