YoY sat growth represents the enterprise value in business.

For instance, a CRE management company could accept payment of rent in bitcoins and use those to provide liquidity to Lighting. The company’s rate of return if all sats were in a node would become effectively its prime rate, so its goal would be YoY sats growth above that.

Building on Bitcoin isn’t just the next layer 2 solution or wallet, it is also building households and businesses around Bitcoin. How can current businesses make a case to traditional customers why using bitcoin on the balance sheet makes sense? It’s the universal hedge so start there.

I’m getting the sense that “layer-2 ecosystems” will be the ICOs of this Bitcoin cycle.

Given the amount of laws regulating space in commercial buildings, it could likely be argued that when leasing such space, it is a market for a public good and thus pricing data should be regulated akin to stock markets. States should change antiquated laws regulating brokers and agent and begin regulating the price discovery system.

While a student in law school and as a practitioner thereafter, I noticed that over the 20th century, property rights were slowly eroding through the rise of liability rules used in law. I wonder if there is a philosophical link between the shifting of protection of legal interests from property rules to liability rules and the rise of liability-money.

There are roughly 11 types of risk in commercial #realestate and putting bitcoin on the balance sheet helps mitigate 4 of them. Macro risk: holding an asset that consistently increases its purchasing power can help weather economic downturns. Interest rate risk: when rates go up, cash flow valuations go down; BTC has shown that it can rebound quickly from interest rate shock and over time it will further decouple from rates as it becomes seen as risk-off. Inflation risk: consistent purchasing power growth abates the old concept of constantly escalating rent to keep up with inflation, meaning more price stability and better occupancy rates. Liquidity risk: buildings are illiquid, so having BTC on the balance sheet allows the operator to quickly deploy capital without having to market a property for 6-12+ months. Thanks to @Leon and @preston for getting this conversation started.

This is why #realestate investing needs to be reframed. One does not invest in a physical structure as if it itself is a financial instrument, the investment is in the going concern that is operating that building in an attempt to profitably sell space. By putting BTC on the balance sheet, the operators can de-financialize the building and treat it as a piece of machinery. View quoted note →

Latest WBD should have been 3 hours long, at least. @Peter McCormack @preston