We are heading into the debt crisis and crypto can help
The global financial crisis and its aftermath have had a major impact on digital-first startups. Global finance is entering a great debt reset. More debts are created faster than any nation-made credit. How can this sustain growth in the future?
The stunning success of Facebook, Google, and other smartphone platforms has driven startups to abandon traditional marketing and digital platforms in favor of their respective digital-first businesses in the late 90s. Money is no longer tight for early-stage digital companies, which means they need to scale up their product and service offerings quickly. They also need to have access to capital sources that are cheap but reliable. That’s why crypto is so great. It can help drive startups back into business after the Great Financial Crisis, enabling them to continue operating without fear of being left with nothing left to do — or with access to capital that is cheap but reliable. However, multiple financial crises wipe out more capital than ever.
Why global debts are so high?
One of the main reasons digital startups can scale up quickly is the relatively cheap funding available at early stage. Back in 2014, when Facebook was just starting its business, it received stock options in exchange for development funding of $100,000. So while…
