Friday, March 29, 2019

Cold and Warm

An Asset is something that generates cash or grows in value. It isn’t what it is that defines it, it is what it does. What it generates. A Price is a clearing mechanism. A crude communication tool to shift resources around to where they are valued most. Money-backed Supply and Demand are the two biggest factors. A high price is a better indication of scarcity, than of the intrinsic value to the holder. Neither of these ideas sit well emotionally. Doing is visible and external. Possession and desire are fuzzy and internal. Assets and Prices become deeply personal stories we tell ourselves. I believe that separating the warm stories we tell ourselves from cold numbers we use is very powerful. By creating Engines through building Capital, it is possible to release our stories from the numbers.


No comments: