Having reached $700 billion we ask whether $1 trillion is an achievable valuation for Apple. We also discuss why this is not at all interesting. Also, the future of banking.
The Critical Path #133: Transcendental Valuation.
Currencies and money are hard to discuss. Borrowing, taxing and spending is how governments control their economies. It makes sense that they wouldn’t allow private organizations to enter this field. What a mess if I got paid in JP Morgan script but wanted to buy something from a place that accepted Wells Fargo script. I’d have to find a broker to convert that for a fee. Same with Bitcoin. If I got paid x Bitcoin per week how could I plan to buy a home if the relative value of Bitcoin to Morgan Stanley script a year from now was unknowable?
In a sense companies are allowed to offer their own money. We call them purchase orders and bonds. These are backed by the reputation of the company. Of course, they are not very liquid and are denominated in dollars (here). Bonds are traded in a market. POs are not usually traded but sometimes banks will buy them.
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