Warning to all of my friends out there who may be interested in investing in the hot new investment category called SPACs. These are scams against the people who invest in them. Basically, here is how it ends up working:
- Famous random person raises big money from investors in order to buy out an as yet unknown company.
Read this Bloomberg article about BLNK – a company with only $5m revenue and massive losses that somehow is trading with a market valuation of $2b. Absolute insanity.
Corruption in systems built by humans happens everywhere. Systems that hold corruption to a minimum or are able to self heal from corruption are truly amazing. The only two systems I have seen that generally can heal from corruption are the free market, which heals through removing corruption by natural selection and bankruptcy, and democracy, which heals through periodic elections and purges.… read more “Corruption Is Inevitable”