Why bother making startups when I can just invest in shares&crypto and make my usual 1-2% per year? Capitalism “breeds innovation” but most startups are really just “make toilet paper a subscription” or “buy from China/USA/Germany and resell”. There are few startups based on actual scientific advancements.
Yes, I’m asking about investing while I’m broke
EDIT: 5% was an exaggeration
Everyone thinks they know better and investor money has to go somewhere for taxation purposes.
As an aside, S&P500 index is the only investment worth making for USAmericans who aren’t in congress.
I know only one person who engaged in startups. Two of them failed and one still exists though I am sure it is not profitable. He has a bachelors in business and has marinated himself thoroughly in liberal capitalist kool aid so he probably thought he knew how money is made. He wanted to make products rather than invest because he wanted to be like one of those local iNnOvAtIVe CEOs that are often published about in the newspaper. Some ppl just wanna be the glorious risk takers I suppose.
venture capital is a strange ecosystem of very smart boys with too much money looking for very smart ideas to turn that money into huge piles of money. so everyone involved has an incentive to sell themselves as the smartest of the very smart boys with the smartest of the very smart ideas such as “selling toilet paper with a subscription”, and to remind their audience that only the extra special smart boys can recognize the extra special smart ideas and get in big on the ground floor. so it’s a giant fart-huffing apparatus, a hall of mirrors that entices people with constant validation of their intelligence if they’re willing to drop large amounts of cash on the promise of extravagant returns.
this is the most efficient way of distributing capital for increasing production.
Gotta find a new source of profit. They’re pretty scarce so you gotta buy a little snake oil at time; Hope they get lucky.
