Say what you want, just put your name to it

Friday, 22 June 2018
London, UK
By Sam Volkering

  • The Medici effect
  • Some intersections to think about
  • Mailbag: at least he put his name to it

The ‘Medici Effect’ is a concept that was first created by entrepreneur Frans Johansson. The premise is real innovation comes from the most unlikely of places.

In fact it’s the intersection of ideas from two almost unrelated industries that creates game changing innovation.

For example you could take an industry like automotive, combine it with artificial intelligence and end up with self-driving cars.

Speaking to Fast Company in 2012, Johansson said there are ‘facts of innovation’ crucial to new ideas.

  • All new ideas are combinations of old ideas, but not all idea combinations are created equal.
  • People that change the world often generate a number of powerful ideas. Johansson cites Richard Branson — and the various ideas he and the Virgin empire have spawned — as an example.
  • When you bring together diverse teams and perspectives, you have the ability to create an exponential increase in ideas.

Johansson put this all into a best-selling book, published in 2014. It’s well worth a read. It has received plaudits from The Washington Post, BusinessWeek and the wider business community. It’s also been listed as one of Amazon’s Top 10 business books.

The Medici Effect is something we regularly think about. We’re always looking at ways in which industry comes together to create innovation not seen before.

An intersection where two seemingly unrelated ideas can create the next gigantic opportunity for investors.

And we think we’ve found it…

A note from the publisher

Before we resume with the main business of today, publisher Kris Sayce, asked me to pass on this short note:

Hey Sam, just a quick one. Can you let our Port Phillip Insider readers know about an important FREE investor education series starting Monday. It’s called the, “How to Make Money From Shares That Go Down Masterclass”. I know most folks won’t be interested in learning about how to make money from a falling market…not when we’re nine years into a raging bull market.

But this is exactly the time when they should learn. Most will wait until after markets have fallen. Then they’ll beat our doors down, begging us to tell them how to make money from falling shares. Well, I’m not prepared to wait until after stocks have fallen. This is important. Our readers need to know about it now. So, can you give them this link. They can get more details on what this special investor education series is all about. Every one of our subscribers should see this. It’s FREE. So there really is no excuse not to.

When the market turns, it will be vicious. Now is the time for our subscribers to learn how they could profit as shares fall. Tell them to go here.

‘Cheers, Kris.

You’ve read what Kris has to say. Check out the link, and then register. It’s free to do so.

Now back to the markets…

Markets

Overnight the Dow Jones Industrial Average closed down 196.10 points, or 0.80%.

The S&P 500 fell 17.56 points, or 0.63%.

In Europe the Euro Stoxx 50 index finished up 36.09 points, or 1.05%. Meanwhile, the FTSE 100 lost 0.93%, and Germany’s DAX fell 183.25 points, or 1.44%.

In Asian markets, Japan’s Nikkei 225 is down 173.98 points, or 0.77%. China’s CSI 300 is down 0.20%.

In Australia, the S&P/ASX 200 is down 12.10 points, or 0.19%.

On the commodities markets, West Texas Intermediate crude oil is US$71.50 per barrel. Brent crude is US$77.50 per barrel.

Gold is trading for US$1,266.60 (AU$1,716.26) per troy ounce. Silver is US$16.42 (AU$22.25) per troy ounce.

One bitcoin is worth US$ 6669.15

The Aussie dollar is worth 74.59 US cents

We’re in the middle of a new Medici moment

We were chatting recently with Editor of Exponential Stock Investor, Ryan Dinse.

We’re in regular contact with ‘Dinsey’ as we like to call him (dunno if he likes it though…).

We often trade views on the blockchain and cryptocurrency space. Obviously as we both work on Secret Crypto Network, Ryan also publishes Extreme Crypto Trader and we publish Crypto Tech Investor, we’ve both got a lot of knowledge on it all.

But we’re also both big proponents of game changing tech. And Ryan sent us through an email recently that we thought was simply too good not to share with you.

He writes,

 ‘I think the biggest changes in the world — and in turn the biggest opportunity for investors — are at pivotal collision points.

 ‘A moment where two or more trends collide to create something bigger than the sum of their parts.

 ‘They’re easy to see in hindsight — think microchips and consumer electronics, the smartphone and wifi, internet, etc. But a lot harder to spot ‘in the moment.’

 ‘If you can find one of these rare moments though, you can ride important multi-decade long trends and potentially make a fortune.

 ‘Right now I think we’re at one of those moments.

 ‘The collision of blockchain technology with the biotech industry.

Ryan’s email was a little vague, but enough to get us super-interested. And he promised he’d have a little more for us over the weekend.

He also mentioned he’s been working on a special report he’s getting ready to release that outlines how investors can potentially profit from this collision.

It also sparked our mind into other industries where blockchain technology might find itself intersecting and creating new Medici Effects.

It’s not just a case of saying, ‘oh yes, blockchain + X = huge opportunity’.

There has to be some kind of solution to a problem. Or some kind of disruption to incumbents. Or some kind of genuine opportunity, not just ‘because blockchain’.

And one area we think is rife for blockchain disruption is social media.

Right now there’s serious problems with the way people use social media. These networks are abused by those who own them, and those who use them.

We also hear and read stories of people taking their own lives due to online ‘trolling’ and cyber bullying. It’s a travesty which needs to end.

Often the reaction is that ‘social media’ has a problem that needs fixing. The biggest problem we see with it all isn’t the social media, or the network itself. It’s the anonymity of users on the platform.

Anyone can set up an account with Facebook, Instagram, Twitter, Snapchat — any of the social networks. And there’s really no stringent verification that you’re a real person.

You can set them up with fake names, fake emails, and entirely fictional personas.

The point is people can hide behind the walls of anonymity on these networks and do untold damage to others. Business and government have been trying to figure out a way to fix these trolls and cyber bullies, but nothing seems to be working.

However there is a fix.

It’s the transparent identification of users.

In our view you should be able to say whatever you like online. You can have a view, make a comment, even say nasty, harmful things about someone if you like.

But you should be required to have your name and identity clear and transparent when you do.

That way if you’re going to troll and abuse someone, they’ll know exactly who you are. And importantly there will be an easy way to find those who undertake illegal, abusive and harmful behaviour.

We can guarantee this would diminish the frequency of trolling on social media. If you eliminate anonymity, you will reduce trolling.

It won’t kill it off completely. But nothing will. However it will seriously change the game.

The problem then becomes a question of how you guarantee identity, make it immutable, yet guarantee the safety of people’s data and information at the same time.

In our view that can only be done through blockchain and crypto networks. You can have a digital identity and keep your personal data safe. Yet you can still enforce rules to ensure that when you post comments, your name and identity is verified. And if need be, there is recourse for the things you might say and do on public record.

We know that there are crypto projects working on these issues. And we think they’ll be able to solve them. Furthermore we think we’ll see this tech applied to global problems like social network abuse — both from users, and from the companies that run these networks.

It’s a work in progress, no doubt. But if we can identify the tech intersections that present game changing opportunities, we have a chance at solving these problems.

From the mailbag 

Speaking of being able to say whatever you like so long as you put your name to it, we got the following in our Port Phillip Insider mailbox on Wednesday night from reader, Ken.

Volkering says, and I quote,

The moment that happened, Aussie pot play Auscann Group began to surge upwards. Investors who got in just as Auscann began to take off in early March 2016, are sitting on gains as high as 28,700%.

Load of rot. Prior to 27/01/17, AC8 was TWH. TWH performed a 20-1 consolidation in late 2016. This gives a consolidation adjusted price of 10c share for TWH in March 2016.

1750%, NOT THE RIDICULOUS CLAIM OF 28700%

The guy’s either stupid, a liar or a charlatan — probably all three.

Well the only way to tackle this is brutal honesty.

The quote was taken from one of our promotions outlining the huge legal cannabis opportunity. The quote was reproduced in Wednesday’s Port Phillip Insider.

And quite simply, we got our numbers wrong. We’ve since rectified the mistake.

Auscann undertook a public offer in 2016 at a price of 20 cents per share. This came after the consolidation of stock in the company that existed before Auscann.

Nonetheless trading as Auscann, their most recent high of $1.86 puts a maximum return of 830%. Well short of our 28,700% figure. We know why this error occurred. But there’s no point going into it in further detail.

We got it wrong. And we’ve rectified the mistake. Sometimes these errors pop into our editorial. They shouldn’t as we have processes to eliminate these things, but sometimes they do.

It’s not intentional. It’s a mistake.

Are we stupid, liars and/or charlatans? We’ll we know what Ken thinks. And it’s his right to think that. At least he put his name to it.

We’ll leave it up to you to make your own decision on what you think of us.

As much as a bit of hate mail does find its way through to our inbox, we also gladly welcome positive feedback.

Please drop us a line if you feel that any of our editors or publications have helped you out, changed your life, or delivered some outstanding returns. You can always contact us at our email address: letters@portphillipinsider.com.au.

Or course if you think we’re bumbling idiots — well, free speech says you’re more than welcome to let us know that too. But at least put your name to it.

Regards,
Sam