“Book Review: On the Edge: The Business” by Zvi

Previously: The Fundamentals, The Gamblers

Having previously handled the literal gamblers, we are ready to move on to those who Do Business using Riverian principles.

Or at least while claiming to use Riverian principles, since Silicon Valley doesn’t fit into the schema as cleanly as many other groups. That's where we begin this section, starting at the highest possible conceptual level.

Time to talk real money.

Why Can You Do This Trade?

First law of trading: For you to buy, someone must sell. Or for you to sell, someone must buy. And there can’t be someone else doing the trade before you did it.

Why did they do that, and why did no one else take the trade first? Until you understand why you are able to do this trade, you should be highly suspicious.

“Every single thing we do, I can [...]

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Outline:

(00:41) Why Can You Do This Trade?

(03:08) In a World of Venture Capital

(10:54) Short Termism Hypothesis

(12:42) Non-Determinism and its Discontents

(14:57) The Founder, the Fox and the Hedgehog

(17:11) The Team to Beat

(24:22) Silicon Valley Versus Risk

(35:14) The Keynesian Beauty Contest

(40:57) The Secret of Their Success is Deal Flow

(50:00) The Valley Beside the River

(53:07) Checkpoint Three

(53:37) Fun With SBF and Crypto Fraud

(01:01:53) Other Crypto Thoughts Unrelated to SBF

(01:04:50) Checkpoint Four

The original text contained 1 image which was described by AI.

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First published:
September 25th, 2024

Source:
https://www.lesswrong.com/posts/Hfb3pc9HwdcCP7pys/book-review-on-the-edge-the-business

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Narrated by TYPE III AUDIO.

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