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  • Writer's pictureAndrew Hamilton

Why the Crypto Industry is a threat to Facebook & Google's strategic Business Model

Ever wondered how Facebook and Google continue to rake in billions from core platforms that have not seen any meaningful improvement in many years?

Tech companies that make hardware like Apple, Samsung etc have to continually update and improve their product to keep up with competitors, but the internet Giants just monetise you and me and add no real value.

How do they stave off competitors? Answer: They buy them before they get big enough to trigger an anti-trust merger investigation by competition regulators. Have a look at Google's massive list of acquisitions and Facebook's.

This is why these internet incumbents don't like Crypto and ban Crypto ads.

The very existence of competitive innovative technology businesses whose funding comes from selling tokens (that increase in value from network effects) rather than from traditional share based fundraising threatens the acquisition based model adopted by Google, & Facebook and Twitter.

There is nothing more threatening to their strategic business model than a competitor that can’t be bought out!

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