Just so you know, this article is NOT about what you think it is.
—> Last chance to subscribe before I start sending this out to SUBSCRIBERS ONLY 5x WEEK.
———-> The free letter will still go out 1x a week no worries.
You thought this article was about “getting to know the right people” didn’t you?
About building up your “Linked In connections”, or something crappy like that…. :)
Nope.
It’s about this graph.
“But Kale, graphs are BORING”.
No, they aren’t.
This one is pretty life changing.
Here’s what it means.
If you had invested in Apple, Amazon, Facebook, or Google, back in 2012, you would be rich.
I can hear it now…
DUH!!!!
But wait a second, that’s just your hindsight bias talking.
Ever heard the saying, everything in hindsight is 20/20?
Yeah, I’m willing to bet many of you DIDN’T invest in those 4 companies back in 2012 (I didn’t either).
And why was that??
Because most people didn’t (and still don’t) understand the POWER of a NETWORK EFFECT BUSINESS.
What’s a network effect?
The best example is a phone.
If only 1 person had a phone it would be useless, right? No one to call.
If 2 people get a phone the phone’s network becomes twice as valuable.
And so on.
Same thing happened with Facebook.
There’s nothing proprietary about Facebook.
I could start the “Kalebook” right now if I wanted to.
But GOOD LUCK getting 2 BILLION MONTLY USERS to switch over to the “Kalebook”.
The network effect is simply too powerful.
Does that make sense?
The crazy thing about that graph above is that they all played out the same way.
Apple = The Mobile Network
Google = The Search Network
Facebook = The Social Network
Amazon = The Shopping Network
Back in 2012, they all had similar Market Caps (meaning they all had similar overall company values).
And today, they are unquestionably 4 of the most powerful, influential, and MASSIVE companies on the planet.
Good luck starting the next Apple, Google, Facebook, or Amazon.
It’s nearly impossible, because their NETWORK EFFECTS are almost insurmountable.
So, normal people like me and you have only one choice.
GET AS CLOSE AS POSSIBLE TO THE NETWORK.
As a user of any of those platforms? You are just the PRODUCT.
Shop on Amazon? Use google? Scroll on Facebook? Using an Iphone?
Yep, we all do.
But in order to MAKE MONEY from those networks, you have to get CLOSER to them on the SUPPLY SIDE.
Sell a product on Amazon
Rank your website up higher on Google.
Run Facebook Advertising.
Create an App.
The closer to the source, IE, the more INFLUENTIAL you are on each platform, the richer you will be.
“but Kale, why can’t I just buy stocks of those 4 companies and I’ll get RICH??”
Sorry bud, it’s TOO LATE.
The cat is out of the bag.
Everyone KNOWS these 4 companies have won.
That’s already priced in.
I personally don’t want to bet on these companies becoming 10x larger. Sure, it could happen, but is it as likely as it was back in 2012? Nah.
But what if I told you there was another network that is exactly like FB, AMZ, GOOG, and AAPL, but NOW.
It’s called, (drum roll please) BITCOIN. (I told you the title didn’t give away this article!)
Bitcoin is “only” a 200 Billion Dollar Market Cap right now…
But it shares all of the similarities to those 4 I listed above (plus improves on many of them).
A DOMINANT market position
A network of crazed loyalists who won’t shut up about the “brand”
Technology that is at least 10x better than the thing it replaces
*note* Bitcoin is considered a “digital gold” - it is likely more than 100x better than Gold in a vast number of ways, but that’s another article.
A massive untapped market that can be quickly and frictionlessly on boarded
The list goes on.
I don’t need to laud Bitcoin any more in this article but I’ll leave you with food for thought.
1) How CLOSE are you to the “Sun”? (big network effect companies like AMZ & AAPL). Can you get CLOSER and thus PROFIT?
2) What if there are other assets that have the same properties as the biggest companies in the World, but that aren’t as well known yet? Would you benefit from owning them before everyone else catches on?
Kale
p.s. I just want to give one more MASSIVE THANK YOU to anyone who has read or listened to “The Kale Letter” so far…
True to my word, I’m cutting off all these free letters.
If you are subscribed, you will still get it 5x a week starting Monday.
If not, I’ll send the free one sometime during the week.
Appreciate you, seriously.
You can subscribe below if you are interested!
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