Chris Burniske - How to Value a Cryptoasset - [Invest Like the Best, EP.62] | Invest Like the Best with Patrick O'Shaughnessy

In this episode of Invest Like the Best, Patrick O'Shaughnessy interviews Chris Burniske about crypto asset valuation. Chris shares his framework for valuing cryptoassets, emphasizing the equation of exchange (MV=PQ) to assess the utility value of cryptoassets, and differentiating between cryptocurrencies, cryptocommodities, and cryptotokens. The conversation covers the importance of factors like velocity, adoption curves, and the quality of the underlying community and developers. They also discuss the potential for emerging valuation methods, such as the NVT ratio, and the existential risks facing decentralized networks.

Outlines

Part 1: Introduction and Crypto Asset Valuation

Part 2: Equation of Exchange and Token Valuation

Part 3: Metrics, Variables, and Decentralization

Part 4: Price Floor and Future Research

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Chris Burniske - How to Value a Cryptoasset - [Invest Like the Best, EP.62]

Invest Like the Best with Patrick O'Shaughnessy

Part 1: Introduction and Crypto Asset Valuation

Introduction to Life's Work, RAMP, and Podcast Disclaimer

Introduction to Hash Power Series and Crypto Asset Valuation

Part 2: Equation of Exchange and Token Valuation

The Equation of Exchange (MV=PQ) and its Application to Cryptoassets

Determining Token Float and Utility Value

Applying the Equation to Bitcoin and Defining Cryptoasset Categories

Defining Cryptocurrencies, Cryptocommodities, and Cryptotokens

Part 3: Metrics, Variables, and Decentralization

Speculative Value vs. Utility Value and the NVT Ratio

On-Chain Transactions, Community Quality, and Long-Term Investment Variables

Centralization vs. Decentralization and Steam as an Example

Steam's Marketplace and Aragon as a Decentralized Delaware

Part 4: Price Floor and Future Research

Utility Value as a Price Floor, Velocity, and Future Research

Chris Burniske - How to Value a Cryptoasset - [Invest Like the Best, EP.62]

Invest Like the Best with Patrick O'Shaughnessy

Part 1: Introduction and Crypto Asset Valuation

00:00Introduction to Life's Work, RAMP, and Podcast Disclaimer

Introduction to Life's Work, RAMP, and Podcast Disclaimer

03:22Introduction to Hash Power Series and Crypto Asset Valuation

Introduction to Hash Power Series and Crypto Asset Valuation

Part 2: Equation of Exchange and Token Valuation

07:41The Equation of Exchange (MV=PQ) and its Application to Cryptoassets

The Equation of Exchange (MV=PQ) and its Application to Cryptoassets

13:20Determining Token Float and Utility Value

Determining Token Float and Utility Value

19:47Applying the Equation to Bitcoin and Defining Cryptoasset Categories

Applying the Equation to Bitcoin and Defining Cryptoasset Categories

24:29Defining Cryptocurrencies, Cryptocommodities, and Cryptotokens

Defining Cryptocurrencies, Cryptocommodities, and Cryptotokens

Part 3: Metrics, Variables, and Decentralization

30:40Speculative Value vs. Utility Value and the NVT Ratio

Speculative Value vs. Utility Value and the NVT Ratio

36:15On-Chain Transactions, Community Quality, and Long-Term Investment Variables

On-Chain Transactions, Community Quality, and Long-Term Investment Variables

41:44Centralization vs. Decentralization and Steam as an Example

Centralization vs. Decentralization and Steam as an Example

47:29Steam's Marketplace and Aragon as a Decentralized Delaware

Steam's Marketplace and Aragon as a Decentralized Delaware

Part 4: Price Floor and Future Research

53:51Utility Value as a Price Floor, Velocity, and Future Research

Utility Value as a Price Floor, Velocity, and Future Research