Derivatives for Banking Better7 Aug 2021
When I was doing the research for my last blog post, I was reading the website for Pacific Coast Banker's Bank and saw that one of the products they offered under "Loan Hedging" was called a back-to-back swap for converting fixed-rate loans to floating-rate. I had no idea what that was and I couldn't see what problem it solved, but I thought it sounded cool at least.
Reading Sterling's 10-Q18 Jul 2021
Today I decided to read Sterling Bank's most recent 10-Q, to get a better understanding of how a savings and loan bank works. This blog goes through it at a high-level with commentary and graphs.
The Death of Cars18 Apr 2021
Something that's a lot of fun for me is finding convincing visions of the future that are also dystopian. The best example of this I've found recently occurred to me while I was listening to a Tesla earnings call, where Elon Musk justified Tesla's market cap with recurring revenue from the future robo-taxi industry. Musk's theory of the future, and it's dystopian ending, goes like this:
The Opportunity for Crypto26 Mar 2021
I used to work on the Crypto Team at my company, and while I was there I got introduced to a lot of different crypto projects and asked to evaluate if they were something it made sense for us to support. The answer was usually no.
Twitter's @bluesky Project1 Feb 2021
More than a year ago, Jack Dorsey that he would be funding a project called @bluesky, which would work with the crypto community to create a decentralized standard for social media. He gives a lot of motivation for the project, particularly focusing on the lack of consumer choice in content moderation and amplification. Fundamentally, the core insight of the project is that social media companies are currently a vertical integration of two different services:
Architecture of TPB and WikiLeaks19 Jan 2021
For obvious reasons, I recently got interested in how to build websites that are widely accessible but also resistant to censorship. Naturally, my first instinct was to run off and come up with my own blue-sky designs of the most resilient, censorship-resistant website in the world. But censorship is not new and I realized it would be smart to learn from the past: in particular, The Pirate Bay and WikiLeaks, which both continue to operate even under immense pressure to shutdown.
ISAs vs Income-Based Repayments10 Jan 2021
In my last post, I discussed Income Share Agreements (ISAs), including their many downsides and how they’re prone to being more expensive than traditional loans. In this post, I wanted to discuss something that I think is a much safer solution to the same problem: Income-Based Repayments (IBR) for a loan.
Income Share Agreements10 Jan 2021
Income Share Agreements, or ISAs, are contracts where a borrower receives something of value, and in exchange they give the lender a percentage of their income every year for a fixed number of years. A lot of people have been proposing them as an alternative to traditional student loans.
MLS with Hidden Members17 Dec 2020
Recently I was asked about the possibility of using MLS in groups with “hidden members”. That is, groups where the creator is known to all participants but the participants don’t know each other. This is the use-case of broadcast TV, private Twitter accounts, Instagram stories. The answer is no, MLS doesn’t work here.
The main issue is that MLS isn’t secure against malicious insiders, and therefore isn't suitable for most broadcast use-cases. A lesser issue is that MLS is designed for homogeneous groups, and would be wasteful to use in a scenario where one member has special authority.
Financial Independence Psychology13 Dec 2020
The conclusion of my previous post was that whether to rent or buy in my area likely comes down more to individual factors rather than financial ones. But what was interesting to me while doing that analysis, is that I realized I honestly had no interest in buying a condo that’s roughly equivalent to my current apartment.