Hacker News new | ask | show | jobs
by merb 3776 days ago
Why it will crash is because there are certain startups valued at too high value for producing exactly nothing.

It won't be to apocalyptic, but it will hopefully bring the gold rush in the internet erä down. I'm not sure if it will be in 2016, however I'm really sure that once in a while the markets (not just the us) needs to cleanup from everything overvalued. Also even when that happens, it will happen again, once in a while it must happen cause we (the humans) are just too dumb to learn from our mistakes.

the bad part of this, is actually that mostly renewable energy will also suffer from big market drops since investores will be scared a bit from 'new' technologies after a bigger hit into the market.

However what I'm telling is nothing special, it happens as there a people who handle everything based on their greed.

3 comments

Hopefully one day dumb humans learn from their mistake of blaming "greed" and various other nebulous exogenous factors instead of focusing on robustness of institutions.
The market for startups will have little impact on the broader market health.
A lot of the startups that are ridiculously overvalued don't really seem to produce tangible items ("lets monetise our bullshit social media app!"). At least renewable resource startups seem like they'd be a more solid investment than serving up ads in creative ways.