Eric's Newsletter -- December 2021

As 2022 approaches, I took some time to look back at the articles, conversations and ideas I sent around that most interested you over the last year. I've collected some of them here, along with a few things I've read more recently and some recent coverage of my work. A new batch of job listings is also below for those of you looking for a new beginning that involves more than just the calendar turning over.Wishing you all the best for a happy and healthy new year. The future is now. Let's start changing it together.

[The Best of 2021]

Out of the Crisis, Episode #26: Brian Armstrong of Coinbase on cryptocurrency, being mission-oriented, and institution buildingJust before Coinbase's IPO, I had a far-reaching conversation with co-founder and CEO Brian Armstrong as he approached this major milestone for the company he co-founded back in 2012. We talked about a wide variety of topics, including what the decline in public trust of institutions means for companies, how to codify company culture and intentions, remote work, the concept of the ICO--initial coin offering--and his side company, ResearchHub, which he founded to counter his belief that "there's a crisis happening in scientific research, that is just slowing down human progress." We also talked about why he took a very public stance on the role of corporate leadership in social issues, and how it relates to fulfilling Coinbase's mission. You can listen to our discussion on Apple, Google, or wherever you like to get podcasts.

Twilio, Asana to List on Long-Term Stock Exchange as ESG Push Continues

"A Silicon Valley stock exchange that encourages long-term thinking over short-term gains has landed two marquee tech companies to be among its first listings, reflecting the growing popularity of sustainable investing."

Hubert Joly Turned Around Best Buy: Now He's Trying to Fix Capitalism"If you think about business by first thinking about how you want to be remembered as a human being, most of us gravitate to the golden rule — doing something good to our people. If you can connect that desire in your heart with the way you run the business, the employees will love the company. The customers will love the company."A Letter to Our FutureTen years ago, I first put forth the idea of a stock exchange that could help reimagine capitalism as a force that serves not just some of us, but all of us. A group of deeply committed people coalesced around my outlandish idea, and together we built the Long-Term Stock Exchange. I wrote the Letter to Our Future above to commemorate our first two listings, Asana and Twilio, and the bold step forward they represent. It’s a marker and also a pledge. The time to start building a better future is now. Let’s get to work.How Late Zhou China Reverse Engineered A Civilization"Technology is the systematic application of knowledge, achieving goals that would otherwise be impossible....Like material technologies, people can develop social technologies to facilitate the flourishing of society and its people."Balancing Honesty and Optimism in Silicon ValleyThe temptation to "fake it 'til you make it" in business is real. For some, it's overpowering. The pressures to succeed are immense and come from both within and without. It should go without saying--though apparently not since so many people are now having to say it--that it's our solemn duty as entrepreneurs and investors to resist the temptation to make things look better than they actually are for the sake of buying more time and raising more cash.Elite Biases Make Policy Biases"Even in a democracy, the ~90th percentile rich have the most influence, business interest groups have about half as much, and mass interest groups have about a third as much. We less rich folks only get what we want, to the extent we do, mainly because these elites mostly agree with us, and because we sometimes influence mass interest groups."

[Hiring]

Zero Acre Farms is looking for smart, ambitious people who are passionate about making a difference, including a Chief of Staff, an HR Manager, a Finance Director, a Supply Chain Manager, a Head of Growth, and a Partnerships ManagerEffective Government California is looking for a Director of Operations. You can also learn more about the organization at that link.

LTSE has a number of open roles including Head of Marketing and Head of SRE. You can see all of them here.

[Conversations and Coverage]The books that helped me improve my startupHere's how The Lean Startup methodology is still holding up in 2021The 3 most important reasons why startups fail and what can be done about itFidelity, Nasdaq, and AngelList all agree on one thing: Cap tables need some workWhy Failing Fast is Good: Decoding The Lean Startup Theory[Readings and Podcasts]Amazon and the "profitless business model" fallacy"If Amazon has so many businesses that do make a profit, then why is it still showing quarterly losses, and why has even free cash flow decreased in recent years? Because Amazon has boundless ambition. It wants to eat global retail. This is one area where the press and pundits accept Amazon's statements at face value."The Procedure Fetish"Despite the mismatch between the scope of the challenges and the fragility of our institutions, there is little appetite on either the right or the left to rethink public administration and administrative law. Republicans and Democrats instead are locked in the same tired pas de deux that has characterized their approach to state capacity for five decades."ESG Investing Causes No "Significant" Cost to Investors"In a paper titled “The Cost of ESG Investing,” ASU finance professors Laura Lindsey, Seth Pruitt, and Christoph Schiller found that even as interest in ESG mandates grows, ESG strategies have little to no impact on investment returns."ThenDoBetter Podcast: Jason Mitchell on Poetry, Sustainable Investing, Regulation, Carbon Tax, Activism, Stakeholder CapitalismJason Mitchell is Co-Head of Responsible Investment at Man Group. He was a hedge fund manager. He is a poet. He is a deep thinker on all things sustainable and finance. He hosts a brilliant podcast on sustainability, A Sustainable Future.The Great Formation"Employers are reporting sluggish job growth (and an inability to hire in some sectors) and households are reporting a huge surge in newly employed. What is going on? I don’t know but I have a theory. I believe more people are going to work for themselves and/or going into small businesses."Toward a Digital Economy That's Truly Collaborative, Not Exploitative

"Recently, a new generation of decentralized technologies has emerged with the potential to overcome...structural problems and support a more democratic and fair collaborative economy."