Monthly Archives: October 2019

10/21/19

CEO Shoptalk — Trust, A Deliverable Commodity

One of those days in the ATX when you know things are going to be alright — not a cloud in the sky, Pantone blue [Pantone PMS Process Blue C/#0085ca].

So, a CEO is talking to me about trust in a global sense. We define it thusly: Trust is the reliance upon the integrity, strength, surety of a person or a thing thereby engendering confidence.

Seems to fit the bill. From a business perspective, it is one of those things that you want, but how do you manage it?

So, he says, “To get this conversation started tell me some things or people you trust.” To which I reply thusly.

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10/20/19

Entrepreneurship In Words

Entrepreneurship.

The other day, I’m having a cup of coffee — no latte, just coffee — with a man whose opinion I respect. It is a mutual respect, one built over a long period of time. Some of that time spent in close consultation, some of that time passing with few words exchanged.

We get to talking about what it means to be an entrepreneur — between us we have more than 70 years of experience, but we both struggle to put meat on the bones of that subject.

Here is what we say to each other.

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10/17/19

Republican Mark Sanford Is Running For President

I have never liked Mark Sanford — when he was Governor of South Carolina or when he was a Congressman.

You may remember him as the chap who found his soul mate in a woman from Argentina while he was inconveniently encumbered with a wife and a number of young children.

Really bad timing.

Miss Argentina dumped him. He had invited her to hike the Appalachian Trail — I may have garbled that story.

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10/17/19

The US Securities and Exchange Commission Never Sleeps — Crypto

The crypto industry had called for clarity from the US Securities and Exchange Commission for years.

Let’s be clear. What the crypto industry wants is for the US SEC to roll over and play dead and stop with its pesky rules, interpretations, and “hopelessly outdated Howey Test” nonsense.

It is reported that the men in Hell asked for ice water this morning. The Devil is considering it, but initial reactions are not encouraging.

What has happened is that the US SEC has begun to take firm stands and firm stands mean enforcement actions.

Two that come to mind are the Kik/Kin issue that has blown through its MUI (matter under investigation) notification, a notice of a formal investigation(an important first step because it authorizes the use of subpoenas), a Wells Notice, a Wells submission (formal reply by the company), and a formal complaint — an enforcement action.

Kik subsequently put itself to death and is solely focused on Kin intending to fight it out to the death.

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10/15/19

China — The Pinnacle Of Subtlety

President-for-Life Xi Jinping issued a clear warning about the state of affairs in Hong Kong while being the first Chinese President to visit India in more than two decades.

The fact that he made these comments while on such a monumental foreign visit adds emphasis to their content.

In a statement at a press availability that incorporates all the subtlety of professional wrestling, Pres Xi said that any attempts to divide China will end in “crushed bodies and shattered bones.”

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10/15/19

Smile Direct Club — No Smiling Allowed

Comes now the curious story of Smile Direct Club — the worst Initial Public Offering of 2019.

IPO prices at $23 and rests comfortably this morning at a bit above $9. Ouch. We are talking a huge loss of value, down 60%.

Here are the Smile Direct Club founders, Jordan Katzman and Alex Fenkel. Does it strike you as odd that neither of these co-founders are smiling? Seems a little creepy as if they are doing it on purpose.

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10/15/19

Crypto — We’re From The IRS And We’re Here To Help

Just when you thought the government of the United States of America had forgotten about you, the Internal Revenue Service sends you a love letter telling you how the cow shall consume the cabbage as it relates to taxes on the use of cryptocurrency.

They had previously opined on the subject last back in 2014 with IRS Notice 2014-21. Five long years and, finally, our pals from the IRS are back with an additional dose of wisdom.

I know what you’re saying, “Wow, this is really going to be great. Oh boy!”

[Pro tip: Hold onto that enthusiasm and, maybe, redeploy it at some future date.]

The guidance (on the specific issue of forks and airdrops) has come in the form of Revenue Ruling 2019-24 which you can find right here.

IRS Revenue Ruling 2019-24 (rr-19-2)

The real assistance is in the form of a series of Frequently Asked Questions on Virtual Currency Transactions.  You can find that gem of wisdom right here.

Frequently Asked Questions

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