Bitcoin Forum

Economy => Securities => Topic started by: bingjiw on August 11, 2013, 12:51:49 PM



Title: more IPOs > stock price lower, buy IPOs later more cost-effective
Post by: bingjiw on August 11, 2013, 12:51:49 PM
Will there be more and more IPOs come out in the following months?
What will stop more IPOs come out?  

Exchanges are happy with more IPOs come out, because that means more issuing/exchange fees.

New issuers are happy to collect more BTCs(money) through IPOs to make their business plan succeed.

Investors/speculators are happy to make quick money through new IPOs.

If all these 3 parties above welcome new IPOs, then there will be more IPOs. **Conclusion 1**

If more IPOs come out, then more BTCs will be sucked out of the current market. That means more old stocks(like AsicMiner) will be sold, to buy new IPOs.  So old stock's prices will get lower and lower. **Conclusion 2**

Until too many IPOs get out, and some IPO failed, or can't collect enouth BTCs as planed.
Then new IPO issuers will try to make their new IPO more attractive with more detailed information/photos, and give the shareholder more proportion of their new company shares, more proportion of future profit.

So that means: the later you buy IPOs, the more cost-effective you will get. **Conclusion 3**

Is this logic correct or not?  Any idea/corrections are welcome.

Thanks
Bingji


Title: Re: more IPOs > stock price lower, buy IPOs later more cost-effective
Post by: LordMeowMeow on August 11, 2013, 07:15:56 PM
The more IPOs there is the more cautious investors will be (as shown with IceDrill) and that means the new IPOs better come prepared with a professional well-thought plan. The days of half-assed IPOs are over.


Title: Re: more IPOs > stock price lower, buy IPOs later more cost-effective
Post by: xchrisxsays on August 11, 2013, 07:19:41 PM
The more IPOs there is the more cautious investors will be (as shown with IceDrill) and that means the new IPOs better come prepared with a professional well-thought plan. The days of half-assed IPOs are over.

This.

You better be prepared to identify yourself and have a thorough business plan. Investors are getting smarter and are understanding which questions need to be asked before they will even consider investing in an IPO. Only the strongest of the strong will survive and get fully invested and succeed. Thanks free market!


Title: Re: more IPOs > stock price lower, buy IPOs later more cost-effective
Post by: nameface on August 12, 2013, 12:32:12 AM
Another thing that doesn't seemed to be considered here is the flow of new capital into the markets. If Bitcoin is becoming more and more successful in general, then there will be a lot of new money in these capital markets. It's not a zero sum game, it's expanding. IOW everybody can win today AND win tomorrow.


Title: Re: more IPOs > stock price lower, buy IPOs later more cost-effective
Post by: Bitcycle on August 12, 2013, 02:15:07 AM
Considering the size of the global btc pool, very little of it is tied up in the current investment exchanges.  There's huge opportunity for growth in terms of new money coming into the exchanges.

At the same time, daytrading btc is barely even possible any more, much less profitable. Those traders are looking for a place to make money,

Let another Asicminer sized win come along and you'll see a lot more btc flow into the markets.

In other words, it's not a zero-sum game.