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Information is capital.
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Information is capital.

The DAO Joan Index 🌈
Jun 12
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Share this post
Information is capital.
pizzaparty.substack.com

Information is capital. In the new era of the owned-web, your information is the most valuable thing you have, and for technology companies, it becomes a commodity that can be bought and sold.

The most significant shift from previous decades to now is in the ownership of personal data, personal choice, and autonomy in the online space. Where previous iterations of our digital sphere emphasized the abdication of data and privacy control in favor of tech conglomerates who now hold unprecedented power over the global population, the owned-web is set to empower individuals to make their own decisions about their information.

This is being made possible by new technologies that facilitate trustless transactions, verification, and growing awareness amongst users that their data has real value.

Users understand now what information they're sharing and with whom. They know that not all information is created equal. Some data is more sensitive than others, and some data is more valuable to companies than others.

The new paradigm presents an opportunity for companies to build trust and respect for users rather than on a platform of exploitation. But it also means that companies must adapt to a world where their traditional business models are no longer viable.

Where users are making largely more informed decisions about the information they share - as we've seen since Apple began implementing easier decision-making processes around data sharing from apps such as Facebook - we're seeing an existential threat to companies whose business depends on a deep understanding of their users' psychographic profiling.

Data troves will be built through a trustless relationship between an entity and an extensive database of users, where the entity takes on the responsibility of providing and trading on data access in exchange for financial return, and the users providing the data will become the new LPs.

This is the future of venture capital. Welcome to the era of data investing.

Venture capital in the age of providential information is a new beast, one that will be made possible by the technologies facilitating the shift to the owned-web. A venture capital firm that has access to a real-time flow of user information and data as a form of capital can invest that data in companies that are built on a foundation of trust, with the potential to meaningfully improve people's lives.

In today's digital age, data is more valuable than ever before. And as we move into an increasingly connected world, that value will only continue to increase. So it makes sense that venture capitalists would start looking at data as a form of capital. After all, data is the lifeblood of any company.

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