Journalist Jatin BTC Wires, Madhra interviewed Tim Draper, the famous American venture capitalist and cryptoanalyst.
A graduate of Stanford and Harvard’s Tim Draper founder of Draper Associates, Draper Venture Network, Global VC. He also created a school for entrepreneurs, Draper University of Heroes in California.
Draper received wide acclaim in July 2014 when I bought a significant amount Silk Road bitcoin auction the U.S. marshals.
Among his awards — Entrepreneur for the World from the world of enterprise Fund, Midas List from Forbes, and “Top 100 financiers” from Worth. We offer to your attention a shortened version of an interview by Justin, Madhra took Mr. Draper.
Jatin, Madhra: do You believe in the blockchain, and so are we. Please shed some light on how, in your opinion, the blockchain technology will change the world.
Tim Draper: If you are working with various big data, whether it is bitcoin or smart contracts in combination with artificial intelligence, this means that your order was suddenly platform, capable of transforming the world’s largest industry. It is the largest and most exciting thing I have ever seen in the business of venture capital. We have witnessed how the Internet changed the information, communication, and even your job as a journalist. We saw the transformation of such major industries as healthcare, Finance, management. Venture capital has changed: as you saw in the third quarter of last year, startups have attracted more funding through ICO than venture capitalists.
In trade suddenly appeared in an open decentralized global currency, and I can now use bitcoin in any country. I have a friend in Argentina, and he said that his family wealth was destroyed three times, and all because of currency manipulation. He’s only 30 years old, and he built a great bitcoin company in Argentina.
Bitcoin is also transformerait health. Imagine that you have all your medical records — wherever you are, have lunch, etc. the Combination of these data more valuable for you compared to what will come up and tell the doctor once again. You will be much more personalized medical care coming from the cloud.
All countries will compete to include bitcoin and blackany in your system. Thus, the digital currency will face a political. No politician can make you own digital currencies. But the impact of Fiat money on you is heavily dependent on political leadership. So we live in very exciting times: dictatorship, feudalism and tribalism a thing of the past.
Jatin, Madhra: In 2013 you launched Draper University. Tell us about there adopted a modular system, about how she helps students to learn entrepreneurship. What advice would you give young people?
Tim Draper: We launched Draper University because the people said, practical entrepreneurship cannot be taught. Whenever someone says that something is impossible, I start to think: “how would I do it?” You have to be persistent and flexible to deal with all what dealing with entrepreneurs. You must know how to sell and how to operate the Finance; you need to know all those fundamental things. I created a five-week summer and four fall courses. Summer five weeks we call “Training of heroes” where all work as a team. The current system of education creates followers; you must learn to try and fail. We now have 1000 students and they have already created 350 companies in 76 countries. I try to remember their names, because we walk out together workout for the survival of the sea lions.
Jatin, Madhra: It’s really impressive. How would you comment on investing in the future of the blockchain, cryptocurrency and startups?
Tim Draper: I don’t consider it an investment, rather it is the new way of working. Worldwide, this contributes to liquidity creation. This new currency is free and open, unlike Fiat currencies, which are closed and determined by the policy.
I believe that ultimately, the value of the cryptocurrency will increase because they will be widely distributed. They will make the global economy more open and create a free and fair government. Unless countries open their borders to bitcoin, in the next 20-40 years, the growth of these economies will slow down.
Look at Japan. When she power saw that cryptocurrency in China have become outlawed, they have made bitcoin a national currency and to attract entrepreneurs who left China in search of better opportunities. Socio-economic dynamics of the countries are very interesting and we will see a new world.
Jatin, Madhra: Once you mentioned the negative stance of China on the cryptocurrency and favorable policy of Japan, what do you think about India, where the government can not decide? What would you advise the citizens and the government of India?
Tim Draper: In India for a long time the government was corrupt, and I think now is a leader who wants to bring order. Confidence in rupee not. The people of India need foreign currency, which he could trust, and he needs to feel this freedom and honesty. I think that India should follow Japan’s example. She should make bitcoin the national currency to function alongside the chart.
India can become one of the strongest economies in the world. If people are allowed to experiment with big data, bitcoin, blockchains and artificial intelligence, it is unlikely that you will see a flight of entrepreneurs out of the country. Tax revenue will be enough to improve the infrastructure and make the country even better.
Jatin, Madhra: Very well said. Do you think any method of raising funds for entrepreneurs preferred — ICO or VC?
Tim Draper: It depends on what the specific owner wants to do. If he has his own company, he will most likely need to turn to venture capital; but if he creates tokens, then that’s a different business. So I think entrepreneurs need to choose between tokens and private enterprise. I think that both ways of raising funds is good; when you’re trying to do something, you just need to take and collect money — it can be venture capital, and funds from the sale of tokens. The money is needed in order to go forward, making sure that you abide by the laws of the country you’re in.
Jatin, Madhra: I turn to the last question. What advice would you give to people who just want to get started with cryptocurrency? Many people still have no idea how to start.
Tim Draper: I’ll tell you what it is just don’t know what’s stopping them. I think that they should have faith in the cryptocurrency. They have to trade cryptocurrencies like dealing with real and not some “funny” money. Actually they are for their “funny” money to buy something that potentially could become the currency of the future and real money. I quickly figured out how to make a purse and put means you think the others will cope.