Author: azeeadmin

When we think about designing our dream home, we don’t think of having a thousand roommates in the same room with no doors or walls. Yet in today’s workplace where we spend most of our day, the purveyors of corporate office design insist that tearing down walls and bringing more people closer together in the same physical space will help foster better collaboration while dissolving the friction of traditional hierarchy and office politics.

But what happens when there is no office at all?

This is the reality for Jason Fried, Founder and CEO of Basecamp, and Matt Mullenweg, Founder and CEO of Automattic (makers of WordPress), who both run teams that are 100% distributed across six continents and many time zones. Fried and Mullenweg are the founding fathers of a movement that has inspired at least a dozen other companies to follow suit, including Zapier, Github, and Buffer. Both have either written a book, or have had a book written about them on the topic.

For all of the discussions about how to hire, fire, coordinate, motivate, and retain remote teams though, what is strangely missing is a discussion about how office politics changes when there is no office at all. To that end, I wanted to seek out the experience of these companies and ask: does remote work propagate, mitigate, or change the experience of office politics? What tactics are startups using to combat office politics, and are any of them effective?

“Can we take a step back here?”

Office politics is best described by a simple example. There is a project, with its goals, metrics, and timeline, and then there’s who gets to decide how it’s run, who gets to work on it, and who gets credit for it. The process for deciding this is a messy human one. While we all want to believe that these decisions are merit-based, data-driven, and objective, we all know the reality is very different. As a flood of research shows, they come with the baggage of human bias in perceptions, heuristics, and privilege.

Office politics is the internal maneuvering and positioning to shape these biases and perceptions to achieve a goal or influence a decision. When incentives are aligned, these goals point in same direction as the company. When they don’t, dysfunction ensues.

Perhaps this sounds too Darwinian, but it is a natural and inevitable outcome of being part of any organization where humans make the decisions. There is your work, and then there’s the management of your coworker’s and boss’s perception of your work.

There is no section in your employee handbook that will tell you how to navigate office politics. These are the tacit, unofficial rules that aren’t documented. This could include reworking your wardrobe to match your boss’s style (if you don’t believe me, ask how many people at Facebook own a pair of Nike Frees). Or making time to go to weekly happy hour not because you want to, but because it’s what you were told you needed to do to get ahead.

One of my favorite memes about workplace culture is Sarah Cooper’s “10 Tricks to Appear Smart in Meetings,” which includes…

• Encouraging everyone to “take a step back” and ask “what problem are we really trying to solve”
• Nodding continuously while appearing to take notes
• Stepping out to take an “important phone call”
• Jumping out of your seat to draw a Venn diagram on the whiteboard

These cues and signals used in physical workplaces to shape and influence perceptions do not map onto the remote workplace, which gives us a unique opportunity to study how office politics can be different through the lens of the officeless.

Friends without benefits

For employees, the analogy that coworkers are like family is true in one sense — they are the roommates that we never got to choose. Learning to work together is difficult enough, but the physical office layers on the additional challenge of learning to live together. Contrast this with remote workplaces, which Mullenweg of Automattic believes helps alleviate the “cohabitation annoyances” that come with sharing the same space, allowing employees to focus on how to best work with each other, versus how their neighbor “talks too loud on the phone, listens to bad music, or eats smelly food.”

Additionally, remote workplaces free us of the tyranny of the tacit expectations and norms that might not have anything to do with work itself. At an investment bank, everyone knows that analysts come in before the managing director does, and leave after they do. This signals that you’re working hard.

Basecamp’s Fried calls this the “presence prison,” the need to be constantly aware of where your coworkers are and what they are doing at all times, both physically and virtually. And he’s waging a crusade against it, even to the point of removing the green dot on Basecamp’s product. “As a general rule, nobody at Basecamp really knows where anyone else is at any given moment. Are they working? Dunno. Are they taking a break? Dunno. Are they at lunch? Dunno. Are they picking up their kid from school? Dunno. Don’t care.”

There is credible basis for this practice. A study of factory workers by Harvard Business School showed that workers were 10% to 15% more productive when managers weren’t watching. This increase was attributed to giving workers the space and freedom to experiment with different approaches before explaining to managers, versus the control group which tended to follow prescribed instructions under the leery watch of their managers.

Remote workplaces experience a similar phenomenon, but by coincidence. “Working hard” can’t be observed physically so it has to be explained, documented, measured, and shared across the company. Cultural norms are not left to chance, or steered by fear or pressure, which should give individuals the autonomy to focus on the work itself, versus how their work is perceived.

Lastly, while physical workplaces can be the source of meaningful friendships and community, recent research by the Wharton School of Business is just beginning to unravel the complexities behind workplace friendships, which can be fraught with tensions from obligations, reciprocity and allegiances. When conflicts arise, you need to choose between what’s best for the company, and what’s best for your relationship with that person or group. You’re not going to help Bob because your best friend Sally used to date him and he was a dick. Or you’re willing to do anything for Jim because he coaches your kid’s soccer team, and vouched for you to get that promotion.

In remote workplaces, you don’t share the same neighborhood, your kids don’t go to the same school, and you don’t have to worry about which coworkers to invite to dinner parties. Your physical/personal and work communities don’t overlap, which means you (and your company) unintentionally avoid many of the hazards of toxic workplace relationships.

On the other hand, these same relationships can be important to overall employee engagement and well-being. This is evidenced by one of the findings in Buffer’s 2018 State of Remote Work Report, which surveyed over 1900 remote workers around the world. It found that next to collaborating and communicating, loneliness was the biggest struggle for remote workers.

So while you may be able to feel like your own boss and avoid playing office politics in your home office, ultimately being alone may be more challenging than putting on a pair of pants and going to work.

Feature, not a bug?

For organizations, the single biggest difference between remote and physical teams is the greater dependence on writing to establish the permanence and portability of organizational culture, norms and habits. Writing is different than speaking because it forces concision, deliberation, and structure, and this impacts how politics plays out in remote teams.

Writing changes the politics of meetings. Every Friday, Zapier employees send out a bulletin with: (1) things I said I’d do this week and their results, (2) other issues that came up, (3) things I’m doing next week. Everyone spends the first 10 minutes of the meeting in silence reading everyone’s updates.

Remote teams practice this context setting out of necessity, but it also provides positive auxiliary benefits of “hearing” from everyone around the table, and not letting meetings default to the loudest or most senior in the room. This practice can be adopted by companies with physical workplaces as well (in fact, Zapier CEO Wade Foster borrowed this from Amazon), but it takes discipline and leadership to change behavior, particularly when it is much easier for everyone to just show up like they’re used to.

Writing changes the politics of information sharing and transparency. At Basecamp, there are no all-hands or town hall meetings. All updates, decisions, and subsequent discussions are posted publicly to the entire company. For companies, this is pretty bold. It’s like having a Facebook wall with all your friends chiming in on your questionable decisions of the distant past that you can’t erase. But the beauty is that there is now a body of written decisions and discussions that serves as a rich and permanent artifact of institutional knowledge, accessible to anyone in the company. Documenting major decisions in writing depoliticizes access to information.

Remote workplaces are not without their challenges. Even though communication can be asynchronous through writing, leadership is not. Maintaining an apolitical culture (or any culture) requires a real-time feedback loop of not only what is said, but what is done, and how it’s done. Leaders lead by example in how they speak, act, and make decisions. This is much harder in a remote setting.

A designer from WordPress notes the interpersonal challenges of leading a remote team. “I can’t always see my teammates’ faces when I deliver instructions, feedback, or design criticism. I can’t always tell how they feel. It’s difficult to know if someone is having a bad day or a bad week.”

Zapier’s Foster is also well aware of these challenges in interpersonal dynamics. In fact, he has written a 200-page manifesto on how to run remote teams, where he has an entire section devoted to coaching teammates on how to meet each other for the first time. “Because we’re wired to look for threats in any new situation… try to limit phone or video calls to 15 minutes.” Or “listen without interrupting or sharing your own stories.” And to “ask short, open ended questions.” For anyone looking for a grade school refresher on how to make new friends, Wade Foster is the Dale Carnegie of the remote workforce.

To office, or not to office

What we learn from companies like Basecamp, Automattic, and Zapier is that closer proximity is not the antidote for office politics, and certainly not the quick fix for a healthy, productive culture.

Maintaining a healthy culture takes work, with deliberate processes and planning. Remote teams have to work harder to design and maintain these processes because they don’t have the luxury of assuming shared context through a physical workspace.

The result is a wealth of new ideas for a healthier, less political culture — being thoughtful about when to bring people together, and when to give people their time apart (ending the presence prison), or when to speak, and when to read and write (to democratize meetings). It seems that remote teams have largely succeeded in turning a bug into a feature. For any company still considering tearing down those office walls and doors, it’s time to pay attention to the lessons of the officeless.

Unicorn exits are taking flight.

With the IPO window wide open, an apparent record number of venture-backed companies privately valued over $1 billion have launched public offerings this year. Crunchbase data shows 23 unicorn IPOs globally so far in 2018, well outpacing full-year totals for 2016 and 2017.

Collectively, this year’s newly public unicorns are doing pretty well too. Most priced shares around or above expectations. We’re also seeing a lot of impressive aftermarket gains. At least six are currently valued at more than $10 billion.

Meanwhile, unicorn M&A volumes are chugging along as well, with at least 11 deals so far this year. Big transactions like Walmart’s $16 billion acquisition of Flipkart and Microsoft’s $7.5 billion purchase of GitHub have helped boost the totals.

It all adds up to some enormous numbers. We’ll delve into those in more detail below, focusing on year-over-year comparisons, geographic breakdown, biggest exits and more.

How 2018 compares to prior years

First off, a bit of context. A lot of startup-related metrics are on track to hit multi-year or record highs in 2018. These are lofty times for supergiant funding rounds, venture capital fundraising and unicorn investment, to name a few. Given that pattern, it’s not surprising to see a pickup in unicorn exits too, including some really big names like Xiaomi, Spotify and Dropbox.

That said, if one focuses on anticipated exits, as opposed to the ones that already occurred, even this year’s phenomenal IPO streak may seem comparatively humdrum. There’s mounting excitement around the potential for even bigger offerings next year from Uber, Airbnb, Didi Chuxing and others.

If markets don’t implode in the next few months, and at least some of these household names make it to market, it’s likely 2019 will be an even bigger year for unicorn IPOs than 2018. Unfortunately, however, we don’t have hard data on the future, so we’re left comparing this year to the prior two in the chart below:

As you can see, we’re already well ahead of last year’s totals. On the IPO front, not only are the 2018 unicorn offerings more numerous, they’re also bigger. In 2017, out of 16 unicorn IPOs, there were two at initial valuations above $10 billion (Snap and online insurer ZhongAn). So far this year, there have been five.

Geography of unicorn exits

The exiting unicorns are also a geographically diverse bunch, with the U.S. and China accounting for the lion’s share and Europe trailing a distant third.

In the chart below, we look at the geographic breakdown in more detail:

While the U.S. produced the largest number of unicorn exits, they weren’t the biggest. Notably, this year’s most valuable IPOs and M&A deal involved companies based in Europe and Asia.

Of the six 2018 debuts currently valued at $10 billion or more, detailed below, only one, Dropbox, is a U.S. company. In the chart below, we look at who topped the rankings:

Adding it up

The grand tally of 2018 exits provides a clear counterpoint to skeptics (your author included), who questioned whether fast-growing unicorn populations and valuations would hold up with acquirers and public market investors.

It appears prices are keeping up nicely. The vast majority of U.S. unicorn exits this year, for instance, were close to or above private market valuations. Among U.S. IPOs the only big fizzle was Domo. While Dropbox looked like a “down round IPO” at first, strong aftermarket performance has the company above its highest reported private valuation.

The year’s largest unicorn IPO — China’s Xiaomi — also managed to slightly top its last reported private valuation, even after pricing shares for its June IPO far below initial projections.

All these giant exits add up. The unicorns that went public this year currently have a collective market capitalization north of $200 billion. Add in roughly $45 billion from M&A deals, and we’re talking close to a quarter of a trillion (!) dollars in post-exit value.

These big exits come as investors continue to funnel record sums into high-valuation private companies. So far this year, investors have poured more than $200 billion into venture and growth-stage startups, with more than $70 billion going into companies already valued at $1 billion or more.

In sum, we’re seeing big numbers all around — going in as investments and coming out as exits. Eventually, all parties wind down. But for now, this one rages on.

As money and talent flows into the crypto and blockchain worlds, a persistent question keeps coming up: what is going to be the “killer app” that drives adoption for these nascent technologies? The answer may well be quite simple: gaming in Asia.

That’s the theory for Cryptokitties, the notable purveyor of cute cats. The company has started expanding into China, Japan, and Korea as it attempts to capture a large market of gamer and crypto enthusiasts there, and it is building on the playbook pioneered by Uber when it launched in China in 2014.

Back in March, Andreessen and Union Square Ventures led a $12 million Series A round into Cryptokitties. A portion of that money went into Cryptokitties’ ambitions to expand into Asia. In fact, Cryptokitties’ largest user markets have been, and still are, the U.S. and China, followed by Russia.

For those unfamiliar with Cryptokitties, it’s often been alluded to as a digital version of Beanie Babies. Cryptokitties are virtual collectibles in the form of cute cats that can be bought, sold, collected and traded with cryptocurrency, with all the transactions listed on the blockchain. Owners who purchase these kitties can then breed them with other kitties to produce new baby kitties.

The company is part of Axiom Zen, the Vancouver and San Francisco-based design studio that originally built the game. Since its launch in 2017, Cryptokitties has also built a third-party app platform for crypto developers called the Kittyverse, open-sourced their digital asset licensing platform, and started a crypto gaming investment fund. The company currently has about 70 employees and is headquartered in Vancouver.

One of the main purposes why Cryptokitties raised venture capital was for geographical expansion. Having ample capital to not worry about cash flow as the company steps on the gas is certainly quite helpful. But as a business, Cryptokitties was already doing fine. Back in June when I was having a discussion with the company, Cryptokitties was already profitable starting in week three.

The company has successfully differentiated itself from many other crypto decentralized apps (dApps for short) companies out there by proving that they could make money first and have a sustainable user base. Jimmy Song from Blockchain Capital once said, you can make money three ways in crypto, and those are “selling mining machines, starting up Crypto exchanges, and organizing Crypto conferences.” Nonetheless, Cryptokitties was an outlier. With its newly raised money, the team was looking to deploy the capital for hiring, building out it’s Kittyverse, and expanding in Asia.

Asia and China has a Large and Untapped Crypto Gaming Market

Benny Giang, one of the co-founders of Cryptokitties, has been tasked with Cryptokitties Asia expansion since late 2017. Since then, the team has launched Cryptokitties in China, Hong Kong, and Taiwan. During the launch, in order to avoid another one of Ethereum’s network clogs like what happened in late 2017, the iOS app launch was initially limited to 5,000 new players, based on selected WeChat accounts.

Benny believes blockchain games in Asia are a huge untapped market but with increasing competition. Whereas the intersection of gaming and blockchain users is still pretty limited in the Americas, in Asia, that audience is significantly larger. This is primarily due to three reasons: 1) the awareness of cryptocurrency and blockchain is more prevalent in Asia, 2) the regulatory markets are more developed and sophisticated (for better or worse) in China, Korea, and Japan, and 3) there is a proportionally higher number of gamers in Asia than the U.S.

China is the biggest market in this intersection, but there have been challenges. As Cryptokitties launched and grew in the last year, the company saw competition and copycats (pun intended) from China moving quickly into the market. In the beginning of 2018, just as Cryptokitties was launching in China, Xiaomi, the mobile phone maker that recently IPO-ed on the Hong Kong Stock Exchange, launched their own crypto collectible called Cryptobunny. Baidu, the large search engine of China, also recently launched Cryptopuppy.

Go to Market Learnings from Uber in China – Identifying the Right Local Partners and Hires

As Benny and team began doing research on the Asia market, they realized that working in a market that’s twelve hours away is not easy. Taking some of its lessons from Uber’s experience in China, they decided that they needed to localize their go-to-market approach.

One of the reasons Uber ended up exiting the Chinese market was that it did not successfully build a product catered to Chinese citizens. Despite the large sum of money it was pouring into the Chinese market, Uber was still losing market share to Didi. Another suggested reason for the failure was that Uber should have gone to market with a local partner like Didi instead of going head to head with them. The Cryptokitties team knew that they wanted to expand correctly, and subsequently identified a local partner in China to target the market there.

In January 2018, Axiom Zen partnered with Animoca Brands to publish the Cryptokitties game on mobile in China, Hong Kong, and Taiwan. Animoca is a Hong Kong-based, privately-held developer and publisher of games, with a number of games using popular IP such as Garfield, Ultraman, and Doraemon. By working with Animoca, Cryptokitties was able to build out a localized website for its Chinese-speaking audience, provide native-speaker support services, and host numerous giveaway events.

In my discussion with him, Benny provided some insightful advice on go to market strategy in Asia. First, he mentioned that for a blockchain gaming company like themselves, it is best to find two local partners – one in blockchain and one in gaming – to help navigate the landscape. This kind of well-thought-out, go-to-market strategy requires hard work and local community understanding that very few cryptocurrency teams have achieved.

Currently, most Western crypto companies do not apply a traditional tech-oriented go-to-market strategy when trying to expand into other regions. Instead, most of them choose to leverage their “global communities.” They would incentivize these regional token holders to do local marketing and encourage them to find more token supporters and buyers in their region. Nonetheless, that type of marketing approach effectively identifies people who want to make a quick buck, rather than users who can sustain a platform.

Secondly, tasteful and culturally-appealing design is also very important when it comes to dApps. Cryptokitties originally differentiated themselves from other dApps by creating beautiful cats on the blockchain that immediately caught people’s attention. They have also decided to apply a similar local strategy in China.

Momo Wang is the creator of the highly popular Tuzki character, a black and white line drawing of a bunny that’s used widely across various instant messaging platforms, particularly WeChat .

Cryptokitties hired Momo as a brand ambassador and contributor to the Artist Series to design kitties for them. By doing so, they are able to appeal to an audience who may have a different local taste.

Benny adds that it is essential for dApp companies to create beautiful websites and great user experiences that appeal to local communities. However, there are also cons when building beautiful websites for a blockchain company that is decentralized by nature. Smooth user interfaces in the form of a traditional website or an app fall under the jurisdiction of a traditional tech business. Internet companies in China, for example, require approval and licensing from the government to be able to operate and serve its citizens.

China has become the wild west of crypto and blockchain, and there will continue to be unforeseen obstacles. It certainly isn’t easy for Cryptokitties to be the first western dApp company to venture into China, but in the next five years, we’ll see a significant number of Western companies heading east – and these early learnings will be invaluable.

The action you take within the next 48 hours could change your life. That’s how much time you have left to apply to TechCrunch Startup Battlefield, our world-renowned pitch competition, which takes place at Disrupt Berlin 2018 on November 29-30. The application deadline expires on August 20th at 9 p.m. PST. Don’t waste another minute — apply right here, right now.

TechCrunch Startup Battlefield is the stuff of Silicon Valley legend. Some of today’s biggest names in tech launched their early-stage startup in our premier pitch competition. Companies like Vurb, Dropbox, Mint, Yammer, TripIt and more. Since 2007, more than 750 companies have competed (and now form our alumni community), collectively raised $8 billion in funding and generated 102 exits. Not. Too. Shabby.

This is your opportunity to join that august alumni group — can you just imagine the networking possibilities? But hold on, we’re getting ahead of ourselves. Here’s what you need to know about applying and competing.

TechCrunch editors, who clearly have a sharp eye for choosing successful startups, scrutinize every application. They’ll pick the founders of roughly 15 early-stage startups to go head-to-head in the Startup Battlefield competition. This is a highly competitive vetting process, and our acceptance rate typically hovers around three percent.

The founders of each team receive free pitch coaching (from our expert editors), and they’ll be rehearsed and ready to step onto the TechCrunch Main Stage in front of a live crowd numbering in the thousands. Not to make you sweat, but that audience is filled with investors, the very people who can make your dreams come true.

Teams have just six minutes to present a live demo to a distinguished panel of investors and entrepreneurs. Following each pitch, the judges get six minutes to put each team through their paces by asking a series of tough questions.

Next comes round two, and only five teams will make the cut to pitch again — to a fresh set of judges — and endure another round of probing questions.

Remember that live audience? It’s also filled with media outlets looking to write up the next big thing. Plus, we live-stream the entire Startup Battlefield competition to a global audience on TechCrunch.com, YouTube, Facebook and Twitter (and make it available later, on-demand). It’s awesome exposure — for all participating teams — that travels across Europe and around the world. Of course, the winners do get a bit more reward — namely the bragging rights, the Disrupt Cup and the $50,000 grand prize. That’s equity-free cash money, friends.

This is a classic nothing-to-lose and everything-to-gain scenario. Don’t sit this one out. Come and launch your startup to the major influencers in the European and global tech scene.

Startup Battlefield takes place at Disrupt Berlin 2018 on November 29-30, and the application window closes August 20 at 9 p.m. PST. You have just 48 hours left to submit your application — right here.

If you’re a certain age, it’s likely that you’ve never given a second thought to buying a municipal bond or the process of bond buying, even if you’ve intuited, rightly, that’s it’s an intentionally opaque business.

Yet there could be a big opportunity for startups, and for people looking for places to invest, and for cities with crumbling infrastructures, in disrupting the status quo — if only everyone starts playing closer attention.

First, there’s a strong case for buying bonds. Earlier this year, the Trump administration capped at $10,000 the amount that taxpayers can deduct in property tax and local and state income tax. Most people with hefty tax bills are benefiting in other ways from that same new tax bill, but this aspect of it isn’t so great for them, and municipal bonds can help. The reason: interest income paid on muni bonds is exempt from federal tax. (Bonds issued within one’s state can also be free of state tax.)

What about people without hefty tax bills? For one thing, bonds are a very safe investment. They’re not sexy, it’s true ( they typically deliver interest in the single digits), but they also feature low default rates. Whether debts from states, cities, or counties, they’re typically government guaranteed and paid back in full at the end of their term. In fact, muni bond default rates have been as low as below .03 percent over the last decade. What’s also compelling — perhaps even more so — is that bonds can give residents an opportunity to help out the community where they live. For example, Oakland, Ca. voters in 2016 overwhelmingly approved a $600 million bond to fix old city streets and build affordable housing.

You might be wondering at this point where the new opportunity lies and what role tech can play. Let’s start with the moolah, which there happens to be a lot of sloshing around the municipal bond market. Last year, Morningstar Direct reported $34 billion in net inflows to municipal bond funds and exchange-traded funds, and there’s a lot of action happening outside these kinds of products, which package up a bunch of bonds to create a diversified portfolio for investors.

Like any financial services disruptor, the idea here is to offer what the big financial institutions are offering but to do it at less cost.

There’s also room to create many more bonds than are currently available. As the New York Times reported earlier this year, fewer municipal bonds have been hitting the market ever since the financial crisis of 2008. More, the Trump administration’s new tax law revision eliminated something called “advance refunding issues,” which the Times describes as a type of municipal bond financing that accounts for around 15 percent of the market. Where there’s constrained supply, there’s demand.

Right now, there aren’t tons of startups paying attention to public finance, and perhaps just one company laser focused on bringing the muni bond market into the 21st century: Neighborly, which is a six-year-old, Bay Area-based company that’s very progressive, to say the least, for a bond broker. In 2017, its technology enable the city of Cambridge, Ma., to create $2 million of “mini bonds” that allowed residents to earn tax-exempt interest for smaller check sizes than typically possible, and the residents were able to invest that money directly in a variety of projects, without going through a middleman. (Apparently, it was successful; Cambridge staged a second mini bond sale earlier this year.)

Earlier this year, Neighborly convinced the city of Berkeley, Ca., to stage an initial coin offering that it dubbed an “initial community offering.” The idea is to deliver crytocurrency tokens in exchange for investments into cash-strapped projects in Berkeley — tokens that will be backed by municipal bonds. (Bond holders can receive their money back in digital coins or cash.) The project is still in development, but if it works, it could certainly provide a roap map for other cities.

Whether Neighborly winds up being a pioneer in the space- – or else trampled by a newer entrant — remains to be seen, but a recent on-stage sit-down with a longtime political strategist turned investor, Bradley Tusk, opened our eyes to the possibilities. You can check out part of that conversation below.  Note that Tusk is not an investor in Neighborly but has more recently begun advising the company. Our chat has been edited for length.

TC: You think the muni bond market is broken. Why?

BT: We have a system now that, on the one hand works. Governments can issue debt. People will pay for it. You can build projects and people will get paid back. That basically works. But it’s a very opaque, very closed system. And in the way that tech has managed to disrupt other very closed industries and force change and make them more cost efficient and transparent, there’s no reason that can’t happen in public finance as well.

[Earlier in my career], I was at Lehman Brothers . . . and they didn’t know where to put me so they stuck me in public finance. The people who worked there were honest, they weren’t the people who bankrupted the global economy. But they made a lot of money, and effectively, it was just all layered on top of the taxpayers. It’s built into [banks’] underwriting costs. And you just don’t need that any more.

TC: So right now, bonds are mostly made available through brokers who charge too much in your view. But isn’t skipping straight to “initial community offerings” or employing blockchain technologies from now the right way to go? You could see that scaring people.

BT: I think blockchain gets confused with crypto and ultimately, it’s just a better system of piping, a more efficient way of moving data across a ledger from Point A to Point B and done n a way where it’s distributed across lots of different places so that it’s more secure and less hackable. But it’s plumbing; it’s infrastructure at the end of the day. So it will evolve to the point where it will just make a transaction that’s complicated and has lots of different parties and pieces just easier and faster. It’s no different than how the Internet makes it faster to do things we used to do. Email is faster than writing a letter. Text is faster than email.

[To your point], what Neighborly is trying to achieve isn’t solely dependent on blockchain. I don’t think it existed in the form it does now when [Neighborly founder and CEO Jase. Wilson] first came up with this idea. The main notion is you have a public finance system that’s expensive and opaque and not particularly democratic. You meanwhile have a lack of awareness by the people most impacted by the decisions [about where bond money should go], and those are real inefficiencies in the marketplace that Neighborly and other companies are trying to do address. Blockchain should just help them do it more efficiently over time.

TC: Is Neighborly making already available bonds to users of its platform or creating new bond offerings?

BT: Both. It can participate in a process and make bonds available or it can work with a municipality that, say, wants to create community-owned broadband.

TC: What about challenges in persuading governments to work with startups like Neighborly? Aren’t there a lot of special interests and existing relationships to overcome?

BT: Yeah, there’s a huge problem right now, which is that you have all these firms that advise government on issuing debt or participate in the process that, even though a lot of them are prohibited from giving money directly to candidates, they are very, very entrenched. They have relationships with mid-level people at budget offices everywhere.

This is a cartel that has to be taken on, just like Uber has had to take on the taxi industry and Airbnb has taken on hotels. In some ways, it’s an even harder cartel to fight because it’s so opaque. No one really understands how the budgeting process works internally, so it’s a big cartel and it’s a silent cartel, which in some ways is the most powerful of all, so it’s a pretty big fight. I give Neighborly a lot of credit for taking it on.

TC: Is there a precedent here? 

BT: [Not really.] One company does it well, then 15 more pop up. The first one has to do all the heavy lifting and take on all the fights and that’s probably what’s going to happen here, too. When market opens up, and people realize there’s money to be made, you’ll see more come in, but right now, there’s just one company that I’m aware of that’s doing most of the work.

Public finance departments are good at really working over who gets to issue and underwrite the debt, and Neighborly would rather live in a world where they didn’t have to play that game, but to some extent, the real world of politics still exists.

It’s been a while since I defragged — years, probably, because these days for a number of reasons computers don’t really need to. But perhaps it is we who need to defrag. And what better way to defrag your brain after a long week than by watching the strangely satisfying defragmentation process taking place on a simulated DOS machine, complete with fan and HDD noise?

That’s what you can do with this Twitch stream, which has defrag.exe running 24/7 for your enjoyment.

I didn’t realize how much I missed the sights and sounds of this particular process. I’ve always found ASCII visuals soothing, and there was something satisfying about watching all those little blocks get moved around to form a uniform whole. What were they doing down there on the lower right hand side of the hard drive anyway? That’s what I’d like to know.

Afterwards I’d launch a state of the art game like Quake 2 just to convince myself it was loading faster.

There’s also that nice purring noise that a hard drive would make (and which is recreated here). At least, I thought of it as purring. For the drive, it’s probably like being waterboarded. But I did always enjoy having the program running while keeping everything else quiet, perhaps as I was going to bed, so I could listen to its little clicks and whirrs. Sometimes it would hit a particularly snarled sector and really go to town, grinding like crazy. That’s how you knew it was working.

The whole thing is simulated, of course. There isn’t really just an endless pile of hard drives waiting to be defragged on decades-old hardware for our enjoyment (except in my box of old computer things). But the simulation is wonderfully complete, although if you think about it you probably never used DOS on a 16:9 monitor, and probably not at 1080p. It’s okay. We can sacrifice authenticity so we don’t have to windowbox it.

The defragging will never stop at TwitchDefrags, and that’s comforting to me. It means I don’t have to build a 98SE rig and spend forever copying things around so I have a nicely fragmented volume. Honestly they should include this sound on those little white noise machines. For me this is definitely better than whale noises.

According to a report by the American Cancer Society, an estimated 266,120 women will be newly diagnosed with breast cancer in the United States this year and (according to a 2016 estimate) can expect to pay between $60,000 and $134,000 on average for treatment and care. But, after hundreds of thousands of dollars and non-quantifiable emotional stress for them and their families, the American Cancer Society still estimates 40,920 women will lose their battle to the disease this year.

Worldwide, roughly 1.7 million women will be diagnosed with the disease yearly, according to a 2012 estimate by The World Cancer Research Fund International.

While these numbers are stark, they do little to fully capture just how devastating a breast cancer diagnosis is for women and their loved ones. This is a feeling that Higia Technologies‘ co-founder and CEO Julián Ríos Cantú is unfortunately very familiar with.

“My mom is a two-time breast cancer survivor,” Cantú told TechCrunch. “The first time she was diagnosed I was eight years old.”

Cantú says that his mother’s second diagnosis was originally missed through standard screenings because her high breast density obscured the tumors from the X-ray. As a result, she lost both of her breasts, but has since fully recovered.

“At that moment I realized that if that was the case for a woman with private insurance and a prevention mindset, then for most women in developing countries, like Mexico where we’re from, the outcome could’ve not been a mastectomy but death,” said Cantú.

Following his mother’s experience, Cantú resolved to develop a way to improve the value of women’s lives and support them in identifying breast abnormalities and cancers early in order to ensure the highest likelihood of survival.

To do this, at the age of 18 Cantú designed EVA — a bio-sensing bra insert that uses thermal sensing and artificial intelligence to identify abnormal temperatures in the breast that can correlate to tumor growth. Cantú says that EVA is not only an easy tool for self-screening but also fills in gaps in current screening technology.

Today, women have fairly limited options when it comes to breast cancer screening. They can opt for a breast ultrasound (which has lower specificity than other options), or a breast MRI (which has higher associated costs), but the standard option is a yearly or bi-yearly mammogram for women 45 and older. This method requires a visit to a doctor, manual manipulation of the breasts by a technologist and exposure to low-levels of radiation for an X-ray scan of the breast tissue.

While this method is relatively reliable, there are still crucial shortcomings, Higia Technologies’ medical adviser Dr. Richard Kaszynski M.D., PhD told TechCrunch.

“We need to identify a real-world solution to diagnosing breast cancer earlier,” said Dr. Kaszynski. “It’s always a trade-off when we’re talking about mammography because you have the radiation exposure, discomfort and anxiety in regards to exposing yourself to a third-party.”

Dr. Kaszynski continued to say that these yearly or bi-yearly mammograms also leave a gap in care in which interval cancers — cancers that begin to take hold between screenings — have time to grow unhindered.

Additionally, Dr. Kaszynski says mammograms are not highly sensitive when it comes to detecting tumors in dense breast tissue, like that of Cantú’s mom. Dense breast tissue, which is more common in younger women and is present in 40 percent of women globally and 80 percent of Asian women, can mask the presence of tumors in the breast from mammograms.

Through its use of non-invasive, thermal sensors EVA is able to collect thermal data from a variety of breast densities that can enable women of all ages to more easily (and more frequently) perform breast examinations.

Here’s how it works:

To start, the user inserts the thermal sensing cups (which come in three standard sizes ranging from A-D) into a sports bra, open EVA’s associated EVA Health App, follow the instructions and wait for 60 minutes while the cup collects thermal data. From there, EVA will send the data via Bluetooth to the app and an AI will analyze the results to provide the user with an evaluation. If EVA believes the user may have an abnormality that puts them at risk, the app will recommend follow-up steps for further screening with a healthcare professional.

While sacrificing your personal health data to the whims of an AI might seem like a scary (and dangerous, if the device were to be hacked) idea to some, Cantú says Higia Technologies has taken steps to protect its users’ data, including advanced encryption of its server and a HIPAA-compliant privacy infrastructure.

So far, EVA has undergone clinical trials in Mexico, and through these trials has seen 87.9 percent sensibility and 81.7 percent specificity from the device. In Mexico, the company has already sold 5,000 devices and plans to begin shipping the first several hundred by October of this year.

And the momentum for EVA is only increasing. In 2017, Cantú was awarded Mexico’s Presidential Medal for Science and Technology and so far this year Higia Technologies has won first place in the SXSW’s International Pitch Competition, been named one of “30 Most Promising Businesses of 2018” by Forbes Magazine Mexico and this summer received a $120,000 investment from Y Combinator.

Moving forward, the company is looking to enter the U.S. market and has plans to begin clinical trials with Stanford Medicine X in October 2018 that should run for about a year. Following these trials, Dr. Kaszynski says that Higia Technologies will continue the process of seeking FDA approval to sell the inserts first as a medical device, accessible at a doctor’s office, and then as a device that users can have at home.

The final pricing for the device is still being decided, but Cantú says he wants the product to be as affordable and accessible as possible so it can be the first choice for women in developing countries where preventative cancer screening is desperately needed.

Over the last five days, Tesla shareholders have watched the value of their stock decline by roughly 16% and seen nearly $8 billion in value erased, as the company’s celebrity chief executive, Elon Musk, has what amounts to a very public breakdown.

However, Musk is not the only person responsible for the collapse of Tesla’s stock price. As The New York Times article which precipitated the latest slide in Tesla’s value on the public markets makes clear, the company’s board is also to blame.

For months, Musk has been showing signs of strain (generously speaking), and has been accused of making questionable decisions to drive growth and stifle criticism or dissent at the revolutionary electric vehicle company he founded.

During that time, as Shira Ovide notes in her piece from Bloomberg, Tesla’s board (primarily composed of Musk’s friends, relatives, and initial investors) took no public steps to control or manage the situation.

Privately and on background the board (or certain members) expressed concern over Musk’s recent behavior, drug use (both medicinal and recreational) and Twitter habits.

Those concerns should have been aired at the board level and the company’s directors should have exercised their ability to manage the mercurial Musk as his public actions became increasingly unmoored.

Something could have happened after the disastrous earnings call with analysts. It could have happened around the time of the strange active shooter allegations that were made against a Tesla whistleblower. It could have happened after Musk called a diver involved in the rescue of trapped and starving children a “pedo”.

At any of those moments the board could have stepped in and demanded that Musk face the consequences for actions that cost his company billions of dollars. They did not, and now Tesla’s position is more precarious than ever.

The Securities and Exchange Commission is investigating Musk for his public statements around privatization plans for Tesla that may or may not have been real.

It’s another distraction for the company’s chief executive at a time when he is already under tremendous pressure to meet production targets for the company’s troubled Model 3 rollout (even as it begins to hit its targets).

The problem is that Musk’s cult of personality is so intertwined with Tesla’s corporate identity, there’s a fear that as Musk goes so goes Tesla. That’s no way to run a business and it’s no way to ensure long term value for shareholders (either as a public or private company).

Ultimately the board at Tesla needs to step in and take a more active role in overseeing the company, before the next decision they find themselves confronted with is the company’s liquidation.

Most mornings, after sifting through the night’s mail haul and skimming the headlines, I make myself a cup of coffee. I use a simple pour-over cone and paper filters, and (in what is perhaps my most tedious Seattleite affectation), I grind the beans by hand. I like the manual aspect of it all. Which is why this robotic pour-over machine is to me so perverse… and so tempting.

Called the Automatica, this gadget, currently raising funds on Kickstarter but seemingly complete as far as development and testing, is basically a way to do pour-over coffee without holding the kettle yourself.

You fill the kettle and place your mug and cone on the stand in front of it. The water is brought to a boil and the kettle tips automatically. Then the whole mug-and-cone portion spins slowly, distributing the water around the grounds, stopping after 11 ounces has been distributed over the correct duration. You can use whatever cone and mug you want as long as they’re about the right size.

Of course, the whole point of pour-over coffee is that it’s simple: you can do it at home, while on vacation, while hiking, or indeed at a coffee shop with a bare minimum of apparatus. All you need is the coffee beans, the cone, a paper filter — although some cones omit even that — and of course a receptacle for the product. (It’s not the simplest — that’d be Turkish, but that’s coffee for werewolves.)

Why should anyone want to disturb this simplicity? Well, the same reason we have the other 20 methods for making coffee: convenience. And in truth, pour-over is already automated in the form of drip machines. So the obvious next question is, why this dog and pony show of an open-air coffee bot?

Aesthetics! Nothing wrong with that. What goes on in the obscure darkness of a drip machine? No one knows. But this – this you can watch, audit, understand. Even if the machinery is complex, the result is simple: hot water swirls gently through the grounds. And although it’s fundamentally a bit absurd, it is a good-looking machine, with wood and brass accents and a tasteful kettle shape. (I do love a tasteful kettle.)

The creators say the machine is built to last “generations,” a promise which must of course be taken with a grain of salt. Anything with electronics has the potential to short out, to develop a bug, to be troubled by humidity or water leaks. The heating element may fail. The motor might stutter or a hinge catch.

But all that is true of most coffee machines, and unlike those this one appears to be made with care and high quality materials. The cracking and warping you can expect in thin molded plastic won’t happen to this thing, and if you take care of it it should at least last several years.

And it better, for the minimum pledge price that gets you a machine: $450. That’s quite a chunk of change. But like audiophiles, coffee people are kind of suckers for a nice piece of equipment.

There is of course the standard crowdfunding caveat emptor; this isn’t a pre-order but a pledge to back this interesting hardware startup, and if it’s anything like the last five or six campaigns I’ve backed, it’ll arrive late after facing unforeseen difficulties with machining, molds, leaks, and so on.

Most mornings, after sifting through the night’s mail haul and skimming the headlines, I make myself a cup of coffee. I use a simple pour-over cone and paper filters, and (in what is perhaps my most tedious Seattleite affectation), I grind the beans by hand. I like the manual aspect of it all. Which is why this robotic pour-over machine is to me so perverse… and so tempting.

Called the Automatica, this gadget, currently raising funds on Kickstarter but seemingly complete as far as development and testing, is basically a way to do pour-over coffee without holding the kettle yourself.

You fill the kettle and place your mug and cone on the stand in front of it. The water is brought to a boil and the kettle tips automatically. Then the whole mug-and-cone portion spins slowly, distributing the water around the grounds, stopping after 11 ounces has been distributed over the correct duration. You can use whatever cone and mug you want as long as they’re about the right size.

Of course, the whole point of pour-over coffee is that it’s simple: you can do it at home, while on vacation, while hiking, or indeed at a coffee shop with a bare minimum of apparatus. All you need is the coffee beans, the cone, a paper filter — although some cones omit even that — and of course a receptacle for the product. (It’s not the simplest — that’d be Turkish, but that’s coffee for werewolves.)

Why should anyone want to disturb this simplicity? Well, the same reason we have the other 20 methods for making coffee: convenience. And in truth, pour-over is already automated in the form of drip machines. So the obvious next question is, why this dog and pony show of an open-air coffee bot?

Aesthetics! Nothing wrong with that. What goes on in the obscure darkness of a drip machine? No one knows. But this – this you can watch, audit, understand. Even if the machinery is complex, the result is simple: hot water swirls gently through the grounds. And although it’s fundamentally a bit absurd, it is a good-looking machine, with wood and brass accents and a tasteful kettle shape. (I do love a tasteful kettle.)

The creators say the machine is built to last “generations,” a promise which must of course be taken with a grain of salt. Anything with electronics has the potential to short out, to develop a bug, to be troubled by humidity or water leaks. The heating element may fail. The motor might stutter or a hinge catch.

But all that is true of most coffee machines, and unlike those this one appears to be made with care and high quality materials. The cracking and warping you can expect in thin molded plastic won’t happen to this thing, and if you take care of it it should at least last several years.

And it better, for the minimum pledge price that gets you a machine: $450. That’s quite a chunk of change. But like audiophiles, coffee people are kind of suckers for a nice piece of equipment.

There is of course the standard crowdfunding caveat emptor; this isn’t a pre-order but a pledge to back this interesting hardware startup, and if it’s anything like the last five or six campaigns I’ve backed, it’ll arrive late after facing unforeseen difficulties with machining, molds, leaks, and so on.