Five years ago, I wrote about how - after ten years as a self-employed independent creator - I hoped to "make it." I now realize, I never will. Five years ago, I sat at my keyboard to have a serious conversation with myself. It had been ten years since I had woken up to a day with nothing scheduled, and wondered how I was going to fill it with something that both made life worth living, and also paid the bills. In this conversation, I asked myself, How did you end up here? Have you made a big mistake? I had spent a good chunk of my retirement savings, left Silicon Valley in the midst of a boom, and now found myself barely getting by in South America. About a thousand words in, I stopped and cracked into tears, not only because I was scared out of my mind, but because still – despite not seeing a clear path to making this work - I couldn't see myself giving up. I concluded: Take it from me, a ten-year veteran self-employed creator: If you are looking for security or reassurance, I d...
I recently advertised my book on a billboard in Times Square. It was cheaper than you think, and was up for less time than you might expect. But it’s still paying dividends. Times Square is a big deal (duh) Times Square is the epitome of mainstream success. The biggest brands have locations there, and any big brand you can name advertises there. 350,000 people walk through Times Square on a typical day. It’s also one of the most-photographed places on Earth, with many of those photos and videos being shared on television shows such as Good Morning America, and on TikTok or Instagram. A lowly self-published book advertised next to the biggest brands When my friend, Robbie Abed, told me you can advertise in Times Square for cheap, I knew I had to run an ad for Mind Management, Not Time Management. A book about a new approach to time management, in a city obsessed with time management, in a place with “time” right in the name? It was a match made in heaven! The very thought of my lowly self-published book advertised on the front of Forever 21, above a Sunglass Hut, across from the Disney store, next to McDonald’s, in Times Square made me laugh the maniacal laughter of an evil villain plotting to take over the world –in some Disney movie, of course. Will a billboard sell books? Before I explain how I advertised in Times Square for cheap, I’m sure some of you are thinking, “Will advertising on a billboard sell books?” You’re right to think that since people are walking or driving through Times Square, even if they noticed my billboard in this place that is nearly all billboards, they’re not going to stop what they’re doing, take out their phones, and order my book on Amazon. The making of a pseudo-event But that’s not the point. By advertising my book in Times Square, I was creating a “pseudo-event”. I talked about pseudo-events in my summary of Daniel J. Boorstin’s The Imageon episode 257. A pseudo-event is a reality constructed just so it can be covered in media. By being covered in media, the constructed reality becomes reality. Pseudo-events can be funny, or horrifying. They can be based upon truth, or lies. But our media is full of them. Most “leaks” you see, every talk-show interview, and every planned event are pseudo-events. Instagram is one pseudo-event after another. Reality is constructed for media, and media constructs our reality. My book really was advertised in Times Square. My lowly self-published book really is a “big deal.” How much does a Times Square ad cost? People want to know, how much does it cost to advertise your book in Times Square? Some people guess five-thousand dollars. Some guess twenty-. I advertised my book on a Times Square billboard with Blip Billboards. Blip is a platform that lets you buy short displays of an ad on electronic billboards across the U.S. Each “blip” lasts fifteen seconds. I paid about nine cents per blip in tests I ran in Chicago, and had a blip run in Times Square for as little as twenty dollars. “As little as” twenty dollars? I’ll get into my exact costs in a bit. But first, was my pseudo-event worth it? Here are some of my wins from this fifteen-second ad so far. Win #1: A retweet from Tim Ferriss My first big win from my Times Square billboard was a retweet from Tim Ferriss. Tim Ferriss asks his podcast guests what message they would advertise to the world. I’ve always thought if I were asked that question, my answer would be the title of my book, Mind Management, Not Time Management. So, I made sure one of my billboards was as plain as possible. It just said, “Mind Management, Not Time Management.” Then, I shared a video of the billboard on Twitter, making sure to tag Tim (whom I’ve never met nor talked to). It was a long shot, but it worked. Tim retweeted it. Tim has 1.8 million followers. I did see a decent spike in sales. Hard to know if this...
In fifteen years as a self-employed creator, I’ve learned how to finish what matters. I follow a nine-step process that makes an easy-to-remember acronym, that also describes what this process does: E.R.A.S.E. F.E.A.R. Fear is Resistance Fear is at the root of most struggles to finish creative projects. Even when you think you’re merely getting interested in another project, that’s often fear masquerading as curiosity. Steven Pressfield calls it Resistance. It can cause the dreaded shiny object syndrome. But if you can break down most of the sources of fear, you can clear the way for decisive action. You can erase fear. The E.R.A.S.E. F.E.A.R process First, what does “erase fear” stand for? Envision the outcome Rehearse the process Ask questions Search for answers Enjoy the process Face the obstacles End perfectionism Assess the outcome Record the process A little more about each of those. 1. Envision the outcome. If you have a clear picture of the outcome you want, you can rev...
When Facebook was first expanding, they used a timeless military strategy to win their most-crucial first users. You can use this strategy to attack your toughest projects, by leveraging hidden complexity to lend devastating power to simple actions. Facebook faced tough competitors When Facebook was starting, in the mid-aughts, it was only available at colleges. It wasn’t easy to win new users on campuses that had their own social networks. Who wants to join the network nobody is on? That’s not where you find the big parties. That’s not how you spy on your crush. There was no point in promoting to students who already had better alternatives. Facebook would waste their limited resources, driving themselves out of business. There were plenty of competitors they needed to outlast. An established network at a college was a barrier to winning over any user at that college – a “defense,” if you will. Facebook needed to break through those barriers. The surround strategy: Attack from the flanks So they used what they called a “surround strategy”. Instead of directly trying to get users on a given campus, they got them indirectly. The strategy that decimated the Roman army 1800 years ago Facebook’s surround strategy was borrowed from the “pincer” military strategy. When you’re up against an opponent with strong defenses, it’s often not the best use of your resources to attack them head-on. It’s better to focus on the flanks. Hannibal used a pincer strategy in one of the greatest military upsets in history, at the Battle of Cannae, in 216 B.C., sending the Roman empire into a panic. As the Romans attacked from a concentrated center, the center of Hannibal’s forces fell back, creating a “crescent” shape that helped them attack the flanks. Eventually, Hannibal had the Romans surrounded. The Romans lost so many men that day, they had to lower the draft age to replenish their forces, and they reverted to using human sacrifices to try to please the gods. How Facebook won key users indirectly Facebook used this pincer strategy to indirectly win users at Baylor University, in Texas, which already had its own social network. Instead of promoting Facebook to users at Baylor, they focused on campuses near Baylor There weren’t already competing social networks at UT Arlington, a one and a half-hour drive to the north; Southwestern University, a one-hour drive to the southwest; and Texas A&M, a one and a half-hour drive to the southeast. To get the dirt on their exes, they needed to be on Facebook While Facebook wasn’t wasting resources trying to get Baylor students to switch social networks, those students started to hear about Facebook, anyway. The students in these surrounding colleges were former high-school classmates of the Baylor students. They were driving to one another’s campuses to bong beers and eat jello shots. They were hearing rumors their high-school sweethearts were getting naked with half the campus. They were laughing maniacally upon hearing the former bully was found passed out, naked with an armadillo. To get the dirt, to creep on one another’s profiles, or, sometimes to just stay in touch, they too needed Facebook accounts. So, without any promotion at Baylor, Facebook started winning users at Baylor. The birthday problem reveals the hidden complexity that make the surround strategy work This surround strategy works better than people expect it to. To understand why, think about the birthday problem, which I talked about on episode 237. How many people have to be in a room for a fifty-percent chance two of them have the same birthday? Most people guess 180 or 150, but the real answer: only twenty-three. The odds of shared birthdays climb rapidly as you add the first few dozen people to the room. Network effects between each person’s potential birthdates quickly add potential matches. Adding one person ...
Industrial Society and Its Future, is otherwise known as “The Unabomber Manifesto,” written by Ted Kaczynski. Kaczynsnki is a terrorist who killed three people, and injured twenty-three others, by sending bombs through the mail, between 1978 and 1995. He used his terror campaign to exploit the negativity bias of media and pressure the Washington Post and New York Times into publishing his 35,000-word anti-technology manifesto. Obviously, what Kaczynski did was horrible, but his manifesto is a thought-provoking, albeit extreme, perspective on technology. And so here is my summary of Industrial Society and Its Future. Leftism creeps towards totalitarianism The manifesto begins with a seemingly out-of-place rant about leftism creeping toward totalitarianism: According to Kaczynski, leftists have low self-esteem, are defeatist, and hate themselves. They hate success, and feel the groups they try to protect are inferior. They are overburdened by guilt over their natural drives, and so want to turn into issues of morality things that don’t have anything to do with morality, such as policing the use of words to which they themselves have applied negative connotations. Anti-left is not far-right When people hear anti-leftism, they tend to assume the person with those views is far-right. But it’s worth noting that’s not Kaczynski’s view. A quote, for example: [Leftists] want to preserve African American culture. But in what does this preservation of African American culture consist? It can hardly consist in anything more than eating black-style food, listening to black-style music, wearing black-style clothing and going to a black- style church or mosque. In other words, it can express itself only in superficial matters. In all ESSENTIAL respects most leftists of the oversocialized type want to make the black man conform to white, middle-class ideals. In sum, Kaczynski is anti-left, because ultimately leftists still work to preserve the industrial system. This appears to come out of “left-field,” but the meat of the manifesto is more coherent, and later we’ll better understand why he brought up his views on leftism. Industrial society robs us of the “Power Process” As industrial society progresses, Kaczynski says, people lose more and more freedom. This makes them miserable, because it robs them of what he calls the “power process.” The power process consists of four main elements: A goal Effort put forth toward that goal The attainment of that goal Autonomy in pursuit of that goal To be happy, a person needs goals that require effort, a reasonable rate of success in achieving those goals, and personal control throughout that process. We replace the power process with “surrogate activities” You might think we, in industrial society, have many goals we pursue and attain through effort, but Kaczynski says we merely pursue what he calls “surrogate activities.” Surrogate activities are artificial goals, because they aren’t for the purposes of meeting our basic biological needs, and so aren’t totally fulfilling. He says we merely think surrogate activities, such as our jobs, are fulfilling, because we have to do very little in industrial society to meet our basic biological needs –such as eating, or having shelter. So, we’ve never felt true fulfillment. All we do is either easy or impossible He says there are three kinds of drives we experience in the pursuit of goals: 1) minimal effort, 2) serious effort and 3) impossible. The power process, he says, is more about group two, or serious effort. Our surrogate activities require minimal effort. But at the same time, many other things are impossible in industrial society, because we don’t have control over them. For example, our security depends upon decisions made by others, such as safety standards at a nuclear power plant, how much pesticide is in our foods, and how m...
There are some invisible structures in language, and using them can be the difference between your message being forgotten or living through the ages. These are The Elements of Eloquence, which is the title of Mark Forsyth’s book. I first picked this up a couple years ago, and have read it several times since then. I think it’s one of the best writing books, and has dramatically improved my writing. Here is my summary of The Elements of Eloquence: Secrets of the Perfect Turn of Phrase. How powerful could this stuff be? Can hidden patterns in language really be the difference between being remembered and forgotten? The technical term for the study of these patterns is “rhetoric,” and yes, it can make a big difference. Misremembered phrases While it’s hard to find data on what has been forgotten –see 99.9% of everything ever said or written – there are examples of things that have been misremembered. You’ve heard the expression, “blood, sweat, and tears.” That comes from a Winston Churchill speech. He actually said he had “nothing to offer but blood, toil, tears, and sweat.” Remember when, in The Wizard of Oz, the Wicked Witch of the West said, “Fly, my pretties, fly!”? Well, it never happened. She actually merely exclaimed “Fly!” four times in a row. The line remembered as “Hell hath no fury like a woman scorned”, was actually "Heav'n has no rage, like love to hatred turned, Nor hell a fury, like a woman scorned." I’ll get into some theories about why these phrases were misremembered in a bit. Non-sensical expressions You can also see evidence of the power of rhetoric in expressions that have spread through culture. Sometimes they don’t make literal sense, but have appealing patterns. It “takes two to tango,” but why not “it takes two to waltz”? People go “whole hog,” but why not “whole pig”? Why “cool as a cucumber”? Why “dead as a doornail”? Alliteration You may have noticed these phrases all have alliteration, which is the simplest of rhetorical forms. You’re probably already familiar with it. All you have to do to use alliteration is start a couple words in a phrase with the same letter. I’ve noticed some evidence of the power of alliteration looking at expressions across English and Spanish. For example, if you directly translated “the tables have turned,” which is said often, nobody would know what you were talking about. But they would understand if you directly translated “the things have changed,” which nobody says. In Spanish, that’s “las cosas han cambiado.” See? Alliteration. Tricolon So, why was Winston Churchill’s quote misremembered as “blood, sweat, and tears.” Forsyth thinks it was probably because the tricolon is more appealing than the tetracolon. A tricolon is when three things are listed, a tetracolon, four. Famous tricolons include, “Eat, drink, and be merry,” and “It’s a bird! It’s a plane! It’s superman.” Barack Obama’s short victory speech in 2008 had twenty-one tricolons. Forsyth points out that tricolons seem to be more memorable if the first two things are short and closely-related, and the final thing is longer and a little more abstract. Like, “Life, liberty, and the pursuit of happiness.” Isocolon Tricolon is three things, tetracolon is four, so is isocolon just one? In a way. An isocolon is not one thing, but one structure, repeated two times. For example, “Roses are red. Violets are blue.” Epizeuxis When you do repeat one thing, that’s called epizeuxis. So, when the Wicked Witch of the West said, “Fly! Fly! Fly! Fly!,” that was epizeuxis, but it didn’t turn out to be memorable. Diacope People think the Wicked Witch of the West said “Fly, my pretties, fly!” That structure is called a diacope, which is essentially a verbal sandwich. It’s one word or phrase, then another word or phrase, then that same word or phrase once again. So “Bu...
In Trust Me, I’m Lying, Ryan Holiday reveals the media manipulation tactics he used as Marketing Director of American Apparel, and for his PR clients. Meanwhile, he exposes the inner workings of a modern media machine in which incentives make it impossible for the version of reality depicted in the media to come close to resembling the truth. I think it’s Holiday’s best book, and one of the best media studies books. So, here, in my own words, is my Trust Me, I’m Lying summary. Yes, this book is about lying Before Ryan Holiday became known as an author of modern stoicism books, he dropped out of college at nineteen to apprentice under 48 Laws of Power author, Robert Green. He later was the marketing director for American Apparel, and now has a PR agency, Brass Check, where he advises corporate clients and authors. As the title of the book suggests, the tactics Holiday confesses to might make your skin crawl. They involve deliberate provocation, bribery, impersonation, and – since it’s called Trust Me, I’m Lying –making stuff up. But everyone should read it This may turn people off to the book, but if you’re an author, marketer, entrepreneur, musician, filmmaker, or comedian, you’re in the business of trying to get your message into the world. So, ignore this book at your own peril. The people with whom you compete for attention are using these tactics. Understanding these tactics is a good way to understand the mechanics of media. You can use this knowledge to get your message out in less nefarious ways (more on that later). And, if you’re someone who thinks it’s your duty to read the news, to “stay informed,” you owe it to yourself to read this book. But be prepared to have that belief challenged, and your conception of reality altered. Media is a “racket” Holiday describes the modern media system as a “racket,” the word which Major General Smedley D. Butler once used to describe war. He defined it as something “where only a small group of insiders know what’s really going on and they operate for the benefit of a few and at the expense of basically everyone else.” Journalists are poor, busy, and desperate for a story The main insider in the modern media system is the journalist, more generally, a “blogger,” who might be someone writing articles for a small blog, or even a major media outlet such as the Huffington Post. Holiday uses “blogger” and “journalist,” interchangeably, and I will, too. Journalists are poor To help you understand the motivations of many of these journalists, Holiday points out this: They might have gone to an expensive grad school, and now live in a big, expensive city, such as NYC, San Francisco, or Washington D.C. They’ve been close enough to taste a $200,000-a-year journalism job. But now they’re churning out articles at a breakneck pace, without even getting health insurance. Meanwhile, the people they cover are rich and successful, and may include talentless reality TV stars. New York magazine called the result “the rage of the creative underclass.” Journalists are busy These bloggers have to write a face-melting amount of content. When journalist Bekah Grant left VentureBeat, she wrote a post saying she averaged five posts a day –more than 1,700 articles in twenty months. Henry Blodget, founder of Business Insider, said his bloggers need to generate three times their salary, benefits, and overhead costs to be worth hiring. So, an employee making sixty-thousand dollars a year needs to produce 1.8 million page views a month, every month. (1.8 million page views is a lot. At my current traffic, it takes me about a decade to generate that much on my blog, and I make more than sixty-thousand dollars a year.) Journalists are desperate for a story Most sites that journalists write for make their money from ads, and the way to make money from ads is to generate page views. ...
In 2018, Matthew Walker was on a media blitz, promoting his book, Why We Sleep. I was one of the many people who picked up the book. It slowly ruined my sleep. But recently, I fixed it. No, this is not a takedown Before I go further, this is not a “takedown” of Why We Sleep, like the one that’s been floating around. I’ve read that takedown, and I didn’t find it convincing. I trust that Why We Sleep is mostly full of accurate information. I say “mostly,” because I understand Walker has been on a mission to elevate the importance of sleep. Sometimes you have to say something like “the shorter you sleep the shorter your life span,” for a sleep-deprived public to get the point, when, technically, research shows people who sleep longer than the recommended 7–9 hours live shorter lives. It’s called rhetoric. When FDR said “we have nothing to fear but fear itself,” thankfully there weren’t blogs to write pedantic takedowns of his logic. My complaints about Why We Sleep don’t involve ill intentions. I’m sure Walker wants people to get more sleep. But I don’t think the book has the effect he expected. Why Why We Sleep will scare the sleep out of you In Why We Sleep, Matthew Walker, PhD says if you don’t sleep enough, you are at risk of the following: Obesity Cancer Dementia Alzheimer’s Heart disease Depression Anxiety Diabetes Car crashes Lower income Low sperm count Deformed sperm Female infertility Not being able to jump as high Longer workout recovery Vulnerability to colds and flus (today, that also means COVID) Low testosterone Smaller testicles So, yeah, Walker makes not getting enough sleep sound extremely scary. If that’s not enough to keep you awake at night, Walker also points out there’s also a rare sleep disorder that develops in mid-life, where a person cannot sleep, and eventually dies. Again, I get that society is full of a lot of ignorant or toxic beliefs about sleep, such as “I’ll sleep when I’m dead”. I may be in the minority in that I had the luxury of being able to take Walker’s recommendation of 7–9 hours sleep to an extreme that actually harmed my ability to get enough sleep. I was doing everything right After reading Why We Sleep, I, like many people, decided I was going to take sleep more seriously. But, as a creative with an interest in the neuroscience of creativity, I had already been taking sleep pretty seriously. I already slept with earplugs and a mask. I already avoided screens before bedtime, and had for years worn blue-light-blocking goggles before bed. I already didn’t read or watch TV in bed, and didn’t allow electronics in my bedroom. I already didn’t consume caffeine and rarely drank alcohol. I already lived a low-stress lifestyle with plenty of exercise and friends. I didn’t and don’t have kids that wake me up in the middle of the night. I already had a bedtime, and a nighttime routine, like I talked about on episode 259. I tried to do it right-er I was doing everything right. Where I went wrong was trying to follow Walker’s recommendation of 7–9 hours of sleep per night. The way I went about that: Stay in bed until I got eight hours of sleep. At first, it wasn’t a big deal. I would occasionally wake up much earlier than I had intended. But I brought to mind a graph from the book, which showed that sleep cycles come in ninety-minute increments. Now, this wasn’t a recommendation from Dr. Walker, and was my big mistake: I figured that since sleep cycles came in ninety-minute increments, if I happened to wake up too early, all I had to do was stay in bed until I could fall asleep again –which could take as long as ninety minutes. Yes, I understand I’m incredibly privileged to have the luxury of being able to stay in bed an extra ninety minutes just to fall asleep again. But, as an author, my ability to be productive is more a matter of mind management than it is ...
One thing I hear from a lot from readers of The Heart to Start, is that many people have no problem starting new projects. They instead struggle with finishing them. I can relate. Like many creative people, I once struggled to finish projects. I always had new ideas, I left books half-read, projects half-finished. I had done lots of creative work, and had little to show for it. Now I still always have new ideas, and I still leave books half-read and projects half-finished. But now, I have lots of finished projects to show for all the work I’ve done. What’s changed? I’ve learned to finish what matters, and forget the rest. Embrace your inner Perceiver A turning point in my own creative journey came when I learned to embrace my inner Perceiver. As much flak as the Myers-Briggs Personality Type Indicator gets for being pseudoscience, it’s still a useful lens for understanding your own tendencies. The concepts of Introversion and Extroversion have wide scientific support, but also useful I think are the concepts of “Perceiving” and “Judging.” If you watch in awe as one friend after another executes on ideas and achieves success, while you flounder, working on one idea after another, but never truly following through, your friends are probably “Js”, and you might be a “P.” This is the position I was in, until a friend at a party explained this dichotomy to me. Why was this other friend of ours so great at follow-through, while we both struggled to find our paths? This friend was a J. We were Ps. Another way of thinking about being a Perceiver is you’re someone who sees Possibilities. You can’t move forward with one idea, because you keep having other, better ideas. Meanwhile, your “Judging” friends find an idea, make the judgement to stick with it, and see it through. Shiny objects aren’t shameful Perceiving Possibilities is a necessary part of being creative. For DNA to be discovered, the researchers had to entertain the Possibility that they should pursue something other than the original intent of their grant application –which was to study cancer treatments. For Alexander Fleming to discover antibiotics, he had to see Possibilities in experimental petri dishes that were contaminated. If you want a treasure trove of Perceivers, look no further than nearly every person Walter Isaacson has written a biography on. For Leonardo Da Vinci to paint the Mona Lisa, he applied his knowledge of optics to his sfumato technique, which allowed him to model the painting with no hard lines. He applied his knowledge of anatomy to crafting the Mona Lisa’s mysterious smirk. He had dissected humans and animals, studying exactly which muscles were recruited to express various emotions. In episode 272, I talked about how Steve Jobs and the engineers and executives at Apple had to consider the Possibility that while a trackwheel served as a useful interface for an iPod, it might not be such for the iPhone. Isaacson himself has said, “People who love all fields of knowledge are the ones who can best spot the patterns across nature.” So if you’re someone who beats themself up over Shiny Object Syndrome, consider the Possibility that it’s a necessary component of creative thinking. Creative success happens in Extremistan On the rare occasion that someone with shiny object syndrome does finish a project, it might not be successful, and that can make matters worse. Why bother following through with anything, you might think, when you aren’t assured of success? But, creative work calls for a different approach to success. As I talked about in episode 253, creative work happens in Extremistan. Nobody knows anything It’s impossible to predict which creative projects will be successful. If record companies knew hits, that’s all they’d release. If movie studios knew blockbusters, that’s all they’d produce. If publishers knew bestse...
What will the future look like? In his most recent November appearance on the Tim Ferriss Show, entrepreneur and investor Balaji Srinivasan presents a cohesive explanation of the current world, and plausible scenarios of how things will play out. I found Balaji’s theories so mesmerizing, I listened to the four-and-a-half-hour podcast several times, then read and took notes on the transcript. Listening to this episode was like reading a book, so –like I do with my book summaries –I wanted to improve my own understanding of the content. So, here is a podcast summarizing a podcast, in my own words. Needless to say, the podcast is worth listening to, and since this is just a summary, you should absolutely listen to it –over on The Tim Ferris Show – to get the full context. The decline of the nation state One of the main forces at play in world events, according to Balaji, is the decline of nation states. He presents this idea in reference to a prescient twenty-five year-old book called The Sovereign Individual, which he cites in this podcast appearance and others. Since the nation state is declining, it is becoming increasingly difficult for countries to control their citizens. When it’s hard to control citizens, it’s hard to collect tax revenue to fund institutions. This loss of control is accelerating with the rise of remote work, catalyzed by the coronavirus pandemic. As more people have been able to work from anywhere, they’ve become increasingly aware of how local laws and taxes affect their lives. The power of “exit” The control of a nation state over its people is limited to the extent that people have the right to what Balaji summarizes as “exit.” If you’re unable to leave a place, either because the government is oppressive, or because you’re tied down because, say, you have land to tend and a flock of sheep, the government has more leeway in what policies they can enforce. Citizens as “customers” If people can exit their jurisdictions – whether that’s a country, a state, or a city –then citizens stop being “subjects” that jurisdictions can extract resources from, and start being “customers,” that jurisdictions want to appeal to. We’ve of course seen this for a long time, as cities have given tax breaks or other perks to compete over companies shopping for jurisdictions in which to place their corporate headquarters. But citizens are starting to look more like customers as smaller players have exited en masse. For example, lots of people and companies have been leaving California for Texas, in search of less state control. Balaji points out that not everyone has to exit to influence policies, but the fact that some do is tremendous leverage on any system. Crypto entrepreneurs call New York’s bluff An example Balaji cites of this struggle happened when New York state introduced the BitLicense –a series of regulations required for companies to do certain kinds of cryptocurrency transactions. Balaji characterizes New York’s posture in introducing these regulations as “We’re New York. What are you going to do? We’re the center of the world.” At least ten crypto companies then left New York, including Kraken, Bitfinex, and Poloniex. In some cases they had to pack up and move. In other cases they just stopped servicing New York customers. New York apparently overestimated their leverage, and companies left for other jurisdictions, who were more accommodating to their “customers.” Declining returns on state violence Something Balaji doesn’t talk about much but that is a major theme in The Sovereign Individual – and is relevant to the decline of state control – is declining returns on violence, at least at the state level. You can think of a nation state as a collection of people who contribute taxes in exchange for protection. Serfs used to pay, to their feudal lords, the returns of farming o...