Origins of Straato
We started Straato with a simple question. Why can’t an asset only increase in value? This question turned into a quest to make that asset a reality for the world to enjoy.
In the last decade, digital assets and cryptocurrencies have demonstrated that financial value is really just a derivation of demand. In other words, an asset’s financial value is simply equal to what someone else is willing to spend to buy it. Let’s look at a few examples. If no one else wants to buy your house, then it will sit on the market forever and never create any liquid financial value through selling it. If no one wants to buy a particular stock in your portfolio, you won’t be able to sell that stock either, rendering it illiquid and financially worthless. Sure, your house has “inherent value” from the fact that you can live in it, and your stock may theoretically have inherent value as a small part of a public company, but this inherent value is fundamentally different from the idea of financial value defined above.
This definition of financial value as purely based on demand is already revolutionizing the global economy and serves as the guiding principle behind Straato. In fact, it demonstrates that there really are no theoretical obstacles to achieving our goal. An asset that only goes up through trading can exist and should exist. Making it a reality was the only challenge left.