Mastercard MA downtrend if < 78 short term, <79-80 medium term
MasterCard MA
Credit Card Processing = $87 BILLION MARKET CAP
I think Bitcoin is challenging the fundamental valuation of these "transaction processors". If we assume that bitcoin is even a small threat to this establishment, then we can also assume that there is a lot of firepower behind wanting to keep this amount of market cap in tact. Nearly $400 BILLION of wealth is tied to the right to process credit card transactions, which barely touches on the value of the information that is gleaned from credit card use and the "social network" of having so much information about all of your people in your network. The credit card processors actively sell their user names for cash, which is a former of advertising. Hence, I think we can use these stocks as a yardstick for valuing Facebook, LinkedIn, Twitter, and others. Which brings me to an important question, the $64,000 question: Which would you rather own??? Social Networks or Cash Flow Networks?
MasterCard Mkt Cap $87 Billion
Visa Mkt Cap $140 Billion
Discover Mkt Cap $27 Billion
Capital One Mkt Cap $42 Billion
American Express Mkt Cap $97 Billion
===================
Total $393 Billion market cap for the right to process transactions and all of the associated services (usury hidden by fees)
Tim 10:36AM Friday, March 14, 2014 (Pi Day 3.14)
Credit Card Processing = $87 BILLION MARKET CAP
I think Bitcoin is challenging the fundamental valuation of these "transaction processors". If we assume that bitcoin is even a small threat to this establishment, then we can also assume that there is a lot of firepower behind wanting to keep this amount of market cap in tact. Nearly $400 BILLION of wealth is tied to the right to process credit card transactions, which barely touches on the value of the information that is gleaned from credit card use and the "social network" of having so much information about all of your people in your network. The credit card processors actively sell their user names for cash, which is a former of advertising. Hence, I think we can use these stocks as a yardstick for valuing Facebook, LinkedIn, Twitter, and others. Which brings me to an important question, the $64,000 question: Which would you rather own??? Social Networks or Cash Flow Networks?
MasterCard Mkt Cap $87 Billion
Visa Mkt Cap $140 Billion
Discover Mkt Cap $27 Billion
Capital One Mkt Cap $42 Billion
American Express Mkt Cap $97 Billion
===================
Total $393 Billion market cap for the right to process transactions and all of the associated services (usury hidden by fees)
Tim 10:36AM Friday, March 14, 2014 (Pi Day 3.14)
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