How the Internet Changes Everything About How to Raise Capital

Applied to capital markets, the introduction of the internet initially changed the relationships between the supply of capital, the demand for capital and the professional intermediaries who make deals happen. In evolutionary terms, the introduction of the internet in capital markets is like the introduction of language among homo sapiens. Once introduced, language in the human species continues to alter social evolution among humans, just like the internet continues to alter the exchange relationships that occur in capital markets. This article offers a snap-shot picture in time of where the private capital markets are, and explores likely future scenarios, based on how the current environment is adjusting to the introduction of the internet. The future scenarios are based upon the idea that the private capital markets will never return to the prior stasis, or status quo, because those prior conditions have been rendered obsolete and extinct by the internet.