Roulette

MRR and Monte Carlo

tl;dr: The Monthly Recurring Revenue (MRR) model is a marketing model that examines a customer as a stream of recurring revenue instead of a single transaction. Its use has been popularized by Software as a Service (SaaS) firms and their ‘freemium’ models that encourage users to subscribe to extra features. I set out to formalize a predictive framework for this model (and hopefully teach myself a couple new languages along the way) in order to create a single “living” business plan using the Monte Carlo method and a fictional business: “Ties as a Service”.

Continue reading

Standard
BitcoinHeader

Bitcoins and Fractals

tl;dr: Bitcoin is the first crypto-currency to receive mainstream attention, and it’s reception may decide the success or failure of this new form of financial interaction. I’ve been fascinated by Bitcoin for months, and have made reasonable profits trading with it, but I sought a means to develop a viable trading strategy. However, due to the novelty of the asset, most of the models I have access to at my level simply cannot  cope with it, so I had to search for something a little more rigorous, and I think I may have found my first step in Financial Multifractal Analysis. Continue reading

Standard
BrainHeader

My First Neural Network [Part 1]

tl;dr: I have finally managed to build and train a very simple neural network, but before jumping right in and showing you everything I’ve discovered at once, I’ve decided to split it up, and start with a little background first. In this post, I will outline what a neural network actually is and why I want to build one, and in my next post I’ll show you what I’ve actually made.

Continue reading

Standard
Horsehoe Crabs

Horseshoe Crabs

tl;dr: Horseshoe Crab blood is now worth $15,000 a quart, due to it’s ability to coagulate very quickly when it encounters low doses of dangerous bacteria (like E. Coli); one of many genetic adaptations that have allowed them to spend the last 450 million years more or less unchanged. Therefore, is there a meaningful correlation between evolutionary success and medical usefulness?

Continue reading

Standard
Wordpress Header

Narratives and Numbers

tl;dr: As machine learning and big data become more popular, we are beginning to spend less of our time analyzing data, and more of our time preparing our data so it can be analyzed by our computers. Therefore, what is the main difference between to the way a machine treats a number, and the way a human treats a number? In a word, Context.

Continue reading

Standard