Kinder-gized! BuzzFeed’s On a $50 Million Buzz and Gov’t: Beware the Bitcoin

Feeling energetic…

Image courtesy of puttsk/FreeDigitalPhotos.net

Image courtesy of puttsk/FreeDigitalPhotos.net

Chairman and CEO, Richard Kinder of Kinder Morgan Inc (KMI), the brains behind Master Limited Partnerships or MLP’s (you should really google that one but hint: it gives major corporations tax-free status), decided to consolidate all four of his energy companies to the tune of $71 billion. Who is he, you might be wondering? Well as of today he helms the fourth largest energy company in the US with about 80,000 miles of oil and gas pipelines. He had (has?) four companies now under one roof. Lots of very important fiscal matters precipitated this decision which will be saved for another blog post (perhaps on somebody else’s blog). Shares of the stock went up 11% on the news. What all this means for you? Not much unless, of course you are an investor in the company, in which case your dividend is going up about 16% next year. As for KMI, well, it gives the company a nice solid boost which will likely help capture some of that $1.5 trillion in purchases and projects from the impending shale and drilling boom. Interestingly, Richard Kinder was once considered a front-runner for a job at Enron, which eventually went to Kenneth Lay. Instead of dwelling on the job he didn’t get,  Kinder took Enron cast-offs and built a multi-billion dollar energy empire. Ken Lay, on the other hand, screwed people out of millions and drove the company into the ground. Kinder, by the way, takes a yearly salary of $1 and no bonus. But don’t feel so bad. His annual  income is worth billions.

Getting Buzzed…

Image courtesy of cooldesign/FreeDigitalPhotos.net

Image courtesy of cooldesign/FreeDigitalPhotos.net

Maybe you were taking a quiz on BuzzFeed today or scrolling through one of its highly entertaining lists. Whatever it was, you helped contribute to the reason why venture capital firm Andreesen Horowitz put up $50 million putting for BuzzFeed, making its latest valuation at $850 million. Investors are sure BuzzFeed is about to go head to head with the more hard core news outfits given the public’s propensity to get so much of their content off of BuzzFeed. And it’s no wonder since the company very resourcefully uses technology to come up with ideas for content that people will want to read. Pure genius, if you ask me. But it’s advertisers – big major advertisers – who are loving it too and investors love when advertisers love something. Also, BuzzFeed’s got that new BuzzFeed Motion Pictures coming up and generating plenty of investor tongue wagging. It’s rumored that the company took in $120 million in revenue last year and reportedly gets 150 million users per month. The new funds are slated to be used to expand into Tokyo, Mumbai, Berlin…

The wild wild west…

Image courtesy of Victor Habbick/FreeDigitalPhotos.net

Image courtesy of Victor Habbick/FreeDigitalPhotos.net

Government regulators had no love for Bitcoin today as the Federal watchdog agency, Consumer Financial Protection Bureau, issued an advisory over the controversial cyber-currency. Because Bitcoin and its fellow digital currencies are not insured or backed by any government, consumers who opt to use them are “stepping into the Wild West.” Yeehaw. The agency warns that consumers are at risk to unstable exchange rates, hacking, scams and theft. But others argue that credit cards and the internet faced the same issues and criticisms in their early days. Sounds fair. In any case consumers can now vent their complaints about the virtual currency at www.consumerfinace.gov.

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