[sc:cm]

Worth a read

of note

(I suppose someone will be doing the equivalent for Amazon/Newegg soon)

Paypal would be another one

 Table 2: Bitcoin Ecosystem – Comparable Company EBITDA Margins

Table 2 summarizes the EBITDA margins for the same basket of sectors discussed earlier.
Sources: Data as of January 10, 2014. CoinDesk, Wedbush Securities

 

Table 2 summarizes the EBITDA margins for the same basket of companies. Here we can quickly see part of story behind why Visa and Mastercard have such large market capitalizations. The two payment processors have the highest EBITDA margins in the basket at 66% and 58%, respectively. Such high margins make for an attractive target for would be disrupters.

While it is tempting to focus on the largest companies which Bitcoin has the opportunity to disrupt, smaller operators should also fear Bitcoin.

The largest of the money transfer and ATM outsourcing companies, Western Union, has a $9bn market cap, which is not far from Twitter’s market cap at its IPO pricing. Part of the reason for Western Union’s high market cap is that the firm can earn upwards of 10% per transaction on international remittances, leading to a plump EBITDA margins of 25%.

The overall size of the sectors which Bitcoin has the potential to disrupt combined with relatively fat profit margins explain a significant reason behind why investors and Wall Street see big things in store for Bitcoin.

http://www.coindesk.com/could-bitcoin-surpass-google-market-cap/

[sc:prepost]