Why Your Startup’s Approach to Stuck Pennies in Vintage Coin Tubes Predicts Its Valuation: A VC’s Deep Dive

I’ll never forget the first time I saw a founder’s eyes light up discussing their solution to stuck pennies in vintage coin tubes. It wasn’t about coins – it was about revealing their problem-solving DNA. As a VC, these moments matter more than any financial projection.

The Hidden Value of Problem-Solving in Startups

When I’m reviewing seed funding or Series A opportunities, pitch decks tell me what the company wants me to hear. But how they tackle unexpected challenges? That’s where the truth lives.

Take that vintage coin collector’s dilemma – pennies trapped in PVC tubes that shrink over decades. Sounds niche, right? Until you realize the solutions mirror exactly what separates promising startups from the rest.

Why does this matter? Because startups thrive (or die) by solving problems that:

• Defy clear definitions
• Have multiple valid approaches

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• Change mid-solution

Why Problem-Solving Matters

Great tech teams I back share common traits that show up in their answers to problems like the coin tube:

• Technical knowledge: They grasp core principles (like thermal expansion rates) without getting stuck in textbook land.
• Resourcefulness: They’ll use a freezer, hair dryer, or acetone – whatever works best.
• Adaptability: One failed attempt? On to the next approach.
• Risk awareness: They ask “Is this worth solving?” before diving in.

Technical Due Diligence: It’s About Mindset

Technical due diligence goes beyond checking code. I want to see how founders think. The coin tube thread nails this.

1. Material Science and Engineering

One comment stopped me: “CTE of copper is about 17… plastics exceed it, so heating the tube wins.“

That’s the kind of thinking I love. Teams like this:

• Break problems down to first principles
• Find the right data points (like expansion rates)
• Let evidence guide their path

In startups, this means understanding architecture choices, not just feature lists. It’s the difference between building something that works and something that lasts.

2. Iterative Experimentation

The forum explored multiple paths:

• Thermal tricks (both hot and cold)
• Mechanical force (saws, hammers)
• Chemicals (acetone to melt PVC)
• Pressure (air pumping)

Teams that excel in technical due diligence do the same:

• Test hypotheses, not hunches
• Move fast from failure to next attempt
• Drop what doesn’t work without ego


// How top startups problem-solve:
1. Define the real problem (coins stuck? tube damaged?)
2. Brainstorm options (heat, cut, dissolve)
3. Test the fastest/cheapest first (freezer)
4. Learn, then refine or pivot
5. Repeat until solved


3. Resourcefulness and Tool Selection

Early-stage startups have no room for waste. The coin thread shows why:

• “Use a rag, vice, and taped pliers to avoid scratching.“
• “Hacksaw blade along the tube length for clean cuts.“

Founders who shine here:

• Make the most of what they have
• Adapt everyday tools for new uses
• Find low-cost ways to big results

What Their Approach Says About Their Tech

How a team handles the coin problem? It predicts their tech stack and engineering culture. Here’s what catches my eye:

1. The “Right Tool for the Right Job” Mentality

Not all forum solutions were equals:

• Boiling water: Cheap, fast, uses physics
• Acetone: Slower but safer for coins
• Pipe cutter: Precise but needs skill

Strong engineering teams:

• Pick tools based on the problem, not hype
• Know when simple beats complex
• Weigh trade-offs in time, cost, quality

2. Focus on Efficiency and Scalability

Key insight from the thread: “Free up space first, then plastic removal gets easier.“

Smart startups build the same way:

• Start small, prove fast
• Design room to improve later
• Measure effort against impact

3. Understanding the “Why” Behind the Solution

The best replies didn’t just say “do this” – they explained why:

• “PVC shrinks, gripping coins tighter over time.“
• “Plastics expand more than copper when heated.“

Teams with this depth:

• Explain their technical choices
• Don’t just follow trends blindly
• Adapt when new data surfaces

Red Flags in Technical Approach

The coin thread also showed what to worry about:

1. Over-Reliance on Brute Force

“Smash the tube” or “throw it down“? Not a good sign.

Startups with this mindset:

• Blow through cash and time
• Make customer acquisition painfully expensive
• Create frustrating experiences

2. Lack of Risk Assessment

“Drill and pump air pressure” risks damaging the coins.

Teams that skip risk checks:

• Ignore how failure hurts
• Miss edge cases
• Build systems that are hard to maintain

3. Ignoring the Value of the Asset

“Are these coins worth the effort?” is a founder’s most important question.

Teams that lose focus on value:

• Waste time on features nobody needs
• Miss big opportunities
• Undermine their market position

The Coin Tube Test

I’ve started asking founders: “How would you get coins out of a vintage tube?” Their answers tell me everything.

• Do they grasp the physics? (First principles)
• Will they test multiple approaches? (Iteration)
• Can they improvise? (Resourcefulness)
• Do they value efficiency? (Scalability)
• Can they spot risks? (Risk assessment)

Teams that solve the coin puzzle elegantly? They’re the ones building companies worth investing in. Because if they can handle a stuck penny with care, they’ll handle your startup’s biggest challenges – and your capital – the same way.

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