To determine the initial velocity of a water balloon launched vertically without a stopwatch, the discussion emphasizes using the conservation of energy and equations of motion. Key equations include VFy^2 = VOy^2 + 2a*Displacement Y, where the final velocity (Vfy) is zero at the peak height. Participants discuss measuring displacement with a ruler or protractor, suggesting using trigonometry to calculate height based on angles and distances. The conversation highlights the importance of understanding the relationship between height and velocity, noting that velocity increases with the square root of height changes. Overall, the thread provides insights into applying physics principles to solve the problem effectively.