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- In-Depth Alpha #August, 3
In-Depth Alpha #August, 3
Gm chads ☕️ In today's In-depth Alpha:
📰 Latest news:
- Macro Environment Shift: Market participants are selling Bitcoin, dollars, and stocks, and buying short-term US Government bonds due to a shift towards a recessionary macro environment.
- Morgan Stanley BTC ETFs: Morgan Stanley has approved its advisors to offer Bitcoin ETFs to clients, starting with IBIT and FBTC.
- MicroStrategy BTC Purchase: MicroStrategy acquired an additional 169 BTC for $11.4 million and plans to raise $2 billion to purchase more Bitcoin.
- Coinbase Q2 Earnings: Coinbase reported $1.45 billion in Q2 revenue, surpassing estimates, but saw a 27% drop in transaction fees due to lower trading volumes.
- Circle's EURC on Base: Circle launched its Euro stablecoin, EURC, on the Base blockchain, fully compliant with MiCA regulations.
- Genesis Distributions: Genesis has begun distributing $4 billion worth of digital assets and U.S. dollars to creditors as part of its restructuring process.
- Avalanche Real-World Asset Tokenization: Avalanche is digitizing 42 million pink slips for the California DMV and securing a 5-year ticketing deal with TiX for 26 million tickets.
- Paladin Protocol on Solana: Paladin Protocol aims to eliminate predatory MEV and enhance the Solana user experience.
- Pastel Network and Lukso Partnership: Pastel Network and Lukso announced a strategic partnership to revolutionize the interaction between creators and collectors with digital assets.
- Jupiter Token Burn Proposal: Jupiter Exchange proposed a 30% token burn to reduce the total supply from 10 billion to 7 billion, including a voluntary cut from the team's allocation.
- Crypto Market Volatility: Major cryptocurrencies, including Bitcoin and Ethereum, experienced significant price fluctuations due to macroeconomic volatility and employment data.
- BNP Paribas Digital Bond: BNP Paribas issued the first Eurozone sovereign digital bond for Slovenia using Banque de France’s tokenized cash solution.
- Revolut UK Banking License: Crypto-friendly fintech Revolut is set to receive a UK banking license, positioning it as a fully-fledged bank.
- Lido introduces institutional-grade liquidity staking for ETH, enabling flexible staking and rewards. - Hong Kong users can now purchase digital currencies directly with spot trading pairs like ETH.
- Spot ether ETFs witness varied flows, with inflows potentially driving ETH prices to $6,000 as new funds reach $1.5 billion in AUM within a week.
- ARK invests $21M in 3iQ Ether staking ETF and divests $14.6M from Coinbase.
- AEVO initiated token buybacks, purchasing 1M $AEVO at an average price of $0.446 to enhance long-term value for token holders.
- Polymarket hit over $1B in betting volume, driven by the U.S. presidential election, highlighting the growing interest in crypto betting markets.
🎙️ TL;DR of Podcasts:
- Market Shift from BTC to ETH ETFs: There has been a noticeable shift in investment flows from BTC-ETFs to ETH-ETFs, as investors seek diversified exposure. This trend is evident from the net outflows in BTC-ETFs and corresponding inflows into ETH-ETFs. - Investor Strategies: Investors are employing various strategies with BTC-ETFs, including market cap-weighted exposure to both BTC and ETH. This diversification approach aims to balance risk and potential returns. Source: The Daily Gwei (@thedailygwei)
- Historical Inflows and Outflows: BTC-ETFs have historically seen significant inflows, accumulating $16 billion since their launch. However, recent market conditions have led to outflows, indicating a shift in investor sentiment. - Market Sentiment and Volatility: BTC-ETFs are subject to market sentiment and volatility, with periods of high inflows during bullish phases and outflows during bearish phases. This reflects the broader market dynamics of Bitcoin. Source: ROLLUP: Record ETF Flows, Up or Down? (@BanklessHQ)
- Impact of Political Events: Political events, such as Trump's speech at the Bitcoin conference, have influenced Bitcoin's price and ETF flows. The speech caused a temporary spike in Bitcoin's price to $70,000, followed by a 10% sell-off. Source: Leviathan News (@leviathan_news)
- Strategic Bitcoin Reserve Proposals: Proposals for a U.S. strategic Bitcoin reserve by political figures like RFK Jr. and Senator Cynthia Lummis have sparked discussions about the government's role in Bitcoin investment, potentially impacting ETF flows. Source: Unchained (@Unchained_pod)
- Institutional Adoption: The launch of BTC-ETFs has facilitated institutional adoption, with significant investments from entities like Charles Schwab accounts. This has provided a more stable and regulated investment vehicle for Bitcoin. Source: Talking Tokens (@_TalkingTokens)
🚀 Early-Projects:
1. Pod Finance (@PodFinance) - A fully permissionless protocol for maximizing your assets value.
2. Semantic Layer (@SemanticLayer)
3. Dexcelerate (@Dexcelerate_) - State of the art on-chain trading.
4. Snaip (@snaipbot) - Trade effortlessly across four chains.
5. Gemnify (@gemnify_xyz) - Innovative decentralized perpetual exchange designed for leverage trading on stablecoins with up to 1000x leverage.
6. MIRAI (@BuildOnMirai) - AI-Driven Symbiotic World Builder.
💰️ Fundraise:
1. Pichi Finance (@PichiFinance) - $2.5M from DWF Labs, Signum Capital
2. MetaDAO (@MetaDAOProject) - $2.2M from Paradigm
3. DuelNow (@getduelnow) - $11M from Global Emerging Markets
4. Morpho (@MorphoLabs) - $50M from a16z, Pantera Capital, Variant Fund
5. JokeRace (@jokerace_io) - $3M from 1kx, Maven 11 Capital
❤️ Follow me on Twitter to catch more alpha threads, research, and updates!