🗓💊 What Does 1000 ETH Get You These Days? A Virtual Key
Normie Friendly Robinhood Next SEC Target & Yuga Labs Joins Ordinals NFT Push
Theo Delarosa
February 28, 2023
Daily Bullets - Tuesday, February 28th
Today’s newsletter is 1460 words, a cool 5 1/2 -minute read
The crypto market continues ranging. Bitcoin still boringly finds itself in the $23k range and ETH in the $1600s.
All is relatively quiet out there on the crypto front, however you should continue paying attention to the macro. We’ve now seen Visa and Mastercard pausing their crypto plans, signaling more uncertainty in the developing regulatory saga.
Enjoy the quiet before the inevitable next big storm happens - whatever it may be 👀
Today we’re looking at:
- 🔑 What Does 1000 ETH Get You These Days? A Virtual Key
- 🎯 Normie Friendly Robinhood Next SEC Target?
- 🖼 Yuga Labs Joins Ordinals NFT Push
- ✅ Daily Bullets
- 📊 Market Dashboard
- 📚 Research/Reads
- 📝 Good Tweets
🔑 What Does 1000 ETH Get You These Days? A Virtual Key
Quick Take: Twitch streamer, Mongraal, sold his winning Dookey Dash key for 1,000 ETH ($1.6M) on OpenSea.
I have agreed to sell the key for 1000 ETH to @AdamWeitsman. Super nice guy and thrilled the sale went through with him.
A special thank you to @yugalabs for hosting an incredible competition. I look forward to competing in future events. Royalties will be paid in full.
1/2— Mongraal (@Mongraal)
Feb 27, 2023
Key Details:
- Originally listed for 3,333 ETH ($5.43M)
- The "Golden Key" was earned by achieving the highest score in Yuga Labs' skill-based NFT game Dookey Dash
- The game was available to holders of a Sewer Pass NFT, which could be claimed for free by Bored Ape Yacht Club/Mutant Ape Yacht Club members.
- Dookey Dash raked in 39,676 ETH ($64M) in total volume during its gameplay period
- Sewer Pass holders who did not place on the leaderboard can still participate in Dookey Dash: Toad Mode until March 1 for additional prizes
Significance: $1.6M for a virtual key… We live in interesting times. What the actual use of the key is for is still unknown but it’s most likely that uncertainty which is fueling the speculation.
This is reminiscent of Jack Dorsey, the co-founder and former CEO of Twitter, selling his first-ever tweet as a NFT in March 2021 for $2.9M.
Will there ever be a profitable return on these outlandish purchases? Yuga Labs has been going hard to try and include utility in their expanding ecosystem so $1.6M may end up being a bargain? Only time will tell.
🎯 Normie Friendly Robinhood Next SEC Target?
Quick Take: Robinhood exchange revealed a subpoena by the SEC in December regarding its crypto listings and custody of assets. The SEC's legal action could lead to it ceasing digital asset trades on its platform.
Key Details:
- The investigation was disclosed in the company's 10-K filing with the SEC, which listed potential risks to its business
- In 2020, Robinhood was charged with misleading customers about revenue sources and agreed to pay $65M to settle the charges
- Hit with a $30M fine in August 2022 for allegedly failing to comply with anti-money laundering and cybersecurity regulations
- In January, the SEC hit Genesis and Gemini with charges for offering unregistered securities, and earlier this month, it fined Kraken $30M for violating securities laws
Significance: The SEC is cracking down on the crypto industry following FTX's collapse last year, which led to allegations of criminal mismanagement and is now looking to control the crypto space to protect investors.
We recently saw that SEC Chair Gary Gensler wants to crack down on all coins and tokens he believes are unregistered securities. We are in the midst of the crypto regulatory saga.
🖼 Yuga Labs Joins Ordinals NFT Push
Quick Take: Yuga Labs, the company behind Bored Ape Yacht Club, will debut its first-ever Bitcoin-based NFT project, a series of 300 Ordinals called TwelveFold.
Introducing TwelveFold. A limited edition collection of 300 generative pieces, inscribed on satoshis on the Bitcoin blockchain.
— Yuga Labs (@yugalabs)
Feb 27, 2023
Key Details:
- The collection will consist of 300 generative art NFTs created by Yuga Labs, placed on a 12x12 grid, will feature 3D elements and hand-drawn features
- The collection does not come with extended utility or have any affiliation with Yuga Labs' current Ethereum-based collections
- The art pieces will be available to purchase in an auction held later this week with all bids made in bitcoin
Significance: Ordinal Inscriptions and the ability to mint content other than transactions on the Bitcoin network have taken the blockchain by storm with the number of Bitcoin Ordinals having crossed 200,000.
Developers on Bitcoin sidechain projects like Stacks have taken the new interest in Bitcoin NFTs to push Ordinal compatible wallets and marketplaces and devs on other PoW blockchains like Litecoin and Dogecoin have attempted to copy the project.
Is this the next iteration of innovation or a passing fad? No utility for these indicates Yuga Labs probably isn’t sure what the gameplan is either but they aren’t passing up the opportunity to make money.
✅ Daily Bullets
🔥 Highlights
- Visa and Mastercard pause crypto push in wake of industry meltdown
- The SEC subpoenaed Robinhood in December regarding crypto listings and custody of assets
- Yuga Labs first Bitcoin NFT project TwelveFold - limited series of 300 generative Ordinals
- Winning Yuga Labs Dookey Dash key sold for 1,000 ETH (~$1.6M)
- Digital Currency Group saw a loss of $1.1B in 2022
- Binance refutes transferring $1.8B in client collateral
- Second Ethereum Sepolia testnet successfully simulates Shanghai hard fork
- NFT weekly trading volume on Ethereum rises to highest level since May
- Illuvium DAO votes against NFT contest with disgraced 3AC founder Su Zhu
📰 Crypto News
- Voyager Digital has been selling off its crypto holdings
- Institutional DeFi startup Hashnote first to emerge from incubator Cumberland Labs
- Ethereum developer conference, Devcon 7, will be held in Southeast Asia in 2024
- Price charts for DEX tokens on EtherDrops will now be drawn up with GeckoTerminal
- Cointelegraph partners with Phaver mobile Web3 social app
- Huobi will join the BTTC ecosystem and support the development of a layer 2 network
💲Coin/Project Updates
- Solana outage still unsolved
- Scroll launched zk-EVM on the Goerli testnet as it moves out of pre-alpha phase
- MakerDAO community rejects $100M loan to Cogent Bank. Previously approved similar loan
- Proposal to deploy Compound v3 on Arbitrum
- Hardfork of Optimism Goerli planned for March
- Sui successful Testnet Wave 2
- Axelar Virtual Machine brings 1-click inter-chain dApp deployment via AI-powered zk-proofs
- TUSD stablecoin becomes the fifth-largest stablecoin by market cap, passing Frax
- Binance will list Liquity (LQTY) in the Innovation Zone
- Volt Inu releases alpha version of NFT-focused battle royale game
- Ethereum Foundation Account Abstraction Grants 2023
- Algorand wallet MyAlgo $9.6M exploit - users should remove funds
- Arbitrum-Based FactorDAO releases staking service amid code controversy
- Gamium will work with Meta and Telefonica on the Metaverse Activation Program
- Klaytn Foundation unveils ambitious 2023 vision map to achieve mass adoption trifecta
- Decentraland is hosting its second annual Metaverse Fashion Week next month
- Shutdown of Quix Marketplace is no longer happening
- Introducing Firm protocol v1 - open source protocol to power on-chain companies
- OasisSwap V1 is live
- Introducing Project Hyperdrive - an "L2 for Rocket Pool"
- Release of Orbis V2
- Nibiru Incentivized Testnet #1 is live
📊 Market Dashboard
📈 Gainers
- $LQTY: Borrowing
- $AGIX: AI
- $IMX: Layer 2
📉 Losers
- $BNX: GameFi
- $XEM: Blockchain
- $CFX: Infrastructure
Chart of the Day - Stablecoin Exchange Reserves
- There are currently $22.828B in stablecoins being held on exchanges and this number has been dropping like a rock since November where it ranged in the $35B-37B range for basically all of 2022.
- Ideally we’d like to see more stablecoins flowing onto exchanges to indicate a return of buying power.
📚Research/Reads
- Vitalik Buterin | Some personal user experiences - source
- Is it Just a Matter of Time Before Major BSC DeFi Applications Emerge from this Bustling Ecosystem? | Binance Smart Chain: Sleeping Giant - source
- Exploring crypto valuation frameworks | Fundamental Value in Crypto Part II: Valuing Smart Contract Platforms - source
- Gas optimizations, developer experience | Solidity vs. Vyper | EVM Smart Contract Language Comparisons - source
- Impact of tokenomics on price for infrastructure economies | Simulating Token Economies: Motivations and Insights - source
- Crucial for success | The six phases to product-market fit in Web3 - source
📝 Good Tweets
Igor Igamberdiev shows on-chain evidence that Jane Street played a large role in UST depegging
1/7
Many post-mortems after the Terra events have focused on “Wallet A” which played a large role in UST depegging
"Wallet A" swapped 85M UST for USDC and imbalanced the UST/3CRV Curve pool
There is a good chance this wallet is related to @JaneStreetGroup
— Igor Igamberdiev (@FrankResearcher)
Feb 28, 2023
Garid with a collection of threads on narrative/news trading
Everybody is talking about narratives right now.
I've compiled a list of threads that will help you become more profitable trading them.
Mega-thread containing 15 of the best threads on narrative/news trading. 🧵
— Garid (@Garid_Trades)
Feb 27, 2023
Tyrogue on how to profit from cults in crypto - understanding the game!
How to Profit from Cults in Crypto, Consistently - A Quick Explainer To Easy $$$ (NFA)
If you can spot burgeoning cults in crypto, you will be able to catch pumps early, and exit before you become a bagholder.
You just need to do 3 simple things.
Let's get into the thread:
— Tyrogue (@TyrogueD)
Feb 27, 2023
Jordi Baylina clears up some misunderstandings of how a zkRollup works
1/15
The scalability of a #zkRollup IS NOT limited by the prove.I'm detecting some missunderstandings of how a zkRollup works.
Let me explain in this thread why the prover is not the limiting factor and what are the actual limitetions of zk ( and optimistic ) rollups.
— Jordi Baylina - baylina.eth 💜 (@jbaylina)
Feb 25, 2023
Auri dropping a list of under the radar early airdrop gems
UNDER RADAR EARLY AIRDROP GEMS
It pays to be early. A day difference can make or break the idea: on the first day of Blur airdrop 3, you could make 2k+ points in a day with under 5 ETH
Here are some of MY PRIVATE early airdrop GEMS that are barely shared on Twitter
— Auri 🔮 (@Auri_0x)
Feb 26, 2023
hoeem shares 50 accounts worth following in crypto
I have asked over 50 thousand crypto Twitter users who their favourite educator is.
These are the 50 accounts that have helped thousands of people become crypto pros: 🧵
— hoeem (@crypthoem)
Feb 28, 2023
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