Messari Crypto Industry In-Depth Research Report 2022 (1)

Chapter 1 Top 10 Marketing Tips in the Cryptocurrency Industry

1. Destruction of trust

Why do we have to understand this?

You are probably one of the many “Millennial” and “Gen X” traders. This generation often says, “You can only rest after a miracle. Because everyone is worried about rising inflation and instability. You never know what the future holds. If you are one of them, cryptocurrency is a liferaft in the torrents of this era.

70% of Americans today disagree with Congress, and you will be one of them. You don't believe that policymakers will do the right thing because they spend their money dishonestly, and even insider trading won't be punished. You might be looking for a non-intermediary decision-making body, so cryptocurrency is for intermediary organizations.

You may be just a "left" or "right" populist, and you may be outraged by the "violence" on Wall Street. They were obviously born during the last financial crisis, but they were never touched by its effects. , and also want to benefit from government laws. Or you are concerned about the privacy of large companies doing business, censorship, and personal information. For you, cryptocurrency is the “silver bullet” that goes through it all.

The image below can cause most people to think similarly.

(来源: A16z: How to win the future)

Of course, entering the cryptocurrency market to make quick cash like memes or jpegs isn't a problem at all.

Whether you are an “expert” or an expert in the crypto world, you will find that the driving force behind this crypto power is our research and distribution. Web3 (an organic combination of a decentralized network and a financial system) is a great solution to change the downstream business process.

It reminds me of my first prediction for 2022. Everything would be worse if we weren't all in the real world. Inflation will remain above 5% (70% probability) throughout 2022, an increase last year that will affect economic and commodity growth (60% percent). In the short term, this signal will enhance the growth of cryptocurrencies, but in the medium term, the risk in the cryptocurrency market will increase as more and more users will have to 'turn' on the crypto market and companies. -money will be faced. Good reviews from various types of banks and governments.

2. The encrypted world / The advent of Web3 is inevitable

This is just a drop in this ad. Long term in the crypto world (the term 'Web3' which has become popular recently) the growth momentum is unstoppable.

Chris Dixon described it as "the Internet of tokens and Internet sharing by developers and users". Eshita described the transition from Web1 to Web2 to Web3 as "just read-read, write, read, personal". Whichever model you prefer, in the long run, Web3 users will earn more income than Web2 (monopoly internet marketing).

In this report, we are going to identify and define a lot of things slowly, but only for one topic.

We are moving from an era of “land rent” cyber-hegemony to a new one that never ends. The growth of cryptocurrencies in the border realm was the start of an inevitable revolution that threatened all beneficiaries of the monopoly industry.

In fact, we already have all the essential ingredients that need to be supplemented.

Intelligence: Young, young, intelligent, passionate and visionary are flocking to the crypto world.

Investment: The cryptocurrency market has raised a lot of capital, the cryptocurrency market is starting to raise funds, and potential online contracts are growing rapidly.

Time Node: At a time when the market was in crisis, the basic processes of the crypto world were released, at a time when it was easier and accepted by humans to start a "crypto movement" (technological change with a little politics).

In a recent article by Eric Peters, he said that we are in a time of social change. Young people are passionate about emerging investments and are reluctant to invest in the traditional investments that adults love. Indeed, at present, the traditional procedure is only used to help the elderly who have accumulated a lot of wealth to support it. And these new ways of investing have the potential to recoup (and even lose money) existing investments. This harassment is inevitable and young people see organizations using it today.

DeFi has an annual savings yield of 5%, while Wall Street is only 0.5%. The advent of non-homogeneous tokens (NFTs) gives developers the opportunity to make more money and they don't have 50% stakes like Hollywood. With the advent of GameFi and SocialFi, integration has exploded, internet companies will lose 100% of their business and business risk will be reduced.

We are 99% convinced that the cryptocurrency market will experience tremendous growth by 2030. We are in the midst of a global economic transition, and the emergence of cryptocurrencies will have a huge impact as phone communication and even the Internet.

Although the cryptocurrency market has been rocked by a special cycle, the market does not appear to have suffered all of its overheating yet and the investment market has yet to recover.

So I paved the way for our situation.

The market is expected to experience explosive growth before the end of the first quarter of 2021, following a private but long-term and bearish venture.

The entire industry has soared into the sky, creating its own $ 20 trillion bubble, which lasts about a year compared to today's internet market. It sounds like a joke, but given the lax global monetary policy, public finances are booming and the cryptocurrency market is booming, which is impossible.

The market grows slowly and steadily forever. ("super cycle" theory).

Ironically, the market downturn here (in the bearish market after the events of Q1 2021) may be the biggest obstacle to long-term investing. At this point in our development, the "high level of Bitcoinization" and the constant rise of the cryptocurrency industry only occurs in the "dystopian situation".

3. Bridges, NFT and DAO

“Web3” can be considered all-inclusive. Cryptocurrencies (digital gold and stability coins), smart bonds (L1 and L2), decentralized hardware infrastructure (video, storage, sensors, etc.) and heterogeneous NFT tokens (digital identities and property rights), DeFi (exchange of 'web3 assets and mortgage financial services), Metaverse (creation of digital real estate in a gaming environment) and community governance (DAO, decentralized autonomous organization).

While the development of Web3 as a whole involves many areas, three particular areas still need to be developed: NFT infrastructure, DAO related infrastructure, and cross-link connectivity.

We are seeing the rapid growth of new developments in the field of NFT like the Cambrian Explosion, and this is just the beginning. We don't know how big an NFT bubble can grow in the market, but we do know that there is still a lack of reliable and global NFT infrastructure. NFT business platforms, key financial data, design tools, community business models, and self-management / credit management are all their infants. This step will be one of the hottest investments in 2022.

The same goes for creating a large DAO, an issue that all fast-paced cryptocurrency communities need to solve. The community enterprise is long overdue. If you're anything like me, expect token-dominated open trades to replace those in the years to come. The market has to go through a board election, so it's easy to see why 2022 will be a year of development and development for DAO. (I developed the resources and functionalities to participate in the contract betting web3 (signed) Messari.)

A key issue is the cryptocurrency 'channel', a scalability and interoperability solution.

Ethereum hit its full potential this year, and other state-owned companies started trading benefits that Ethereum couldn't afford. Many public channels have been depreciated 50 to 100 times, and traders have also paid for new channels for the public. Ecology and the resulting income. However, the problem with the cryptocurrency world today is that there is no bridge across it, as all public channels (such as Ethereum's L2) need communication. If the future is more chains that can improve the connection and help spread the treasure of the supply chain, the link in the chain and the second level that comes will be the master of the big finances of the digital world to the future.

If you are not satisfied with this content, you are advised to carefully read the NFT section (Section 6), the DAO section (Section 9) and the L1 Interaction section (Section 8) of the document.

4. Separation of the cryptocurrency market

Many parts of the crypto world have different markings of value. Our understanding of marketing can be divided from “everything is cryptographically” to “tokens, smart contracts, DeFi applications, decentralized network platforms, NFTs and the work to be obtained”. W2E) industry.…

Many entrepreneurs have been fully satisfied with the practical application of the different networks involved in the market and microeconomic concepts and are starting to market according to these standards. It's still a memes-driven industry, but how many memes affect the basics? (Probably) Ari Paul wrote a great article on the recent divide in the cryptocurrency industry.

“In this cycle, the market has proven that digital advantages are still viable. In the previous cycle, it was not profitable to become an expert in the industry. Cryptocurrency trading. Four years ago, Defi and NFT never existed. Most of the other "Department" also did not exist and made no sense. In the past, the relationship between "decentralized data storage", "contract platform" was thought to be smart "," privacy "and cryptocurrency had been cut, and the facts are there. Prove it, it's a job, now a farmer The field challenge or NFT speculator can become a full time employee, and we also need a small team to follow all possible paths to gain ground. "

It is an important stage of development, and it is also a stage of personal integrity which can be difficult and lasting. The current 'card' industry consensus includes multiple data asymmetries, educational learning curves, and low risk management, making it a very high starting point for reducing cryptocurrency investments. .

Cryptocurrencies are now at a critical point in their lives and these trends will continue into the new year.

5. Permanent (risky) investment: enter the market, disappear, grow and don't leave.

The value of the capital that is flowing into the cryptocurrency market this year is staggering.

The investment volume and growth of this cryptocurrency specialty has been described. Some of these funds (like Multicoin) may be the most profitable businesses in history. It's not hard to see why they are making so much money without getting frustrated.

(Source : Crypto Fund Research)

Now, it's hard to imagine the size of the private cryptocurrency market. While DCG raised $ 25 million in 2015, it was the largest cryptocurrency industry at the time. So far Polychain, Paradigm, a16z, Multicoin, 3AC, and some companies have all managed millions of dollars (sometimes over $ 10 billion), sometimes with 2,500 Tens in the middle market. Thousands of dollars in cash flow. The hedge fund plans to invest 7% of its assets in the cryptocurrency market in five years, and the repo can be used for direct purchases.

In terms of negative interest rates, huge investments continue to improve the performance of asset allocation, and most people cannot ignore the crypto industry.

The cryptocurrency market has generated $ 3 trillion in cash value over the past 10 years, which is now comparable to the total cost of all other investment recovery startups. Admissions bodies have seen this and appear to use their capital in various ways to avoid business accidents between the ages of 14 and 18. When a new entrant enters the market, there are usually two changes in capital: entry and exit (disaster) from the market, but not exits. Now, capital will flow in high beta tokens, but generally will not leave the market (tax free) when the market and capital return. In exchange, they will be on the "blue chip" of cryptocurrencies such as BTC, ETH or SOL.

If you don't want to contact the cryptocurrency market directly, great. The demand for cryptocurrencies has led to the success of the crypto industry, and the impact of risks has been felt in the market.

According to data from Dove Metrics, 423 personal investments amounted to $ 8 billion in the quarter, nearly half of the total investment ($ 17.8 billion) since the start of the year. for years. Almost 90% of the largest transactions in the history of the crypto world took place this year, and that doesn't include Coinbase's direct listing. About 75% of the funds were focused on real estate and medium-term trading, all of this before the FTX and DCG announcements (and Binance's upcoming financial announcement). .

In fact, these organizations already exist today.

6. What are the maximum limits for the cryptocurrency market?

We all know the "crash" is coming and the cycle will be slower this time around than in the past, but there is still the "hottest" in the market, so we mentioned before how much room there is for that. a market is growing. before the accident? What are the signs of "topping"? Does Shiba Inu have a market cap of $ 30 billion? Or is there an NFT ad in Times Square?

Now, starting with Bitcoin, let's talk about what I think are the “top” symbols.

1. Bitcoin:The king has no real enemies (the reasons will be explained in chapter 3). As a nonprofit asset, Bitcoin is often used for price and measurement, so it is often compared to its “cousin” gold. However, Bitcoin still has some value to follow. The best decision would be “market value to know value” sponsored by Coinmetrics. It is possible, for example, to compare the market value of bitcoin bonds (the value of money in circulation over the past 5 years) to the “known value” (the sum of the prices of each bitcoin in chains). the current time). If the achievable price increases, the market price will remain the same and vice versa. One is a 'snapshot' of the current price of Bitcoin, and the other is a dynamic metric with more traffic.

If you are not a HODLer and can't stand the 4 year bear market, now is the best time to make a profit when MVRV hits 3 (when MVRV drops below 1 you can sell both kidneys and will). Our previous "double bubble" - the old "bubble" contains a small amount of price charts, and as the time for MVRV to pass 3 gradually increases, we can only buy an MVRV type instrumentation industry. shorter than in 2011, the MVRV was greater than 3 to 4 months. They stayed 10 weeks in 2013 and 3 weeks in 2017. At the start of this year I only stayed 3 days.

If history repeats itself, what does it mean? By the time MVRV reaches its third year, the value of Bitcoin will reach $ 100,000 to $ 125,000!

If everything improves at this level, Bitcoin's next goal is to measure the market value of gold! Based on the current price of gold, the market value of gold could reach $ 500,000 for Bitcoin. Bitcoin can therefore still have 10x capital. However, judging from Bitcoin's historic recovery rate, that recovery rate is not high. (Of course, unless the cap goes, that means the decree has expired. We are already using Bitcoin for a default. 1 BTC = 1 BTC)

** 2. Ethereum :** The ETH giants have been making a lot of "hype" terms lately. Can ETH hold BTC in this cycle? There will be no response. Not only because Ethereum is facing some serious issues, but also because the competition from the public chain is very strong right now and the market likes to create more chain links in the future. I still want. Are all other public markets like FAMGA rated to 'share' Bitcoin? Can it be compatible with M1? (h / Anapo by Arthur Hayes)

So can Ethereum beat Microsoft, Apple, or Google? Now Ethereum is 3-5 times worse than them. Can ETH outperform all FAMGA outlets? With a difference of 15-20x, this demand is very high, so Ethereum is now 5% of the total market value of FAMGA and ETH is still "cheap".

** 3. Solana and other public channels:** The global crypto startup is vying for third place ($ 60 billion) in the crypto industry. Ditto for Polkadot ($ 40 billion) and Avalanche ($ 30 billion). If we decide that the public policy chains that are trying to replace Ethereum have a higher beta than ETH, it's going to eat Ethereum's business and undermine its lead role. Have you ever thought of Terra ($ 16 billion), Polygon ($ 120 billion)? , Algorand ($ 11 billion) or Cosmos ($ 7 billion)? There are two main points of competition: industrial development (design and submission of applications) and ecological flows (although it can attract industrialists to create non-profit jobs). The "Ethereum Killers" all have enough money to compete fiercely, but your choice to become an entrepreneur is to win or buy the basket (against the direction of Ethereum). However, these devices connect to ETH.

** 4. Challenge :** DeFi longevity is good so you can sell the bank (be careful). Although DeFi achieved the best profits in 2020, the DeFi market volume is less than 1% of the value of the global market share, and in the long term, the DeFi market continues to have a lot of room for growth. When the prices of some of the best DeFi protocols have come to a halt, if you think the cryptocurrency market will change the middle ground, it can provide a great opportunity for profitability (more than all the risk-reward rewards in the market today. ). Competition for current contracts is fierce, management control is approaching, conflicts are everywhere, risk is fatal for the entire business, and high fuel prices make the house more efficient. On a few metrics (only trade and price / earnings comparisons) DeFi still stands out, but current calculations only apply “whale”.

*** 5.NFT:*** Because NFTs are not fake and very fluid, it is difficult to write the “market value” of NFTs in one document. DappRadar estimated the market value of NFTs at $ 14 billion in early September, and that number has grown since then. The prospects for growth in this area are very good, as NFT has opened up space for cryptocurrency users and created another crypto industry. Meltem estimates that the market value of NFT industry can reach the minimum level of LVMH ($ 375 billion), while Su Zhu estimates that the market value of NFT industry can reach 10% of total turnover ( 225 billion dollars). I don't think they are wrong, but on a larger scale it shows that there is still a good opportunity for NFT casters and there is still plenty of room for the construction industry. The capital of most NFT special operations cannot be counted. . . . (See chapter 6).

7. Business time

We love the cryptocurrency market and we love the long term and the short term, but the most attractive is the medium term.

"When will the business fall?" I don't think you can fully understand this unless you are faced with a long term market in the cryptocurrency world.

During the winter crypto world (long bear market), many will lose confidence and will not be able to withstand the bursting of their souls and years of adversity. "The government can interfere with the surveillance." "It's too early to release stuff like that."

“You said it was a bubble. The neglect will continue over and over again. In addition to the huge documents (or facts) lost, people have lost, losing money due to overspending (or poor tax planning), causing negative and unsatisfying thoughts, leaving others with the promise and often lost long term expectations. crypto business. To make matters worse, the next bear market could be a nightmare resulting from surveillance, consumer rights protection, market fraud, product abuse. , and disease risk, ESG compliance and market behavior, etc. at the same time, the number of “indigenous peoples”. Cryptocurrency trading has grown rapidly. will be reduced. Because if you lose 90% of your savings, you have to find a real job and it will be difficult to "struggle" with it. Marketing.

It all sounds awful, but it's not that bad at the moment.

After a stock market crash you must first put yourself back on your mind, even though you still believe everything in the cryptocurrency world, you should consider the following questions in your mind.

Has the centralized world fallen?

Will the future of Web3 be a "cat chip" to wait for to protect the natural world?

Are the products of the new titles we are considering (bridges, DAO, NFT) worth the next investment?

Will it be easier to find strongly rooted projects in the next downcycle?

Do you have enough money to help with an interesting project?

Do you still believe that the cryptocurrency market will return to the bull market in 5-10 years?

If you still believe in it all, wear a helmet, embrace the winter chill, and look forward to the next “Winter Survival”. Improve your income ASAP, do your taxes, cash in on time, and estimate “topping” times.

Regarding the leverage effect: This is explicit. For non-professional investors, leverage is simply a currency exchange from an expert point of view. Cryptocurrency is very volatile and has a lot of room for growth. No need to gamble on your luck here. You don't need to be blessed.

About taxes: Most people know that they don't go into debt for unreasonable investments (like buying Dogecoin with a debit card), but always ignore the “leverage” “Because they don't have the plan. Because you still have to pay taxes. If you start holding $ 10,000 by trading on January 1, 2021, you will hold $ 100,000 on December 31, and lose 25,000 yuan on January 1, 2022. Then you owe the government more money than you have. active. Your "fulfillment" ends here. Thank you for your collaboration.

Regarding the odd job: Do not work the odd job. Even if you are right, you will "have fun" more often because you didn't have the chance. If you fall, others will dance and celebrate at the grave because they are making money. Even if you win, no one will love you and you will lose your hopes in the long run. PS: I am here to tell you that you have nothing to do.

One more thing, keep in mind that people think this would be a good time to buy cheap coins in a bear market. But the market may crash more than you think, the currency will fall more than you think, and the bear market will last longer than you think. The crypto industry in a dating state, like medicine from hell, is easy to laugh at.

If you are a new team in the cryptocurrency business, do your best to protect your team and its members from the "nuclear attack" of a losing company. Many groups have compromised their resources and are not doing their jobs well. Messari wants to warn you "don't waste your money".

If you are a business in need of Web3, earning a lot of money and finding a job in an “electrical company” is not a bad choice. Remember to ask hiring staff about company performance and financial issues before you sign up for the job.

Those who make big money in the short term evaporate, but the next cycle of unicorns will occur during the cold winter of business downturns. Surprisingly, the success of cryptocurrencies lies mainly in their persistence. “We'll all be successful” is a fun bull market meme, but in a bear market, it would be better to yell “We will all stay” because everyone is laughing at you. The industry has lost 80%. Competitors will lose money and consumers will gradually disappear.

In the bear market, you don't have to think about the digital advantages of your personal balance sheet.

8. Public options: Coinbase opens traditional trading

Is the cryptocurrency market better than the companies that back them?

Although Coinbase's market value has hit a real blast of US $ 70 billion, since its B-round funding in 2013, Coinbase's market value has not kept pace with Bitcoin. And these examples are not uncommon, and many other real estate companies considered "blue chips" are struggling to keep pace with cryptocurrencies. In the case of Bitcoin, the decentralized investment firm Digital Currency Group is a true incinerator of cryptocurrency assets, with the market value of BTC having fallen by around 80% since 2015, comparing these companies to tokens of important public telephones such as ETH, these numbers are only increasing. .

On the other hand, Binance's BNB has the highest rating in its four-year history, as it encouraged BNB to register on the exchange platform and trade around 20% of Binance's agents. BNB's market value is over $ 90 billion, and the market capitalization of the company as a whole is three to four times the total.

The birth of cryptocurrency IPOs and ETFs is more important than helping investors raise money to attract organizations and increase awareness of the cryptocurrency market. Coinbase hopes to become a trillion dollar business. The BITO ETF is the fastest ETF to raise $ 1 billion to date. Open to the public, these ETFs are your ticket to the crypto world, they may be important to your parents (see previous generation), but may not be important to your peers. . and other clues).

When it comes to these new ETFs (COIN and BITO), their main role is to help cryptocurrencies go free, and outsiders can read about the crypto industry below. By following the non-trading lines with Coinbase, you can better understand managed services. The SBF also likes this free information. By using commodities such as BITO and futures ETFs as backers for the first time, it is possible to earn the mercy of Gary Gensler, director of the US Securities and Exchange Commission, and introduce it like a liar. Therefore, it is advisable to maintain additional security for numerical results.

(Read more about Gary Gensler in Chapter 4 and more about the skepticism that arises with ETFs in Chapter 5)

9. Disc imitation and wind direction

Sometimes you don't need to think too much about cryptocurrencies.

The crypto industry is generally social and dating. Find out how fast retailers follow new initiatives supported by the stock market. The investment itself is very fluid. Thousands of dollars have been invested in these “everyday investments” this year. Whether it's a project or a meme, there are plenty of knockoffs and constant income from popular knockoffs.

Venture capital positions in the crypto industry are volatile and manufacturers and investors who rush to hotspots benefit. Trading is not profitable but can affect you quickly, so you should limit the winners and eliminate the losers. As the value of SOL returns, more money in the solana ecosystem, more assets in the solana ecosystem than Ethereum's revenue, solana apps are constantly updated and new apps are again preferred. Create a productive product cycle. This is all driven by the best traders, but skeptics believe it is a Ponzi scheme.

The growth of the cryptocurrency market has its own voice. If your project immediately becomes popular and becomes a runner, a scorching task like the one below can happen quickly. Because now people think of a business goal like something like this (in a sense, this also applies to an asset (investment). Diversification.means). Now, the rotation of access points is faster, more precise and more stable. The whole business has reached its present and set up a new hotspot for something as simple as yelling “Big BTC, Big ETH, Big XXX”.

Hear explanations for the FTX wealth hype, read Big V's articles on social media (Twitter and more), view top 20 financial statements, and compare assets. We hold it to support your investment.

(Source: * Analysis of the Messari Pro 3Q fund *)

10. Publications (thinking is not an investment)

Our review team presents insurance policies on a monthly basis. Part of this theme got longer and longer because our group got bigger and bigger. The analysts listed below have a summary of each.

They now own more than 5% of their investment.

2021 good / bad years;

Their hopes and aspirations for 2022.

The following information is not investment information, so please do not sue us for disclosing these risks. Also, don't accept second-party suggestions. Past performance is no guarantee of future benefits.

TBI

Best of the year: LUNA 5.746%

Worst of the year: ANT 52%

Job status: BTC, ETH, MOON, PERP, RUNE, ZEC, TRIBE / TBI

FEI*, OpenSea*

* The inheritance is marked in my case

Expectations or feelings: the team's expectations are my vision

Aidan

Best of the year: AXS (23.621% YTD yield, hard to keep)

Worst of the year: YAX -80% (Aidan chooses the best and the worst of the year for the group)

Statute you post: AXS, BTC, ETH, RUNE, FTM, RGT, MKR, YFI, ANY, MLN, renZEC

Expectation or speculation: The "Renaissance" of DeFi1.0 (profit in the bull market but lower in stock), ATOM: bearish, RON> SLP forecast, but hard to say (if Ronin's first LM giveaway was gone) This would be difficult to control SLP)

run after

Status of post: ETH, SOL, ALCX, HNT, OHM, TOKE, OCEAN, RUNE

Perspectives or strategies: Ethereum decision, history of proof of Solana, SBF, multi-user access, development process (wireless, liquidity, data, etc.), non-Apple Loans funds, DeFi developers

Dustin

Status of post: ETH, SOL, RGT, AURY,

Expectation or concept: an ETH expansion solution of an evolving ecosystem (bearish monolith). Despite the advantages of the metasite infrastructure (RON is one example), the current game is crap. I am happy with cloud computing (RNDR, AKT, etc.). Optimistic about channel revenues (super liquidity carries no liability)

Éric

Best of the year: Runes 739%

Worst of the year: CVP -22%

Post status: BTC, ETH

Expectations or assumptions: bullish for all connections between multiple ecosystems and secondary applications Every Ethereum rating is high and therefore low.

leshita

Post status: ETH, SOL, BTC

Expectations or suggestions: exchange web3 application development, NFT (data storage, DeFi use case, music game), create DAO, BTC

Jack

Best of the year: TNT 3.046%

jerry

Post status: BTC, ETH, SOL, OHM, CAKE

Expectations or assumptions: rise of Ethereum, several public L1 channels, contractual commitments and a combination of DeFi and TradFi (non-financial chains, excessive financial options, tokenization of real assets, etc.) DeFi will be integrated in 2022, Web3 infrastructure , GameFi aggregator and metauniverse infrastructure

Market

Job status: BTC, ETH, CRV

Expectations or Ideas: ETH, a broadcast and entertainment platform with great capacities, a mix of DeFi and TradFi, developed by DAO, crypto.com, a special purpose DAO

Mason

Best of the year: AXS 23.621%

Worst of the year: ANT 52%

Position status: BTC, ETH, ATOM, HNT, INDEX

Expectations or concepts: Modularity, NFT Platform (RARI, RARE), MVI, Web3 Infrastructure (AR, GRT, AKT, LPT), POOL, Creative Design (ex. Mirror), Integration on NFT and DeFi (ex. NFTX, Fractional) .art), Cosmos Hub (ATOM, OSMO), Data Sets (Ceramic, Celestia)

), ZK-Rollups, Coinbase and USDC, meta-universe infrastructure, quality management. PS I am not happy with my huge investment in the bull market

Thomas

Job status: BTC, ETH, RUNE, MOON

Expectations or Ideas: Multitasking, Meta Universe & Games (Financial P2E Games), Ethereum Scaling Solutions (especially ZK-Rollups), DeFi Blueprint Actions, Loans

Watkins

Best of the year: LUNA 5.746%

Worst of the year: Cream -39%

Status of post: ETH, LUNA, SOL, SYN, HNT, AR

Expectations or strategies: Cash, multiple chains (long modularity), Web3 infrastructure (Web3 before "Web3"), ZK-Rollups, Cosmos ecology, decentralized Stabilitécoin protocol and DAO infrastructure (hard but solid). Finally, I have been very careful with DeFi and I think it will be back in 2022.

Wilson

Best of the year: TNT 3.046%

Worst of the year: 92% BTC

Job status: HNT, ETH, ATOM, OSMO, DOT, ACA / KAR and some SOL-LUNA-AVAX

Expectations or ideas: Modular L1 with full process (Solana is the best), multiple chains and tools, the “heroes” contribute to the change (just like Arweave, sharing security and data like Celestia, indexers and data, Umee), DeFi and Cosmos ecosystems hubs (Osmosis, Terra, Umee), ZK-Rollups, StarkWare, ZKSync, but also keep an eye on. for projects like Aleo that could open the market to new forms of cryptocurrency use.

Our review team is constantly growing, so we may not be able to list everyone, but we will list our assets in a new report every month.

Chapter 2 10 key people

1. Yes

I avoided the idea of ​​putting “everyone” on this list because in the past it was like a hiding place and a corporate symbol. The difference right now is that they're starting to talk about education, making money, and making money, rather than myth.

“We Will All Do It” is my favorite form of cryptocurrency of the year. He says "it's too early", but it's not like the disgusting MLM start. This is a reminder of a compromise for my favorite, Balaji poking fun at "it helps you win and win". And it embodies more ideals and altruism than any other crypto-twitter favorite, "Up Only". WAGMI embodies the changing culture of cryptocurrency, from a group that "opposes the government and brings us into a new era" for those who "develop better technology, a similar stimulus and others designed to solve the future".

WAGMI assumes that you are reading this review candidly. Welcome to!

If you still don't believe in cryptocurrencies, that's okay. Do not open your heart or close your abilities. A bad reviewer like Jamie Dimon is NGMI.

[But to be fair, Dimon's thinking about cryptocurrencies over the years has been… consistent and wrong. He called it a “dangerous market” (2014), “won't survive”, “always will hold” (2015), “no way out” (2016) and “liar” (2017). ) told the interviewer: "I never cared" (2018). Then, after announcing the JPMCoin test (in 2019) and acknowledging “it's not my car” (2020), this fall he repeated “dislike” and “stupid” over and over. "Gold" and "worthless". Don't be like Jamie. It's NGMI. ]

(Right click and save to Twitter. It's not mine, but it would be fine if I found it.)

2. Adultes: Samani, CMS, Su Zhu

This year is the new year of this giant.

Yes, many of the best technologies have been developed, and yes, there are manufacturers that deserve praise (noted in this section and elsewhere in the general guide). But honestly, it's mostly a good year for the whales, especially the big investors who escaped the 201 bear market. The 2018 bear market is going well and it's alive until 2021 to get the biggest. gain.

Kyle Samani's Multicoin Capital has turned into a landmark year with many winners taking home $ 1 billion in various cryptocurrencies. Graph, Helium, Arweave, and Solana all hit $ 1 billion in network events this year. And by the way, there are rumors that Multicoin has over $ 10 billion in assets under management. Investors alone have paid for the popularity of cryptocurrencies, and there's nothing better than multicoin for getting seed money. They "talk a lot" about the capital's public memo, but I learned a lot from them.

Another great thing is happening on the other side of the world. Su Zhu's "Capital of the Three Arrows" has grown into one of Asia's biggest companies and one of the best. They also had one of the biggest bets on the Grayscale Trust trade of 2020, earning double their major debt amount for most of the year. Their income increased in Solana, Avalanche and Polkadot. Su Zhu did not hesitate to change his justice.

Next, CMS Holdings. No one is more fun than Penguin in the cryptocurrency space, and they like to put a lot of effort into everything. Earlier this year, CMS launched the popular “hotball” memo. She submitted one of our reviewers for the $ 5,000 Girl Scout Cookie. He ruthlessly criticized the bear market and the newspaper traders. It will be a 7 inch cube. He paid people to contribute Twitter comments to the live forum. Rumor has it that he was involved in a dinosaur race (if true, it was only a rumor this year). CMS and its team may also be the fastest growing companies and / or the fastest cryptocurrency traders. This is a great advantage without having to deal with other people's money. Happy New Year like CMS Day.

3.Emilie Choi, Coinbase

One of the strengths of Coinbase is that it has maintained a strong presence despite almost all of the trading in recent years. Aside from Brian Armstrong, a few early entrants. Fred Ehrsam is still a member of the board of directors, but his vision is focused on expanding Paradigm's capital. Many other "Coinbase Mafia" employees are starting new businesses or starting a financial business.

In my opinion, along with Brian, the two people most responsible for the success of the business were former CTO Balaji Srinivasan (despite his small size he helped run the business). -joint ventures BTC and ETH) and Emilie Choi. The ability to integrate and acquire makes him the CEO of the company.

The history of Coinbase Ventures is fascinating. Emilie, who is not fully staffed, brought the idea to Armstrong just a day after his birth and is now one of the most active entrepreneurs in the cryptocurrency space. But the firm's larger mergers and acquisitions were better. The company acquired by Earn.com is best known for its $ 100 million acquisition of former CTO Balaji. But now profits have generated $ 43 million in sales in the first nine months of the year (high margins). Bison Trails, which the company sees as an AWS-level stake in its managed blockchain infrastructure, now operates on its Coinbase Cloud product. The company acquired Xapo for $ 55 million in 2019, acquired Grayscale customers, and doubled its Coinbase assets. The annual hosting revenue is now $ 120 million.

For the foreseeable future, the exchange rate market will continue to be the engine of the economy. However, Coinbase's distribution and management position means it could make another big addition to purchases in the New Year. Neutrino (tech buy-in) and Agara (tech learning for consumers) could adjust their backends, but hopefully the bigger deal will open up new revenue streams like "Plaid for crypto" (Zabo) or licensing (Skew ). .

Inorganic development strategies are not unique to Coinbase. But Emilie's early victory is impressive. What startups should keep in mind is that it takes time and is threatening.

4. Devin Finzer, OpenSea

As one of the lucky first market players (#humblebrag) of the company, I can say that I have never seen a financial company like OpenSea. The NFT market, which is the world leader, is not making money despite the competition. Coinbase has 30,000 users on the waiting list for its future NFT platform (four times all previous OpenSea users). FTX announced the Solana-based NFT platform. Gemini already has Nifty Gateway. Almost all other exchanges will follow and showcase their products. Then there are open source tokenized contests like Infinity and Fantastic, and the Andre Cronje project based on Fantom Artion.

As I already know some personal information, I can't say for sure what it will look like next year. However, I will give some suggestions on the current and future development of the NFT industry in Chapter 6.

Now I want to show you what an OpenSea extension looks like amidst the confusion. Keep your website up to date for monthly trading terminal growth, malfunctions, and ethereum gas spikes. The NFT competition, which the company is preparing for the website, is causing controversy among employees. The announcement of the new candidate is a distraction. Devin and the team continued to advance uninterrupted.

I think OpenSea will eventually become a $ 100 billion company (or network), and critics are criticizing their executives (I see Coinbase doing the same). It's hard to be an unfair critic, but betting on a board with a good team in the past is a failure. This is the meaning of OpenSea.

(To understand the success of OpenSea, check out Devin's two Bankless podcasts for March and October. Of course, you can bet on NFTs from this announcement!)

5. Dan Robinson and Dave White, Paradigme

Lots of investors? Through!

Yes and no. Last year, we included Paradigm hat free hacker samczsun in the top 10. It saved DeFi users from nine hackers this year, despite this negative from a direct competitor (samczsun is currently the revenue ranking of the ether Fang Foundation). He is no ordinary general practitioner.

I will filter this year's Paradigm election in a similar fashion, as Paradigm is very useful for researching trade between the big brands of DeFi and NFT.

Uniswap v3 Automated Market Maker (discussed in detail in Chapter 7), primarily developed by Dan Robinson of Paradigm. There are Floor Perps (composites on which NFT holds borrowed assets) and RICKs & Mortys (NFT fractional primitives) designed to solve the problem of water scarcity in the NFT industry. Power Perps (similar to options risks, without the need for effort or expiration date), TWAMM (many AMM commands have been cracked over time) and Optional Infinity (co-authored with Sam Bankman Fried on FTX) includes : DeFi industry attracts larger and more profitable investors. The following lists were written or compiled by Dave White, who participated in January. The beneficial findings of the Paradigm team are insane. And that's what we know now. I look forward to what they plan to do in 2022.

6. Jeff Zirlin "Lub Jiho", Axie Infinity

Last year, Jiho rewrote the letter to create a cryptocurrency community. What is your purpose? Conquer the game world. Secret weapons? An obscure Trojan horse, similar to Pokemon's NFT card game, will bring Axie Infinity to the top of the cryptocurrency arena.

Jeff, director of development and community for Sky Mavis, the post-Axie game studio, seeks out and supports new anonymous audiences in the Philippines for Axie's income. Thousands of people enjoy Axie entertainment every day and use it as a source of income. The Philippines now has 40% of all Axie users, and Sky Mavis currently has over one million daily users. Axie missionaries are rare. Indeed, the AXS Token Race (developed by Jeff) has been returned 1,250 times over the past year. However, some fans are saying that Axie could be one of the longer games after all. Jiho and Tim are playing.

Axie Infinity itself is the Ronin Exchange launcher from Sky Mavis, an Ethereum-linked side chain designed to support the video game industry. As of May, Ronin has generated $ 1 billion in revenue, over $ 9 billion in assets, and is the second-largest blockchain-based NFT vendor. Sky Mavis is one of the largest parks in history and recently received a $ 152 million Series B financial roundabout led by a16z. The company announced the token ($ RON) and the exchange rate (Katana) this fall. Now, they're planning to build a new Web3 games and apps studio for hungry (and wealthy) fans.

Axie's success has led to the introduction of key new games (crypto games) and subgenres (gameplay and monetization). An estimated $ 1.4 billion was invested in DTV-related activities in the third quarter alone. At the same time, Ronin has become one of the research materials for the development of cryptocurrencies. Not bad for an object disguised as a furry cartoon deck of cards.

7. Jay Graber, Bluesky et Tess Rinearson, Twitter

If a large tech company is using Web3 technology to transform itself profitably, it could be a business relationship rarely created by the developer. People want the best crypto supporters. The media company, run by its founders, has some of the best crypto sponsors. Of course I mean meta. (The packet!)

As I started writing this article, I was hoping for a 30 minute review and snapshot of Jay Graber's Bluesky campaign to take Twitter this summer. “Jay is decentralizing Twitter” and Mockingbird's profile picture was my place and an early injustice. When I started doing my real research on Bluesky, I noticed a few differences. So far there has been little work in Bluesky "communities" (compare Github / Gitlab with Diem's!). So I think Twitter is really trying to destroy itself and open user data honeypots. Jay is good, but is it really Bluesky or is it a shallow sandbox?

Perhaps the "full stack decentralized media" gameplay is not appropriate. Given the current restrictions on cryptocurrencies, Twitter's short-term goals are not worth it. It is too early to hope for a first project like Bluesky. Instead, the task seems to focus on making the initial data connection to other platforms like Mastodon, IPFS, Audius, etc.

8. Kristin Smith Association and Katie Haun of the Blockchain Association, a16z

We have prepared a guide to the law this year, and why. Biden executives have been around for three years and have completed an infrastructure bill of over $ 1.2 trillion (and damage to the cryptocurrency clause). It is no small task because they are a small group now.

This makes Kristin Smith and Katia Haun important for the New Year.

Christine runs Blockchain, the largest business organization in the industry. Following efforts by Washington DC's most trusted partners, Kristin's group is one of the driving forces after an angry 11-hour discussion to resolve the industry's cryptocurrency problem this summer. Although this (rare) effort failed, this challenge helped BA increase its financial resources and skills. Payments have tripled and this fall they added full-time staff such as former lawyer Jake Chervinsky and new government chief Dave Grimaldi.

But the problem with the Alliance is that different self-regimes take time and energy. For example, BA sees Ripple as a member, so it's a puzzle. We were very disappointed with Coinbase when we planned to join Binance US as a member in 2020. After finally abandoning their sponsorship, they decided to work with Ribbit, Square, Paradigm and others to support their own political process. to support another organization, the Cryptocurrency Innovation Committee. However, I have heard that CCI has not yet elected a president. Therefore, the organization still has several months to develop its infrastructure before concluding an agreement with the National Administration of Radio, Film and Television.

This describes Katia Haun and the painting she created at 16z. Former federal attorney general, director of Coinbase and now partner of cryptocurrency giant 16z, he sought out former advisers Hillary Clinton and Biden, former cryptocurrency expert, former member of the Securities and Exchange Commission (SEC) of United States and Biden. . United States Commodity Exchange (CFTC).

The 16z have a super high impact pickup, and their working position is now fast. The Web3 Policy Center recently announced that it is providing policymakers with a strong start-up, especially since the game explains why cryptocurrencies should be focused on the law. What specific laws (and what terms work!) Can form the backbone of new cryptocurrency laws, address key issues, train employees, and catch up on things cryptocurrency? No commercial impact?

Now we need a uni and quick way of BA and A16z giving 1-2 punches for the new year.

9. SEC President Hester Peirce

Hester Peirce: Watch this NFT on OpenSea

“Mother of Crypto” may have been a nickname for Peirce during Jay Clayton's career. Today, he is more of a leader in encrypted night vision.

In Klaytn's day, the United States Securities and Exchange Commission did not illustrate regulatory cryptocurrency improving growth, but at least avoided avoiding the impact on struggling markets, has a management. and beyond the industry which the Commission still does not understand. Today winter is coming. Peirce is the last line of defense against Gensler, the soulless, melanin-tolerant White Walker. His role in life is to be the treasurer to the treasurer and do whatever he can to keep the industry afloat and put America's tech community back ten years or more. (Just keep warm. See Chapter 4 for details.)

Peirce criticized the United States Securities and Exchange Commission for its policy on Poloniex because of its ambiguity. Since 2018, it has been the buzzword of ETF cryptocurrency sites. He spoke honestly about improving the capital of non-millionaires, knowing where the private sector has been, where all of the growth of the US economy has been in recent years. In doing so, he supports the role of the US Securities and Exchange Commission in protecting investors, advocates for updates on securities regulation and oversees "the world" (with protection) and takes care of the bins. sand (preferably adults and children).

Peirce's voice has always been the epitome of self-awareness, ability, and self-control in Washington DC. According to the voice of someone who has done their homework, they are looking for solutions instead of blindly forbidding them. Hit all new and useful. what :

... not about USA to make risks more than possible, "stop" "the new product, the new product, the new product is also important to boys Business ... especially for protection against self-employment, which means having a new opportunity to try the product and do not Completion, new opportunities to make new research and experience, using new technology, the new technology is associated with the funding. But they can also use new technology to interfere with their banks. By investment we can do their money. . Businesses for investors are engaged in the impact on the business of investors and uses technologies in the same technology to indicate. "

Yes, please do more!

Cryptocurrency traders remember and appreciate good thinking. The crypto market has also cautioned. Crypto lawyers like authorities to offer legal solutions.

We hope there will be more!

Regarding token trafficking: “It is illegal to sell securities without disclosing the amount paid and the amount received ... but we are disappointed with the Commission's solution ... the digital property for sale is a title. do not provide more information on how to determine where tokens are safe to provide additional guidance or if they are sold safely under the security. "

like that!

Regarding the violation of “recording only”: “The crime of recording, even alone, is very serious. Our crimes can prevent these crimes and protect businesses from injury.However, we have to work hard to avoid them.Management due to measures and penalties, they lead to innovation and cause there is market growth through to innovation ... Consumers must choose between several negative options: spend less on expensive information and compliance, or, give up looking for new developments for fear of focusing on the rule of law. Port security management can resolve this grievance.

like that again!

About the ancestor: “We don't control the process, so we don't have to judge the pros and cons of the company. Sometimes the product itself. Sexual issues. The fact that we create investments by people. Forget the evidence. "

Most cryptocurrency experts welcome the idea of ​​legalization as long as it is used fairly and consistently, to the extent possible, and does not violate the Code. Peirce is starting to open up to decision makers because his work is truthful, collaborative, and non-judgmental. We hope and need it to protect this wall.

10. Kwondo, Laboratoire Terraform

Watch the NFT on Do Kwon: OpenSea

As of this writing (November 8th), I know I am referring to this year's "Speed ​​Horse" in the "Series 1" race. Ethereum has fallen nearly ten times this year. It shouldn't come as a surprise, but the real story of 2021 is Ethereum's blockchain space congestion, high costs, and the subsequent spread of a Series 1 competitor. Avalanche increased 25 times, Solana and Polygon increased 110 times, and Fantom increased 160 times. However, Terra is the winner with a surprising yield of 170x.

I gave Do this to different things.

1) Terra is one of the largest cryptocurrency investment firms in Asia, is one of the top 10 companies in Class 1, and has the greatest depth in Korea's major cryptocurrency market. 2) Terra is actually widely used as a liability for the second largest UST cryptocurrency-guaranteed stability currency, and the current market value of the stable currency is $ 7.2 billion, up from $ 0 last fall. (see). 3) The extent of the Terra infrastructure (Anchor is borrowed, Vega is derivatives, Mirror is synthetic security, Mars is AMM) can be compared to other blockchains other than Ethereum. It can be based on a fixed and interconnected technology (Cosmos cross-blockchain communication protocol).

The most important thing is to put your head in a fight against your opponent because he is able to fight back. Minutes before joining the onstage group chat with me, Mainnet 2021 was chased and left. And to counter it, they decided to file a complaint with the United States Securities and Exchange Commission. It's a fight he can win, and nonetheless, it's a support fight.

It is worth saying:

In the cryptocurrency realm, there are a lot of people who easily make it to the top 10 every year, but no one is on my list twice. An easy figure to repeat this year is Balaji Srinivasan, whose encyclopedic experience and raw materials are amazing. Sam Bankman-Fried, the world's richest man under 30, made his fortune, and Michael Saylor came very close to winning one of the world's largest organizations in history.

Chapter 3 10 Think About Bitcoin

1. See the point of view of Peter Schiff

"The gold will be mistreated and your descendants will think the gold digger is a silver seller by picking up the leftovers from the trash." --Soj

Bitcoin has made lunch its golden decade. It should be a boom time for gold lovers with high inflation, low confidence in government, and prosperity in commodities, but gold has gone faster, younger, and stronger than Bitcoin. If you've invested $ 100 in gold in the past 10 years, you can get $ 102 back today, at a much lower inflation rate. At the same time, investing $ 100 in BTC during this time brought in $ 1.7 million. Oh, Peter Schiff.

(Source : Unomics)

Bitcoin also shows no impact. Given the direction of the macro wind and the many flexible cycles, it's hard to imagine that Bitcoin would soon lose its place and other cryptocurrencies would return. By policy, investors are more confident than ever in the digital currency. There is now a rich legacy of access to Bitcoin, including other early adopters (Paul Tudor Jones, Microstrategy, Tesla, El Salvador, Miami, etc.) leading the way, and "schools will be coming soon" to "them. schools here ".

Marty Bent best summed up the strong tail winds behind us. He stressed, “Due to low commodity prices, the actual value of the contract is negative and inflation will continue. Bitcoin is still the best option. Investing in organizations that look to inflation protection and of the stock market at a cost Only crypto assets, crypto It will continue to push the rest of the assets Of course, because the results change rapidly in their different materials.

If much of the easing policy devalues ​​the currency (duh), as Raoul Pal pointed out, we would have more chart on this (the Standard & Poor's and Fed balances The simultaneous rise and housing costs are a new QE, etc.) have been delayed, and We are doing.

(Source : Raoul Pahl, Bloomberg)

coin-operated printer ... buy everything. Especially the orange pieces.

2. King or Kings: there is no major setback

No matter what Sotheby's says, it's not because ETH is money, but I think there is a 20% chance of “going back” next year. If ETH can outperform BTC, it's not because it's a high-level 'currency', but because the market is profitable for the world's most unique consumer in terms of platforms. count and more income and potentially more important than digital gold. In other words, we treat BTC and ETH like M0, Google.

It is not an old idea. BitMEX developer Arthur Hayes broke this comparison in an interview post, saying:

ETH is the best virtual machine in the world and cannot (I agree) be the best virtual machine in the world.

Bigger cryptocurrency profits will be bigger than the biggest decentralized tech 'company' (I agree).

In other words, he can still assume that "cryptocurrency" as a whole would be better than "Bitcoin" (i.e., BTC is declining regulation) while assuming that Bitcoin will always dominate its international ranking. For a top tier competitive counting platform, Ethereum is a simpler target than Bitcoin. Ethereum's insufficient capital limits the capacity of its global portfolio. This year, we have proven that if the Ethereum listing gets too expensive, another initial layer could be quickly removed for the need to tackle the cryptocurrency market. (Further details on this issue are provided in Chapter 8.)

On the other hand, Bitcoin companies are rarely just written notes. The competitors of the pure "money" game are not dangerous. Dogecoin, Shiba Inu, Bitcoin Money, Craig Money and their forks are useless. You might like Doge! Many smart entrepreneurs do it, like Su Zhu. He likes "Important" Doge because of word of mouth, community, fun, not the main user base. It will also do so in 2021. Send push memestocks to the moon.

I understand this argument, but it does not meet the criteria. Jokes are like a cliché too, and even early adopters will know they are sitting on real profit and looking for cheaper jokes. The reflections of the downtrend are not interesting. If the pattern is reversed, no organization will buy a wall for the charming Shiba Inus. Once you have your taxes in place and you know the extent of their responsibilities, a non-heavy consumer group can put many consumers at risk in the first quarter. Bitcoin investors are not new to capital gains tax. There can be many Dogecoin players.

Of course, there are two pieces of evidence for the use of more coins, Zcash and Monero, in currency talks, but holding them requires a long-term commitment to some really friendly, private and passionate business at the base of the currency. pain. He said it might be a piece of furniture you need, “If the country is broken you have to run with a bolt bag and a brain ledger / wallet. However, the smartest thing I have done is to remove the "super long ZEC" in December of last year and put it back on ETH. but Multicoin's privacy job is fair. ZEC still makes up 1% of my data and I still love Zooko, but it's not in my top 5. (Others have passed the ZEC, it's not my fault!)

Aside from Ethereum, Bitcoin lacks credible hype competitors, but ETH also deserves its own flashback. Bitcoin's share has increased from 71% this year to 42%. It's bad. However, ETH's control over smart contracts has also increased from 80% to 60%, which could add value to the new 'partnership' which will be made public as early as 2022.

(Source : CoinMarketCap)

Cryptocurrencies may have more advantages, but there is nothing wrong with owner General Electric during the internet boom. There is nothing wrong with the interest of General Electric. General Electric's prices fell from $ 100 in mid-1999 to $ 450 in mid-2000 and to $ 185 in mid-2003. In just four years, he was "bored" 85% above the level seen in bull markets. If Web3 goes crazy on Web1, it could very possibly be the development of Bitcoin. Would it be disgusting if BTC went from $ 275,000 to $ 125,000 next year?

3. Multi-chain reserve

We'll talk about collaboration in Chapter 8, but for now I think Udi is right. The application will run. Bitcoin holders will hold and use Bitcoin to trade digital gold without having to worry about the contents of the chain or the indexed Bitcoin derivatives they use in the process. As long as the basic Bitcoin blockchain is vibrating, a block is created as a payment layer every 10 minutes. More than 1.5% of Bitcoin devices have been wrapped in Ethereum via BitGo, doubling the closing price at the end of last year. However, that could be the end of the iceberg as millions of bitcoins begin to enter other blockchains as well.

Some needs to drive Bitcoin:

BTC becomes a storage space for the other L1s and ETH becomes a candidate.

An inter-blockchain bridging protocol like Rune will free up more P2P exchanges.

Concerns about independence, resistance to censorship or guaranteeing stability coins could spark interest in the Bitcoin guarantee.

The good guys at Ethereum can argue that this is why ETH is such a great value and such an investment. ETH is compatible with other EVM chains and L2 rollups, and promises to be as durable as Maker's Dai. But it is a step backwards. The price of BTC is 2.5x before, its products are based on lower operating costs and therefore less expensive, and the new BTC cap based on DeFi guarantee is higher than that of ETH. We believe that the packaged / synthetic bitcoin that can be traded on other blockchains will double by 2022 (75% think we will see at least 3% wrap). Bitcoin holders have known for a long time that they can use their holders on DeFi. You can hire cheaper services in the middle. (More details on the DeFi assets driving Bitcoin interactions can be found in the report.)

4. Bitcoin ETF "Gifts"

Since ETF approval is one of the most important aspects of this year, we will take the time to discuss ETFs in Chapter 5. They also address the Securities and Exchange Commission's 10-year lack of capacity. United States (I know ... we are close to Chapter 4). about Bitcoin that all ordinary people should hate. It is a difficult, impossible and horrible investment that causes Wall Street to support rich and zero opportunities.

Bitcoin futures ETFs are highly toxic, but the US Securities and Exchange Commission has long prevented the stock markets (and Wall Street) from disrupting the approval process. The 'gray transactions' (Chapter 5) and its entry into one could support companies that require investors to invest in GBTC free market bonuses and some retailers must hold Bitcoin in tax-exempt pensions. So an eight-year delay by the United States Securities and Exchange Commission (SEC) limits Bitcoin's liquidity to 5% in assets like ETFs. Early approval can lead to moderate risk for Bitcoin deposits. Wall Street is manipulating the Bitcoin market.

I will post more estimates of my ETFs to others, but I bet all closed BTC funds on ETFs will be less than 10% of Bitcoin stocks over the next five years. As with other large design firms, experts will cut costs by making direct calls. If you see more than 10% of Bitcoin pegged to the ETF model, it may be because it is available in “other” ETF products. For example, Ark Invest owns $ 400 million worth of GBTC in ARKW.

5. The decline of the Chinese Bitcoin market

For many years, Chinese miners accounted for over 70% of Bitcoin's hashrate. The CCP then repented last year and directly decided to ban it only this spring, resulting in millions of dollars being spilled in Western countries. West Security is also the most amazing card I have seen in the past 8 years.

(Source: University of Cambridge)

Currently, this study is by far the best and I believe bitcoin mining in China has yet to reach zero. However, that doesn't drive the map crazy.

It's hard to overstate how incredible this development is. Since 2013, the Chinese shadow of the Bitcoin market has remained. Traders are concerned about the potential impact on network security if China's mining capacity is shut down. The result is ... certainly nothing. Hashrate FUD. Lawmakers are concerned about the mine's carbon footprint, and China has one of the most obsolete power plants, which has also been phased out. Security FUD. Since then, China has violated all sectors of the economy and tried to control capital, thus providing historic opportunities for integration with open financial markets. BTC is currently at an all time high. Geopolitical FUD.

Most important! Before the CCP took them out, we received clear evidence from the miners that they would move their production capacity to a more profitable environment, regardless of electricity consumption. Every year during the rainy season, it can guarantee that the production capacity will be sent to clean and water-rich Sichuan province, and back to power plants last year. Research from the University of Cambridge reveals surprising results from this period.

(Source: University of Cambridge)

Last year, despite China's important role in the mining industry, “US giants like Fidelity and DCG could enter [the competition] ... Global Bitcoin also ranks first in the mining rankings.

This is an unnecessary mistake, and it is hard to imagine that the CCP would not just remove the restriction. Despite the focus on marketing and investment management in 2022. It appears these policies have been reviewed, and why. The market is only expected to return to the continent around the middle of this year (70% confidence). Especially when the CCP recognizes that its work has proven that mining can be used to generate clean energy. Who will bring these poor miners?

Crypto Migration, Watch this NFT on OpenSea

6. Bitcoin as a clean energy booster

Senator Warren warned that we must "fight to destroy cryptocurrency mining" to protect the planet. The EU's leading economist has warned that the environmental costs of investing in digital currencies "are skyrocketing". We also reported that the “cost” of cryptocurrencies in ESG data has increased. As Bitcoin is really toxic.

I recognize that the global Bitcoin network uses a lot of energy as world leaders, media and responsible stakeholders have taken issues into account. It is optically bad. However, Bitcoin's energy consumption is only "problematic" because most politicians and key journalists are stupid, lazy, or dishonest. Most of us.

Let's talk about the role of Bitcoin in the clean energy of the future. tldr:

It is politically impossible to have global broadcasts on time.

However, we should try to limit the larger emitter to "curve the curve".

Bitcoin can help reduce emissions by recycling waste or shutting down energy.

Mining infrastructure can help support new, clean infrastructure.

At the same time, Bitcoin also offers S and G ESG solutions.

Let's do it one by one.

** Ib. Managing emissions is politically impossible. ** For example, can someone be honest for a moment? China will not unilaterally limit its emissions under the framework, and its contribution to global emissions exceeds 50%. Some Chinese companies now pollute more than in China. In recent climate talks, China failed to make any meaningful commitments. Why are they doing this? Likewise, do you think Russia will unilaterally rush to the air summit? Turkmenistan has a population of 6 million people and 31 of the 50 highest methane emissions in the past two years. Oh, and that means the gates of hell. India, the largest independent country in the world, plans to reach an average carbon level by 2070. 50 years! very good! Who can 50-year forecasts reach net zero emissions before big gains and insufficient costs (if not the end of the thermoelectric and the smart)? Carbon capture and clean cryptocurrency. Or time and political chaos. These are all optional.

** 2. Cryptocurrency is invading the world, but Bitcoin mining is not. ** Lady Lyn Alden addresses this in a recent article, but Bitcoin's environmental impact should be based on its financial impact. The "problem" is proof that the job will only disappear for a short time (if it fails) or turn into a phase of international litigation of $ 20 trillion and most importantly Fedwire added (or change), in using 1% of Earth's energy. That's a lot, but if cryptocurrencies can achieve mass automation of financial services in other ways, they won't.

A decrease in the appreciation of Bitcoin means a decrease in the share of secure transactions, which means a decrease in the strength of the hash number.

Lieu : * Lyn Alden

First of all, we know that most of our Bitcoin holders are interested in Bitcoin's current financial plan. The ratio of blockchain rewards to total market value has been reduced, and the risk is that, in any case, the cost of blockchain rewards does not attract enough energy to keep the network secure.

(You'll have a hard time using the word "hyperinflation" in most business circles, many fear this will turn out to be selfish instructions. The fact "21 million" is.)

** 3. Bitcoin Recycled Energy: ** It turns out that some of the cheapest clean spaces in the world have been “off-grid” pending improvements. It would be great if there were mobile users without any area restrictions! According to the Sichuan report, proof-of-work miners are consumers who greedily absorb the lowest kilowatt-hour cost, such as water from a 3D mapping terrain. (Actually, Bitcoin miners are just nice to Daniel Plainviews). This is why Nick Grossman, Square, Ark Invest and others call Bitcoin "the battery of currency".

At first, I refused to use this framework. Sounds very simple, right? But I got it.

Carbon monoxide emissions (methane leakage) and combustion (methane to carbon dioxide) are prime examples of the role of batteries. The United States consumes more fuel daily (equivalent to 150 TWh) than Bitcoin peaks in annual consumption. It was Lynn again. “The University of Cambridge estimates that the global flue gas recovery potential by 2021 is eight times that of the Bitcoin network. In other words, almost the entire Bitcoin network will experience its peak. In the States - United by abandonment in May 2021, no matter from the other world, Burning converts 100% of unwanted products into Bitcoin, not theoretical, it's magic.

This is nothing new!

I wrote in my thesis two years ago about some companies doing this (like Crusoe). It is not a secret country. This dynamic cannot continue. For example, 20% of North Dakota's CO 2 is not collected and is arrested and burned. Bitcoin miners specialize because they can capture value in remote areas like North Dakota. It tolerates network downtime and low bandwidth environments, even compared to other power intensive activities such as operating server farms. higher degree.

Policy maker: My God, your question is not about Bitcoin energy harvesting, but about the energy behavior of American consumers and the electronics industry. I know this sounds like a really good story and it's honest, but there isn't much there is to bitcoin for America! (Bitcoin bears are a different story. All bears must die.) With some funding, Bitcoin mining in the United States could generate negative emissions in a few years.

Ted Cruz understands! !

“50% of the country's carbon is burned and now it's burned in the Permian, West Texas. I think now is the right time for Bitcoin as this energy has been wasted. "It was dumped. Because there was no transmission equipment. They just burned it to get it where it could be used."

There can be a lot of potential here. We can never waste the benefits of this CCP.

** 4. Bitcoin is a green energy stimulator. ** Think of Bitcoin mining as a potential net zero emitter with a sausage design for big power companies. The processor turns the waste into something. It is edible. The elite of the coast will ridicule this idea. They don't need Bitcoin's pink slime. Because they are not hungry for cash (or good beef). But what about communities where investing can only help to clean up budgets? Or is it a new business with revolving capital, but consumers are now less demanding for this clean investment?

Bitcoin miners are particularly marketable because they optimize for a certain difference (minimum kWh) and track the “ultimate power” of the cell phone for power that is not easy to harness in transport. We can see that using new, clean electricity means less labor, and these cities must contribute to the slowdown in demand. So I took them to the neighboring village. The reverse is also true. In low-income countries where energy is cheap, miners can get money or help produce clean energy. In low-income countries, miners can either finance or bring in capital in exchange for cheaper energy policies. (Ark Invest reported on how this model works, so you can identify these ideas for yourself.)

Bitcoin mining is already a topic promoting a cleaner business, and its frequency is increasing. In addition to the accident, Niagara Falls also has a mine site that was once a former power company and now uses electricity. Its owner has become a coal-fired power station in China. There's also North Vancouver, where 96% of the energy used by Bitcoin miners is used for heating, a technology developed by Mintgreen. Another new update will appear.

If you don't believe, I don't blame you. I thought it was more business than content. But China has undergone all the changes. Ben Thompson pointed out in a recent article:

“One of the biggest mistakes we make in the community is to think that we are low on energy… The claim that Bitcoin actually provides incentives to invest in more energy is self-justified, but this doesn't mean it's wrong. The coins provide support for investing in energy, which in itself helps, but that doesn't mean it's wrong! "

Nic Carter has seen a similar change from unscrupulous advertisers this year.

“Bitcoin mining is converging with the energy market at an astonishing value, causing an explosion of innovation that will not only decarbonize Bitcoin in the medium term, but also benefit more and more renewable energy grids. importantly, only Bitcoin. "

He said this was the result of a lifetime in mining life (using newer chips for longer run times and older chips where the cost is less than marginal kilowatt hour) and poor growth in ASICs. (30% of mining from chips with over more than 0.5 years). It is a grid-based hybrid mining system and an off-meter mining system (the difference between miners in the application response system).

In a free statement on Bitcoin's own capacity, Square said, “As more people start to use solar and wind power, [we] can announce potential new benefits for electricity, such as fresh water resulting from the elimination of CO2. It makes air, or green hydrogen. "

It can be the start of a great friendship.

(Sources supplémentaires : Lyn Alden *, Nic Carter, Square, Nick Grossman et * The B Word)

** $ 5. Cost: ** It can be said that the financial (25 times the carbon) and military-industrial (50 times the carbon?) Complex should be included at least in each case in the environmental comparison. However, ESG activists are trying to eliminate the real problem with Bitcoin, unless their perception of negative "E" externalities is wrong, and in the process also ignored the "S" and "G" shape.

Alex Gladstein of the Human Rights Foundation writes it best in an excellent article on the hidden value of the dollar. In other words, even if policymakers think Bitcoin is hopeless, unnecessary, and destructive to the future of the world, the preference should not be any different as the oil dollar takes over the management of control. The process promotes greater consumption of fossil fuels. Many people believe in the value of Bitcoin as an investment in experimental relationships and new governance, and Bitcoin's S and G offenders can be said to be making up for E. Bitcoin is political. .

There is, of course, another "E" which is a belief for policy makers. This is the impact on businesses. The mining industry in the United States is a huge market, miners listed in the United States are worth nearly $ 1.5 billion in BTC at current prices, generating hundreds of millions in revenue each year from potential mine leaks from China. And their income is also high, which has improved. This is what Senator K Cruz said in his remarks on the matter at the Bitcoin conference in Austin this fall.

The build can only result in a unique combination of Ted Cruz on the right and AOC on the left. If you want to develop the activity that cryptocurrencies can bring and you want to encourage and support green investments, support Mining! It is a zero-sum global market, which means that sanitation can drive out the more expensive “black spot”. The end result will be a low carbon, low consumption Bitcoin network run by Western countries.

(This does not have to be done at the government level!). Nic also noted that ESG investors can invest in public sector miners that only have renewable energy sources, like Iris Energy, and lower the cost of green mining to achieve higher returns, similar to government funding.)

Okay. Let's move on. But when the political and media hype on this topic, I can't help but appreciate it. Do your homework quickly.

7. Proof of work works because proof of work is effective.

"PoW and PoS are not interchangeable. They are not complete. They are different and should never be compared or compared." - Meltem

This is one of the areas where the two sides clash, such as the claim that "BTC is money, ETH is not money". The proof of operational power stretches over time to prove that the network provides a guarantee of fair payment to the world without the trust of network owners who are easily compromised. The separation of market promotion and ownership responsibilities is essential for networks that do not have to compromise on profitability.

In contrast, there is a need to treat a proven network (using token holders as a complete management organization) as a business analogue. Every witness network in play carries the risk of mediation, censorship, and abuse, but that doesn't matter.

True decentralization of PoS across thousands of interacting PoS blockchains, including long-term support tokens, emissions, policy management, usage plans, etc.

You don't want to have money like that. In this system, Elon Musk owns most of the income and voting rights. Core network companies are profitable and incur high costs and taxes. There is a lot of energy in half of every change. On the other hand, if the same proportion is written in an independent taxi service, there would be no problem because it is a web3 application.

The proof-of-work realization paved the way for proof-of-work research and made it even more important. This does not mean that PoS is a better model of security than PoW. This does not mean that POW is invincible. This means that PoW is the first and probably still the best for non-state applications.

(Learn more about PoW and PoS security: only the strongest and most self-destructive).

8. Proof of work against minority rights.

My former CoinDesk colleague Pete Rizzo wrote a thought-provoking article claiming that Bitcoin's interest in contracts, evidence of mining programs, and user-activated 'soft forks' " Bitcoin is the only cryptographic protocol that protects the rights of minorities. sau. The “dictatorship of the majority” is given by the power curve.

Reading a Twitter conversation can be like learning or talking, but it could be one of the most important new schools to understand. Five years have passed since the difficult controversy in Ethereum's history, and four years have passed since Bitcoin's "user-activated soft fork" ended the battle of exchanges, miners, users and hearts. the developer. The dangers of political instability and how inaccurate the problem of political consensus will become can be explained unless you have experienced them.

For example, do you think the best way to check is to use validator-activated soft fork code, and do you think the support mechanisms are tied to the market on a regular basis? Or is the support mechanism an owner-activated hard fork code most often connected to the capital layer?

Bitcoin's preference for quiet transactions is essentially "user strength beyond isolation". It is to keep the family united, like the "pull" that the owner must do. If users have enough support for the fork, it will eventually get used to the new process. On the other hand, Ethereum looks like an iOS update. Yes, the new brackets are "optional" for users, but only in this sense will users be able to track changes or not access the root network. The internet blockchain is not run by Ethereum, this kind of tyrannical industry will fade over time. Exit = Select.

I have no good idea for this as I have investments in Bitcoin and Ethereum and I think both will be successful. If you are a beginner, it is worth doing your research further. It is also a strict part. Level 301 Sorry. It was a while, but after 800 hours of writing I didn't have time to make it easy for myself.

(Thoughts of Vitalik, Thoughts of Peter, Controversy of Haas, if this is your first time, here is a book on the myth of scaling).

9. Bitcoin roadmap

Four years have passed since the massive Bitcoin reform and the sale of the fork, and this time around, it's rarely a problem. This spring, almost every Bitcoin mining platform around the world expressed support for the “Taproot” update, which went into effect in November.

(As a representative, I can easily follow the entire lifespan of Taproot BIP, regardless of the protocol upgrade to 200 other encrypted networks using Intel products.)

Taproot makes Bitcoin trading cheaper for beginners. Acquired by Taproot, the "Schnorr Signature" improves Bitcoin's privacy by making all transactions (easy payments, lightning-based and multiple signatures) the same. Prices and changes. And you can start the next step in the development of the Bitcoin Lightning network. The next step in the development of the Bitcoin Lightning Network, after many years of writing, could explode next year.

To be fair, Taproot is a big advocate of privacy and lightning, but not so much for the future of Bitcoin smart contracts (we've been talking about "sidechains" since 2014, though, but they're lost). As discussed earlier, while Bitcoin can be packaged as a commodity on the scale of other platforms, that still doesn't technically make Bitcoin a new smart contract, both internally and externally. I have invested in a lot of businesses that depend on lightning (such as Kolider * and currency trading over time) and hope Jeremy Rubin's Sapio succeeds. So I was very careful that there was a winner among them.

However, I've been here long enough to limit my interest in Bitcoin applications outside of the pay-as-you-go and buy-at-cost use cases. Only one option for Fedwire is big enough. Thank you. In fact, Bitcoin has 300,000 on-chain Bitcoin payments per day and currently 800,000 Fedwire payments per day. Bitcoin has already overtaken Fedwire in exporting, providing hosting services typically to hundreds of thousands or thousands of small businesses that all use it at once. lightning can make it faster.

While the development of Bitcoin appears to be building a rocket, the growth of Ethereum is historically similar to building a Silicon Valley startup. Bitcoin is a bigger stake (this issue will be discussed, so to speak, in Chapter 6), and it requires rocket-level security research to establish a reliable FedEx crypto alternative to Fedwire. Regular updates and investments in key Bitcoin policies and communication channels show what I'm talking about.

V22.0 (released this fall) extends Tor integration by integrating Bitcoin into an anonymous online interface, secondary anonymous communication, and simplifying Bitcoin's security and data transfer capabilities, allowing users to anonymously delete . . Blockstream's efforts to place the Bitcoin satellites in a strange sound environment, but this ensures that network access from anywhere in the community (and the internet) will explode.

This does not mean betting on the future of Max, which Bitcoin is crazy about. Instead, it's a liferaft for current and future refugees. "Slavery will not happen everywhere at once. It means there are over 190 countries and more borderless exchange rate processes." This work is very important.

(Read more from Bitcoin Magazine: Aaron is the Senior Bitcoin Tech Writer)

10. Lightning strikes El Salvador

The Lightning Network appears to have opted for the ERC-20 backed by the US dollar as a payment method. Although the potential channel has grown explosively this summer, the current year is tripling in terms of BTC, but the total capacity is only $ 200 million. limit.

Despite all the success they have had, neither the ERC-20 stable coin nor any other crypto device has done what the Bitcoin "currency" has done this year. Of course, this means that Bitcoin has gained ground in El Salvador. If you make a closed payment without logging into your fiat storage, everything starts to happen in its usage.

(Source: Arcane Research)

Compared to DeFi, the numbers we are talking about are still low, but we are talking about 6 million legal tender globally, no tokenized fiat currency that can track cryptocurrency tracking and close in an instant.

I believe my opinion on lightning will be more false. However, thanks to strong support campaigns on Twitter, Taproot and Ukele, Lightning's capacity is expected to reach 30,000 BTC by the end of 2022 (10x next year). Other countries like Paraguay or Ukraine might be better off if they follow Bitcoin game theory.

I like "La Foudre". It's really cool. I really like the demo campaign. I love the news that 2.7 million Salvadorans will drop $ 30 in BTC when they release a new Chivo wallet and allow users to pay with Lightning on their phone. lightning charge with your phone. I believe this is all propaganda. I love that Twitter Quick Tips are available online to 186 million users. While Snowden estimates that there are 650 million uneducated seniors in the country who can take action similar to El Salvador that is part of the after-dollar financial plan, I'm sure he's seen it.

Additionally, I want Bitcoin to work as a fiat currency and I don't want to pay 20% tax on my coffee order. Just thinking about how stupid America's cryptocurrency policy is makes me happy.