Jul 10, 2022 • 7M

Weekly Rundown - July 10, 2022

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The crypto market seems calm for the moment.

The problem: we still don’t know what’s going on behind the scenes with lending platforms, miners, and funds that need to sell crypto or fix holes in their balance sheets. We’ll never see any of that reflected in any of the metrics—on-chain, technical, or anywhere else. As a result, it’s hard to get a sense of perspective about what, if anything, we need to worry about.

Also, what’s going on with the $1 to $4 billion worth of bitcoins that miners posted as collateral for loans or the terms of the return of 142,000 bitcoins to those who lost them in the Mt. Gox heist?

While that seems like a small amount—probably about $5-7 billion combined—with so few buyers and such little liquidity at the moment, it’s enough to make a mess of everything.

I talked about these considerations, some metrics, and my outlook for altcoins in my most recent update.

Get the Update

If you’ve noticed, I haven’t published many articles or tweeted much for a while. I’ve had a lot of things competing for my time, nothing to do with crypto.

In last week’s poll, I asked “is the bottom in?”

78% of respondents said no. Ye of little faith!

What do I think?

It doesn’t matter. You’re getting amazing prices on crypto. If the June 18, 2022 drop to $17,500 remains the lowest price from this point forward, we’re already in a bull market. Otherwise, I see no reason that bitcoin’s price can’t fall to $14,000.

Will that happen?

We shall see. I’m following my plan.

See My Plan

Scroll down for some content you may enjoy.

Sam Bankman-Fried Described Yield Farming and Left Matt Levine Stunned

Bloomberg published the transcript of a portion of an older episode of Oddlots. In it, FTX CEO Sam Bankman-Fried described yield farming as a bunch of people speculating on imaginary boxes that create tokens.

To be fair, this is an accurate depiction of many DeFi projects.

Does that make them worthless? If a protocol is designed to make money, and it makes money, isn’t that the point? And if people agree on a price for the tokens that power that protocol, isn’t that a measure of value?

Over time, the market will drive the value of useless protocols to $0 and drive the value of useful protocols to some other valuation.

Nobody really knows which protocols will go to $0, but if history has shown us anything, it won’t be based on utility or intrinsic value. It’ll be based on the price buyers and sellers agree on, of which utility and intrinsic value play only one part.

If you can sell a half-acre of dirt for $100,000, you can sell a token for $1 (and you don’t even need government subsidies or tax breaks).

If you understand this tweet, you understand DeFi (true DeFi, not CeFi-DeFi).

ProShares Bitcoin Short ETF Grows Over 300% in One Week

ProShares, an ETF provider, launched the BITI ETF, a new way to make money when bitcoin’s price goes down.

When bitcoin’s price goes down, BITI goes up. If you buy BITI before bitcoin’s price goes down and sell BITI after bitcoin’s price goes down, you make money.

This is the bearish version of BITO, the ProShares ETF that debuted in November 2021 near the peak of the market.

Yes, the bullish version came out at the peak of the market, the bearish version came out last week.

Does this mean the bottom is near? Or already in?

If you’re in the “last time this happened, bitcoin did [fill in the blank]…” crowd, you might come to one conclusion. I’ll just chalk it up to Wall Street trying to make money in whatever direction they can.

The timing, though, bears noting.

Read Anthony Lee Zhang’s post, Growth Hacking and Decentralized Finance.

Not Investing Advice
Growth Hacking and Decentralized Finance
The Silicon Valley consumer tech scene popularized a development strategy often referred to as “growth hacking” or “blitzscaling”: scaling up your customer base very quickly, well past the point where your infra/product can really support it, and fixing the product ex-post once you have a large enough user base. This kind of “fake it till you make it” s…
Read more

In this post, he looks at the way growth hacking strategies contributed to the rise and fall of VC-backed crypto projects. It’s a fresh, interesting take on a well-traveled subject.

For the first time, I’m posting a job announcement from a recruiter. I figure, if they’re asking me, I might as well ask you.

I can’t vouch for the recruiting firm, Satoshi Solutions, nor the accuracy of the description, but I have no reason to doubt its legitimacy. If you see any “red flags” please comment below.

Leave a comment

Read the description below and if it seems like something you want to learn more about, email JCollins@satoshisolutions.co.uk (tell him you saw the announcement here).

My client is looking for a technical copywriter to create, develop and design written content and documentation to enhance the experience for the protocol and its community.

You will be collaborating across the team to create and edit original copy that is accurate and well researched, writing clear and error-free content that reflects the client's voice.

It’s a career-defining opportunity to join as an early member of a fast-growing project where you have the autonomy and creativity to make the role your own.

Job requirements:

  • 3 years’ experience in the advertising industry

  • Above 1 years’ of related experience in crypto technical products writing

  • White paper writing and typesetting experience is a plus

  • Experience in dealing with different creative projects at the same time

  • Fast learner, project research ability, and a genuine interest in cryptocurrency, blockchains, and other Web3 technologies

  • Flexible and able to turnover quality copy quickly when needed

  • Comfort and/or experience with remote work

  • Excellent short-form and long-form writing skills in a variety of approved voices and tones

  • Work remotely - not commute. Lots of flexibility

  • Autonomy and freedom - you decide how to achieve your best work

  • Friendly environment - good vibes only

  • Collaborative team - you'll not be alone

  • Build a new industry - help define the future of the web

Relax and enjoy the ride!