NFTs are Dead?
Headlines often kill off nascent industries during bear markets. According to journalists, Bitcoin has died over 450 times. The hype cycle is a common pattern, and cynical headlines capture the disillusionment that follows periods of inflated expectations. Lately, everyone has an opinion about NFTs. They are the future of everything. They are a sham. And everything in between. What’s going on here?Culture MarketsOne definition of culture is “the way of life of a society.” Fashion, art, and en...
NFTs are Dead?
Headlines often kill off nascent industries during bear markets. According to journalists, Bitcoin has died over 450 times. The hype cycle is a common pattern, and cynical headlines capture the disillusionment that follows periods of inflated expectations. Lately, everyone has an opinion about NFTs. They are the future of everything. They are a sham. And everything in between. What’s going on here?Culture MarketsOne definition of culture is “the way of life of a society.” Fashion, art, and en...
Currency Debasement 101
Governments are unable to resist the temptation to create free money for themselves. Money serves several critical roles in an economy. It is a unit of account, a medium of exchange, and a store of value. Currency is a tangible form of money commonly used as a medium of exchange. The challenge, as Nik Bhatia explains in his book Layered Money, is that most currencies ultimately fail because governments are unable to resist the temptation to create free money for themselves. Nik cites the Roma...
Currency Debasement 101
Governments are unable to resist the temptation to create free money for themselves. Money serves several critical roles in an economy. It is a unit of account, a medium of exchange, and a store of value. Currency is a tangible form of money commonly used as a medium of exchange. The challenge, as Nik Bhatia explains in his book Layered Money, is that most currencies ultimately fail because governments are unable to resist the temptation to create free money for themselves. Nik cites the Roma...
Where is the bottom?
This is the second installment in my Where is the Bottom series. If you missed Part One, you can find it here >On Chain IndicatorsIn the last month, MVRV, a ratio of current BTC market cap relative to cost basis, bottomed out at 0.94. During the March 2020 drawdown MVRV fell to 0.85 and dipped as low as 0.7 in December 2018. A further 9% or 25% drawdown would send MVRV back to those levels.Unlike MVRV, which measures the value of held coins relative to cost basis, SOPR measures the value of s...
Where is the bottom?
This is the second installment in my Where is the Bottom series. If you missed Part One, you can find it here >On Chain IndicatorsIn the last month, MVRV, a ratio of current BTC market cap relative to cost basis, bottomed out at 0.94. During the March 2020 drawdown MVRV fell to 0.85 and dipped as low as 0.7 in December 2018. A further 9% or 25% drawdown would send MVRV back to those levels.Unlike MVRV, which measures the value of held coins relative to cost basis, SOPR measures the value of s...
ALEX Yield Farming Scenarios
There are several factors that can affect the performance of a yield farming strategy. This post examines how price action and total value locked (TVL) affect the performance of three yield farming strategies on the ALEX protocol in the Stacks ecosystem: staking ALEX and providing liquidity to STX-ALEX and STX-xBTC pools.ALEX TokenomicsFollowing a $6M private financing round, ALEX recently issued ~315k tokens at $0.24 per ALEX during an initial dex offering (IDO) on its launchpad. It is also ...
ALEX Yield Farming Scenarios
There are several factors that can affect the performance of a yield farming strategy. This post examines how price action and total value locked (TVL) affect the performance of three yield farming strategies on the ALEX protocol in the Stacks ecosystem: staking ALEX and providing liquidity to STX-ALEX and STX-xBTC pools.ALEX TokenomicsFollowing a $6M private financing round, ALEX recently issued ~315k tokens at $0.24 per ALEX during an initial dex offering (IDO) on its launchpad. It is also ...
