GM Friends,

It`s October 6th and as I sit here writing this, the market makers are letting Bitcoin teleport back through $27.600 whilst Ethereum looks like it wasn`t ready for those Futures ETFs and came back to $1.630.

Today’s hot picks:
🌶️ Ethereum Futures ETFs started trading
🌶️ The Ethereum Bull Case
🌶️ Arbitrum season 2.0 Hypothesis → My Portfolio
🌶️ 5 Tips to become a DeFi Expert

𝗠𝗶𝘅𝗶𝗻 𝗡𝗲𝘁𝘄𝗼𝗿𝗸, 𝗦𝗘𝗖 𝗕𝗧𝗖 𝗘𝗧𝗙, 𝗠𝗼𝗻𝗲𝘆𝗚𝗿𝗮𝗺 𝗪𝗮𝗹𝗹𝗲𝘁, 𝗠𝗲𝘁𝗮𝘃𝗲𝗿𝘀𝗲, $𝗖𝗥𝗩 𝗗𝗲𝗯𝘁

1. 💼 𝗠𝗶𝘅𝗶𝗻 𝗡𝗲𝘁𝘄𝗼𝗿𝗸'𝘀 𝗥𝗲𝗰𝗼𝘃𝗲𝗿𝘆 𝗘𝗳𝗳𝗼𝗿𝘁
   After a staggering $200 million exploit, Mixin Network's founder announced users will only access 50% of their funds for now. An interesting development: Mixin has offered the hacker a whopping $20 million bug bounty to return the stolen assets and is also mulling over issuing "bond tokens" to compensate users.
   ▶️ 𝗥𝗲𝗮𝗰𝘁𝗶𝗼𝗻? The DeFi community watches closely as Mixin navigates this crisis, shedding light on the vulnerabilities in the DeFi space.

1. ⌛ 𝗦𝗘𝗖 𝗗𝗲𝗹𝗮𝘆𝘀 𝗕𝗧𝗖 𝗘𝗧𝗙 𝗗𝗲𝗰𝗶𝘀𝗶𝗼𝗻𝘀
   The SEC postponed decisions on Bitcoin ETF applications from big players like BlackRock, Bitwise, and more. Despite a past court loss over ETF rejections, analysts remain hopeful, even as the wait continues.
   ▶️ 𝗦𝗲𝗻𝘁𝗶𝗺𝗲𝗻𝘁? These repeated delays highlight the regulatory uncertainties in the US crypto landscape.

1. 🌍 𝗠𝗼𝗻𝗲𝘆𝗚𝗿𝗮𝗺'𝘀 𝗗𝗶𝗴𝗶𝘁𝗮𝗹 𝗪𝗮𝗹𝗹𝗲𝘁 𝗥𝗲𝘃𝗼𝗹𝘂𝘁𝗶𝗼𝗻
   MoneyGram announced a non-custodial digital wallet, aiming for Q1 2024. This product promises seamless cross-border transactions, a unique cash-out feature, and robust compliance—all under the respected MoneyGram umbrella.
   ▶️ 𝗙𝘂𝘁𝘂𝗿𝗲 𝗩𝗶𝘀𝗶𝗼𝗻? MoneyGram's strategic foray into crypto integration signifies the blurring lines between traditional finance and digital currencies.

1. 🕶 𝗠𝗲𝘁𝗮'𝘀 𝗠𝗲𝘁𝗮𝘃𝗲𝗿𝘀𝗲 𝗣𝘂𝗿𝘀𝘂𝗶𝘁
   Meta might be sidelining crypto for now, but their metaverse ambition is full steam ahead. They unveiled the Quest 3 headset, AI chatbots, and smart Ray-Ban glasses this week, showing their intent in the digital realm.
   ▶️ 𝗜𝗺𝗽𝗮𝗰𝘁? If Meta's metaverse bid succeeds with their vast resources, they could once again shape the future of digital social interaction.

2. 💰 $𝗖𝗥𝗩 𝗥𝗲𝗹𝗶𝗲𝗳? 𝗘𝗴𝗼𝗿𝗼𝘃 𝗦𝗲𝘁𝘁𝗹𝗲𝘀 𝗔𝗮𝘃𝗲 𝗗𝗲𝗯𝘁
   Michael Egorov, Curve's founder, cleared his Aave debt, relieving $CRV holders. Yet, with $42.7 million owed on other platforms, the financial Odyssey isn't over.
   ▶️ 𝗠𝗮𝗿𝗸𝗲𝘁 𝗥𝗲𝘀𝗽𝗼𝗻𝘀𝗲? This move is a reminder of the interconnectedness and risks in the DeFi space, especially concerning high-profile debts.

US Exchanges Welcome Nine ETH Futures ETFs But Demand Falls Short

Nine exchange-traded funds (ETFs) backed by ETH futures made their debut on US stock exchanges. While this move paves an easier way for US investors to get Ether exposure, initial responses pose the question: do investors truly desire it? Anticipation for this launch had previously driven a 10% increase in CEX open interest on ETH futures, pushing Ether's price above $1.7k. But come launch day, these ETFs witnessed a subdued demand, logging under $2M in volume by midday—a stark contrast to the BITO's Bitcoin futures ETF which registered a whopping $200M within its first 15 minutes back in October 2021.

However, the silver lining amidst these tepid figures is significant. The introduction of these ETFs marks a crucial step in the crypto arena. The Securities and Exchange Commission's (SEC) approval seems to solidify Ether's position as a non-security, ending a prolonged phase of regulatory ambiguity. This clarification not only ratifies Ether's standing but also brightens the outlook for countless innovators on the Ethereum platform. Though the debut of futures ETFs might not have met investors' expectations, the evolving regulatory environment hints at an impending spot ETF approval for both Bitcoin and Ethereum.

Investment hypothesis:

In the past 7 days, Arbitrum is the blockchain with the largest positive bridge net flows, 6x larger than the blockchain in the 2nd place, Optimism.

This essentially means that new money is flowing into the ecosystem for the first time in the past few months.

What’s driving this growth?

• The Arbitrum Odyssey Event went live a few days ago. Odyssey is a 7-week journey of exploring the biggest projects on Arbitrum One. Participants have to interact with several protocols. In exchange, they can collect several badges.

• Arbitrum ecosystem projects started to apply for grants under the Arbitrum Short-Term Incentive Program (STIP). Over 100 projects applied and the DAO will decide which projects will get the grants soon.

The TL;DR of the STIP:

• Incentives quantum: 50m ARB ($42m) earmarked for incentive grants

• 4 tiers of incentives: Beacon (<= 200k ARB), Siren (<= 750k ARB), Lighthouse (<= 2m ARB), Pinnacle (>= 2m ARB)

• Timing: Granted funds to be distributed until the 31 Jan’24

• # of rounds: 2 voting rounds

Since I have already outperformed BTC + ETH with my Arbitrum investments in early 2023 and many proven projects will benefit from liquidity, I have set up a new Arbitrum portfolio. You can find and copy it here on Nested.fi.

If you want to know more about Nested and why I am using it for small Alpha portfolios, check this out:

Adrian Pape on LinkedIn: NestedFi | 22 comments

I save 90% of the time that investors normally need to build a DeFi portfolio with the help of this tool. Nested: A Crypto Platform for the Next Wave of Users... | 22 comments on LinkedIn

https://www.linkedin.com

How to become an expert in the decentralized domain:

1. Continuous Learning: Subscribe to platforms like Decrypt for daily insights. Participate in the DeFi Talents program from Web3 Talents.

2. Network Relentlessly: Engage with DeFi practitioners like @DefiIgnas on Twitter (I don`t know him personally but like his content).

3. Attend Webinars and Twitter Spaces: Enroll in DeFi webinars and join Twitter Spaces to learn from the key players in the industry.

4. Practice What You Preach: Implement your learnings in real-time DeFi projects. Use a ETH L2 or a cheap L1 to test with small sums.

5. Share Your Knowledge: Publish your insights and foster a culture of shared learning.

Wisdom of the day 🧠: It's not just about trading tokens, but trading old systems for innovation!

Adrian DeFi + ChatGPT

Disclaimer: The information contained in the Adrian DeFi Newsletter in no way constitutes investment advice. Therefore: I do not assume any liability for investment decisions you make based on the information presented here.

GM Friends,

It`s October 6th and as I sit here writing this, the market makers are letting Bitcoin teleport back through $27.600 whilst Ethereum looks like it wasn`t ready for those Futures ETFs and came back to $1.630.

Today’s hot picks:
🌶️ Ethereum Futures ETFs started trading
🌶️ The Ethereum Bull Case
🌶️ Arbitrum season 2.0 Hypothesis → My Portfolio
🌶️ 5 Tips to become a DeFi Expert

𝗠𝗶𝘅𝗶𝗻 𝗡𝗲𝘁𝘄𝗼𝗿𝗸, 𝗦𝗘𝗖 𝗕𝗧𝗖 𝗘𝗧𝗙, 𝗠𝗼𝗻𝗲𝘆𝗚𝗿𝗮𝗺 𝗪𝗮𝗹𝗹𝗲𝘁, 𝗠𝗲𝘁𝗮𝘃𝗲𝗿𝘀𝗲, $𝗖𝗥𝗩 𝗗𝗲𝗯𝘁

1. 💼 𝗠𝗶𝘅𝗶𝗻 𝗡𝗲𝘁𝘄𝗼𝗿𝗸'𝘀 𝗥𝗲𝗰𝗼𝘃𝗲𝗿𝘆 𝗘𝗳𝗳𝗼𝗿𝘁
   After a staggering $200 million exploit, Mixin Network's founder announced users will only access 50% of their funds for now. An interesting development: Mixin has offered the hacker a whopping $20 million bug bounty to return the stolen assets and is also mulling over issuing "bond tokens" to compensate users.
   ▶️ 𝗥𝗲𝗮𝗰𝘁𝗶𝗼𝗻? The DeFi community watches closely as Mixin navigates this crisis, shedding light on the vulnerabilities in the DeFi space.

1. ⌛ 𝗦𝗘𝗖 𝗗𝗲𝗹𝗮𝘆𝘀 𝗕𝗧𝗖 𝗘𝗧𝗙 𝗗𝗲𝗰𝗶𝘀𝗶𝗼𝗻𝘀
   The SEC postponed decisions on Bitcoin ETF applications from big players like BlackRock, Bitwise, and more. Despite a past court loss over ETF rejections, analysts remain hopeful, even as the wait continues.
   ▶️ 𝗦𝗲𝗻𝘁𝗶𝗺𝗲𝗻𝘁? These repeated delays highlight the regulatory uncertainties in the US crypto landscape.

1. 🌍 𝗠𝗼𝗻𝗲𝘆𝗚𝗿𝗮𝗺'𝘀 𝗗𝗶𝗴𝗶𝘁𝗮𝗹 𝗪𝗮𝗹𝗹𝗲𝘁 𝗥𝗲𝘃𝗼𝗹𝘂𝘁𝗶𝗼𝗻
   MoneyGram announced a non-custodial digital wallet, aiming for Q1 2024. This product promises seamless cross-border transactions, a unique cash-out feature, and robust compliance—all under the respected MoneyGram umbrella.
   ▶️ 𝗙𝘂𝘁𝘂𝗿𝗲 𝗩𝗶𝘀𝗶𝗼𝗻? MoneyGram's strategic foray into crypto integration signifies the blurring lines between traditional finance and digital currencies.

1. 🕶 𝗠𝗲𝘁𝗮'𝘀 𝗠𝗲𝘁𝗮𝘃𝗲𝗿𝘀𝗲 𝗣𝘂𝗿𝘀𝘂𝗶𝘁
   Meta might be sidelining crypto for now, but their metaverse ambition is full steam ahead. They unveiled the Quest 3 headset, AI chatbots, and smart Ray-Ban glasses this week, showing their intent in the digital realm.
   ▶️ 𝗜𝗺𝗽𝗮𝗰𝘁? If Meta's metaverse bid succeeds with their vast resources, they could once again shape the future of digital social interaction.

2. 💰 $𝗖𝗥𝗩 𝗥𝗲𝗹𝗶𝗲𝗳? 𝗘𝗴𝗼𝗿𝗼𝘃 𝗦𝗲𝘁𝘁𝗹𝗲𝘀 𝗔𝗮𝘃𝗲 𝗗𝗲𝗯𝘁
   Michael Egorov, Curve's founder, cleared his Aave debt, relieving $CRV holders. Yet, with $42.7 million owed on other platforms, the financial Odyssey isn't over.
   ▶️ 𝗠𝗮𝗿𝗸𝗲𝘁 𝗥𝗲𝘀𝗽𝗼𝗻𝘀𝗲? This move is a reminder of the interconnectedness and risks in the DeFi space, especially concerning high-profile debts.

US Exchanges Welcome Nine ETH Futures ETFs But Demand Falls Short

Nine exchange-traded funds (ETFs) backed by ETH futures made their debut on US stock exchanges. While this move paves an easier way for US investors to get Ether exposure, initial responses pose the question: do investors truly desire it? Anticipation for this launch had previously driven a 10% increase in CEX open interest on ETH futures, pushing Ether's price above $1.7k. But come launch day, these ETFs witnessed a subdued demand, logging under $2M in volume by midday—a stark contrast to the BITO's Bitcoin futures ETF which registered a whopping $200M within its first 15 minutes back in October 2021.

However, the silver lining amidst these tepid figures is significant. The introduction of these ETFs marks a crucial step in the crypto arena. The Securities and Exchange Commission's (SEC) approval seems to solidify Ether's position as a non-security, ending a prolonged phase of regulatory ambiguity. This clarification not only ratifies Ether's standing but also brightens the outlook for countless innovators on the Ethereum platform. Though the debut of futures ETFs might not have met investors' expectations, the evolving regulatory environment hints at an impending spot ETF approval for both Bitcoin and Ethereum.

Investment hypothesis:

In the past 7 days, Arbitrum is the blockchain with the largest positive bridge net flows, 6x larger than the blockchain in the 2nd place, Optimism.

This essentially means that new money is flowing into the ecosystem for the first time in the past few months.

What’s driving this growth?

• The Arbitrum Odyssey Event went live a few days ago. Odyssey is a 7-week journey of exploring the biggest projects on Arbitrum One. Participants have to interact with several protocols. In exchange, they can collect several badges.

• Arbitrum ecosystem projects started to apply for grants under the Arbitrum Short-Term Incentive Program (STIP). Over 100 projects applied and the DAO will decide which projects will get the grants soon.

The TL;DR of the STIP:

• Incentives quantum: 50m ARB ($42m) earmarked for incentive grants

• 4 tiers of incentives: Beacon (<= 200k ARB), Siren (<= 750k ARB), Lighthouse (<= 2m ARB), Pinnacle (>= 2m ARB)

• Timing: Granted funds to be distributed until the 31 Jan’24

• # of rounds: 2 voting rounds

Since I have already outperformed BTC + ETH with my Arbitrum investments in early 2023 and many proven projects will benefit from liquidity, I have set up a new Arbitrum portfolio. You can find and copy it here on Nested.fi.

If you want to know more about Nested and why I am using it for small Alpha portfolios, check this out:

Adrian Pape on LinkedIn: NestedFi | 22 comments

I save 90% of the time that investors normally need to build a DeFi portfolio with the help of this tool. Nested: A Crypto Platform for the Next Wave of Users... | 22 comments on LinkedIn

https://www.linkedin.com

How to become an expert in the decentralized domain:

1. Continuous Learning: Subscribe to platforms like Decrypt for daily insights. Participate in the DeFi Talents program from Web3 Talents.

2. Network Relentlessly: Engage with DeFi practitioners like @DefiIgnas on Twitter (I don`t know him personally but like his content).

3. Attend Webinars and Twitter Spaces: Enroll in DeFi webinars and join Twitter Spaces to learn from the key players in the industry.

4. Practice What You Preach: Implement your learnings in real-time DeFi projects. Use a ETH L2 or a cheap L1 to test with small sums.

5. Share Your Knowledge: Publish your insights and foster a culture of shared learning.

Wisdom of the day 🧠: It's not just about trading tokens, but trading old systems for innovation!

Adrian DeFi + ChatGPT

Disclaimer: The information contained in the Adrian DeFi Newsletter in no way constitutes investment advice. Therefore: I do not assume any liability for investment decisions you make based on the information presented here.