Next generation blockchain @solana meets the next generation of phones on @solanamobile 📱

Is it worth getting? here's what I found🧵👇

#OPOS
{1/15}

If you enjoy this thread, follow @NFTomics {token} & my substack https://tokenthreads.substack.com/ for venture capital, nfts, crypto, & macro deep dives.

We'll be covering:

1. Saga Phone
2. Seed Vault
3. Applications
4. Solana Pay
5. Helium/Network
6. Hackathons
7. What's next

{Genesis}

Over a month ago, @aeyakovenko & @rajgokal announced the launching of SAGA - the future of web3's ability to reach and onboard billions of users via phones & apps.

for an overview of the unboxing watch @ijustine's feature of  @solanamobile👇

https://www.youtube.com/watch?v=etYWlOS_oN0

{Toly's Steve Jobs Moment}

It's 2007, steve jobs comes on stage and says "every once & a while a revolutionary product comes along that changes everything"

In order to achieve scale/mass adoption a 📱must be smart & easy to use.

https://www.youtube.com/watch?v=MnrJzXM7a6o

https://www.youtube.com/watch?v=HpHLWRfTlm8

{so what is it?}

Simply, it is a mobile phone that builds on top of the precedent set by iPhone/Android, but with blockchain technology:

> native crypto apps/wallets @phantom
> call, text, surf the interwebs
> seed phase embedded
> minting/collecting NFTs
> ledger + and more

{embedded seed vault on @solana}

Embedded in the phone, a Seed Vault keeps your seed phrase safe, and allows you to interact w/ applications in a trusted, native, and intuitive way.

Gone are the days of 3rd party internet sign-in's inside a browser app.

https://twitter.com/solanamobile/status/1613676394546081793?s=20

{dApp store, why it matters}

Good news, it works like a normie app store but it's 10x better

Web2 users have to use @AppStore (controlled by Apple) or @GooglePlay (controlled by Google) now @solana is allowing decentralized apps

https://twitter.com/solanamobile/status/1617945585499402240?s=20

https://twitter.com/TrachChung/status/1540270154646294534?s=20

{existing apps}

But {token}, how big is this? Isn't the TAM small, won't other players get involved in the same game eventually?

Glad you asked 👇

https://twitter.com/akshaybd/status/1540178225938432001?s=20

{solana pay integrations}

It's really cool to see how @solana is supporting all its technology.

Saga/@solanapay = peer-to-peer transactions. Payments for dApps will be directly between a customer and the dApp developer. No middlemen.

s00n @y00tscoffee

https://twitter.com/drip_haus/status/1598518990934089736?s=20

{Network}

You can use your @solanamobile phone just like any other phone & connect your current provider @Verizon @ATT @tmobilecenter

In the near future you will also be able to utilize more web3 native providers like @helium_mobile powered by @helium

https://twitter.com/helium_mobile/status/1651728877536829441?s=20

{Building on mobile}

What was most surprising to most people i've spoken to was, the sheer quality of entires in the "Mobile Track" with the winner: https://solana.com/grizzlython/projects/tap?ref=solana.ghost.io

Judges ranged from @SolanaLegend to @aeyakovenko to @armaniferrante & many more.

https://www.youtube.com/watch?v=gjVwjISLPZo

{Hackathons}

Additional prizes went to:

• 2nd: AquaID https://solana.com/grizzlython/projects/aqua-id?ref=solana.ghost.io, a self custody human identity protocol built on Solana.
• 3rd: dReader https://solana.com/grizzlython/projects/d-reader?ref=solana.ghost.io, an on-chain comic book store.
• 4th: Proto https://solana.com/grizzlython/projects/proto?ref=solana.ghost.io, an API for spatial data and POL.

{What's next?}

🎒@xNFT_Backpack x @solanamobile which is set to revolutionize NFTs and my guess is that this will 10x existing dApps/wallets.

It's a wallet is an operating system that will be @solana native

- Applications
- p2p messaging
- & much more

https://twitter.com/NFTomics/status/1642190606960308224?s=20

P.S don't forget about all the rewards for early adopters.

https://twitter.com/solanamobile/status/1648033238101946368?s=20

You can read the unrolled version of this thread here: https://typefully.com/NFTomics/FWCJnjw

Solana Mobile: The Future of Blockchain is Mobile

Test, Break, and Find Product Market Fit.

@solana's infrastructure has lead it to be the the defacto leader in crypto trends.

If you want to get ahead, the SOL trends of today are the ETH trends of tomorrow.

I dug deep into this meta, here's what I found🧵👇

#happenedonSOL

If you enjoy this thread, follow @NFTomics {token} & my substack https://tokenthreads.substack.com/ for venture capital, nfts, crypto, & macro deep dives.

We'll be covering:

1. Royalties
2. Marketplaces
3. NFT Tooling
4. NFT updates
5. What's next

{1/11}

{Genesis}

I was recently on a call with @0xMick from @hey_wallet when he made the statement:

"one of the many reasons we like @solana is because (it's early) it feels like a lot of what we're seeing in @ethereum had their genesis on SOL"

so I dove in to see if it was true👇

{royalties on @solana}

It's October 2022, @MagicEden announces 0% royalties. A decision largely driven by the founders of major projects who we're frustrated by a vast majority of secondary sales going through @FamousFoxFed (master builders) or @YawwwNFT

https://twitter.com/MagicEden/status/1581101016686399491?s=20

{royalties on @ethereum}

It's December 2022 (three months later), OpenSea is recognizing the storm of controversy around royalties that is now brewing the the twitter spaces of @notthreadguy & @EasyEatsBodega and decide to do something about it.

https://twitter.com/opensea/status/1600913295300792321?s=20

{Marketplace Shift}

It's June 2022 @cburniske & @0xrwu are getting ready for the beta version of @tensor_hq before this the company was bootstrapped off 70k from two hackathons.

TT helped move the ecosystem to a "pro-traders model" as well as one that actively rewards traders.

{Marketplace Shift on @etherum}

It's October 2022 (five months later) @PacmanBlur & @paradigm launch on mainnet unlike other ETH marketplaces that target retail users, Blur is also designed for professional NFT traders.

Users are rewarded 'Care Packages' the contain $BLUR.

{NFT Tooling on @solana}

It's November 2021, @FoxyDev42 & @draxxts are finalizing the last iterations of FoxySwap. They had no idea that this would spark an era of trusted P2P swapping on @solana.

Appx $60m-$100m in NFT/SOL value being traded p2p since inception.

{NFT Tooling on @ethereum}

It's April 2024, @skittlewood (OG DeGods & @n00unsDAO) launches an innovative cross chain P2P swapping platform to help @DeGodsNFT (@frankdegods), @Azuki, @BoredApeYC with OTC in ETH/POLY.

{NFT Rev Share}

It's Jan 2022, and a group of Degens get together to develop a revenue-generating game, who's proceeds would be redistributed to NFT holders each week.

Degen Coin Flip has generated more than $50 million worth of tokens flipped to date.

{NFT Rev Share Cross Chain}

It's April 2023 and @daddydegennft and team launched @whirltools  a multichain swap tool. Through this platform you will be able to swap NFTs on their own native chain or cross chain.

The project will be rev sharing with the 333 cross-chain holders.

{What's next?}

🎒@xNFT_Backpack is set to revolutionize NFTs and my guess is that this meta will be something @etherum tries to do next.

It's a wallet is an operating system akin to your iphone:

- Applications
- p2p messaging
- & much more

https://twitter.com/NFTomics/status/1642190606960308224?s=20

You can read the unrolled version of this thread here: https://typefully.com/NFTomics/5aMJGYU

SOL Trends: Test, Break, and Find Product Market Fit

Amazon is launching it's own NFT marketplace (& more) utilizing most of the power players in the industry.

everything you need to know.
🧵👇

If you enjoy this thread, follow @NFTomics {token} & my substack https://tokenthreads.substack.com/ for venture capital, nfts, crypto, & macro deep dives.

{Marketplace}

The marketplace was originally scheduled to launch in 2022, however, @amazon’s web3 blueprint appears to have significantly evolved since - leading to perhaps May '23.

The tech giant coming into the space is a big one for crypto, for many different reasons👇

{Rewind}

Before we dive in let me provide some historical context, amazon has always been tech forward, everything from timed delivery systems, prime, next-day shipping, alexa, streaming.

What they do is take existing concepts, and 10x them.

@ajassy

https://twitter.com/SquawkCNBC/status/1514597768739835910?s=20

1. {Onboarding Normies}

Remember when I said amazon 10x things?

Well here is the first play, simplification of the NFT process.

> Fiat payments for NFTs
> Utilization of existing web2 infrastructure
> Prime rewards
> IRL products being tied to NFTs
> Streaming/gaming unlocks

2. {Integration w/ heavy hitters}

Amazon seems to be hinting at allowing only a select group of existing collections to go live with them - to drive volume.

This naturally leads to the conclusion that they have been in chats with @solana @0xPolygonLabs @etherum projects.

👇👇

2.5 {Integration w/ heavy hitters}

My guess is that this includes the likes of:

> @y00tsNFT
> @BoredApeYC
> @DeGodsNFT
> @MadLadsNFT
> @Azuki
> @doodles
> @moonbirds

3. {Infrastructure}

Although a marketplace is first and foremost on amazon's list. The company has natural levers it could pull to be successful in adjacent areas.

Remember @awscloud? Well it's comprised of centralized compute & storage - aka 74% of profits.

3.5 {Infrastructure}

@amazon realizes that the tech of web3/crypto could seriously disrupt it's business, think about how @akashnet_ / @storj @Filecoin are "decentralized AWS"

Web2 = Consumer packages (top of funnel) > AWS ($ maker)

Web3 = NFTs > Amazon Web3 Services ($ maker)

4. {Gaming/Applications}

When looking at the scope of applications for NFTs, AMZN appears to favor gaming, a similar bet to the one being made by @BoredApeYC

This is in addition to potential partnership w/ web3 gaming projects / L1s that can scale:

https://solana.com/developers/gaming

{Amazon Layer1}

Amazon spreading into adjacencies in inevitable, as mentioned before, storage, compute, marketplace, NFTs.

It's likely they'll need their own L1 - hot take, my guess is it won't be an ETH fork, as amzn needs scalability.

https://nftnow.com/news/breaking-amazon-reportedly-launching-nft-initiative-this-spring/

{Prediction}

If @amazon wants to get deep into the NFT ecosystem, it may be  advantageous for them to partner with a wallet @xNFT_Backpack vs building their own.

> Access to users
> Ability to build native applications inside the wallet
> Avatars for prime members @MadLadsNFT

If you enjoyed this thread, please consider to:

1. Follow me @NFTomics
2. Like & Retweet the first tweet

++ https://typefully.com/NFTomics/Vv85UWD

Amazon's NFT Marketplace: Everything You Need to Know

Verticalized paid memberships are the new meta.

It's time to raise capital for your DAO, bootstrapped startup, or venture-backed business.

This is what the BEST web2 companies are doing to make $1m+, that you can use in web3 🧵

If you enjoy this thread, follow @NFTomics {token} & my substack https://tokenthreads.substack.com/ for venture capital, nfts, crypto, & macro deep dives.

{1/17}

Membership Communities have been around since the inception of the internet. However, they've moved in and out of vogue

• Early internet (paid, think .99c iTunes song)
• Mid internet (free, move to free with ads)
• Present internet (reset to premium model with a free version)

{web2 membership communities}

@thesamparr launched Hampton last week, a highly vetted membership community for entrepreneurs, founders and CEOs that costs $8,500 a year.

They received 3k applications in 24 hours = $25.5 million in potential revenue 1 yr

https://www.joinhampton.com/

{web2 membership communities II}

@lindsaykap's Chief, is the $5,800-per-year women’s networking startup, is worth $1 billion and has a waiting list of 60,000.

Quick math on 12k members = $70m in annual revenue with people as the core product.

https://chief.com/

{powerful unlock for web2}

This unlock or "new meta" that's coming back in vogue is extremely powerful & sticky.

There are way more paid communities out there than you'd think: tailored memberships by function, industry, interest, and even business models.

{web3 movement}

Paid membership communities have been around since the middle ages (tradesmen guilds) & in more modern times country/social clubs.

They provide:

1) introductions
2) networks
3) deal flow
4) social clout/community

Issue: not liquid/transferable/centralized

{deep dive}

Similar to SaaS models, paid membership communities (DAOs/NFTs) are possible to scale with relatively few expenses.

The hardest part is maintaining quality with growth if people are your core product.

Maintaining a responsible entry price well having liquidity.

{web3 unlock}

This is where web3 comes into play, the ability to provide liquidity / a secondary market to something as sticky as community w/ utility is a 10x improvement.

Let's look into the top communities unlocking this.👇

{@n00unsDAO}

A sub-dao of @y00tsNFT & @nounsdao w/ the hype of y00ts & builder vibes of nouns.

n00uns have found a way to bring together the greatest minds in web3 who are collectively attempting to build the next-gen of governance on @solana / @0xPolygonLabs.

Entry Price: 7E

{@BoredApeYC}

OG ETH collection, where the owner of a BAYC or MAYC NFT gets verticalized access to a variety of exclusive benefits and privileges

- members-only events (NFT NYC boat)
- merchandise drops
- new airdrops/games
- private Discord server.

Entry Price: 54E

{@degodsnft / @y00tsNFT}

Solana's #1 community who recently moved to ETH/POLY.

Each holder get access to a community of die hard collectors/events.

+ members can get involved in sub-dao's where they have access to projects, business, collections and DAO’s.

Entry: 8.4E

{@Azuki}

Azuki has created something truly incredible on the verticalization front. They have managed to build a community of integrity and helpfulness ... the utility is itself (the ppl).

+ grail owners are able to get exclusive access to some amazing sub-daos.

Entry: 15.6E

{@SolanaMBS}

Community led DAO that is noted as the "first DAO" on @solana, holders have many verticalized benefits including:

1) Access to a syndicate
2) Web3 jobs
3) IRL events / in-city meetups

There has been some recent fud, but SMB is as strong as ever.

Entry: 200 SOL

{@MadLadsNFT}

MadLabs is a manifestation of the xNFT wallet known as
@xNFT_Backpack that is set to revolutionize the way we interact with NFTs

The community is unreal (pre-mint) w/ a unique distribution allocation that has never been seen before in NFTs

https://twitter.com/NFTomics/status/1642190606960308224?s=20

{@oogyNFT}

Oogy is a 10,000 PFP collection out of the @solana ecosystem.

‘community driven art collection’, with a central character "oogy", meaning that the team hopes to spark innovative sub-communities under it's IP.

Entry Price: 20 SOL

https://twitter.com/NFTomics/status/1641544536332865548?s=20

You can read the unrolled version of this thread here: https://typefully.com/NFTomics/zCG8t2G

Verticalized Paid Memberships - The New Meta for Web3

Web2 walled gardens -> Web3's open internet

Walled Gardens have become prolific in web2 - leading to companies @google @amazon & @meta aggregating the vast majority of $ value created + walling up access for new builders.

{how web3 is changing this}

comprehensive thread 🧵👇

{What's a walled-garden}

Any closed platform/ecosystem where the technology provider has significant control over the hardware, apps, or content can be called a "walled garden".

The term was first coined by John Malone, the founder of Telecommunications Inc (acquired by AT&T).

{Rise of walled-gardens}

The internet was developed in the early 80s via a new comms protocol: Transfer Control Protocol/Internetwork Protocol (TCP/IP).

The internet although an amazing technical revolution had one major flaw - lack of ability to agg value at the base layer.

{What happened}

Since there was no way of agg-value at the base layer, the currency of web2 became = "quantity of views" (vs quality)

Ads/sites raced to the {bottom} by putting things that attract the lower appetites of human nature noted as progress👇

https://www.youtube.com/watch?v=s1_yx_Eg9v4

{And it worked}

Ads began to work, peoples adoption of tech was normalized, algorithms were overlaid -> fed with the last 10 yrs+ of data.

Which showcased that humanity was aligned w/ ads that targeted the lower appetites (algo's excelled "view economy" 10x @tiktok @instagram)

{Value shift}

Since the app layer accrued the most value in web2, it's unlikely the cycle of the {view economy} won't end.

Introduce web3 {Layer-1s} a new form of the internet that has inverted the value stack -> where base layer accrues value & grows as apps are built on it.

{how L1s aggregate value}

1. Fees - transaction fee users pay fees in {x currency} to have their transactions processed by validators, who are responsible for verifying transactions.

2. Rewards - maintaining the network's security/state via validators.

https://jumpcrypto.com/a-framework-for-analyzing-l1s/

{TL;DR}

Unlike the internet, this ability to validate, and aggregate value at the base layer enables this paradigm by which as the network's applications & middle-wear grows - so does the network {L1}

Because it is taking fees/securing a larger pie.

Now builders can build.

{L1s}

So unlike web2 - web3 L1s @solana @ethereum love when @DeGodsNFT, @oogyNFT, @n00unsDAO @FamousFoxFed @nounsdao @BoredApeYC @Azuki and others built on it b/c

1. Increase transaction
2. Introduce new users

This is the open internet b/c everyone wins with more building.

You can read the unrolled version of this thread here: https://typefully.com/NFTomics/TQFMg2Y

Web3: The Open Internet

Missed the 2023 State of Crypto by @a16zcrypto?

{Here's the TL;DR}

- New tech, once impossible, is now very real.
- Next-Gen L1s are growing in users/devs.
- DeFi/NFT activity is on the rise.

Comprehensive Thread 🧵👇

1/20

If you enjoy this thread, follow @NFTomics {token} & my substack https://tokenthreads.substack.com/ for venture capital, nfts, crypto, & macro deep dives.

Market Statistics: https://a16zcrypto.com/stateofcrypto/
Full-Version: https://a16zcrypto.com/content/article/state-of-crypto-report-2023/

Source: @a16zcrypto @ElectricCapital @_Frictionless_

{State of Crypto}

1) Progress - New builders are entering web3 at a rapid pace & academic research is accelerating.

2) Setbacks - noise drowned out signal w/ negative events dominating headlines & high-profile collapses @FTX_Official

3) Regulation - a shifting reg environment.

{State of Crypto II}

Market cycles - The “price-innovation” cycle continues. Rising prices are a leading indicator for innovation.

Numbers generate interest, which spurs ideas and activity, which leads to innovation.

Opportunity - decentralized infrastructure, L1s & web3

{Ownership & Democratization}

1) Web1 and web2 democratized information and publishing. Web3 democratizes ownership.

2) Users have more power, and earn a greater share of revenue, on web3 versus web2 platforms.

3) Web3 counterbalances the trend toward internet consolidation.

{Market Cycles}

It is a positive feedback loop = drives crypto market cycles.

2) there is apparent chaos has underlying order - as the market has undergone four cycles, each bigger than the last.

3) with great products get built regardless of financial upswings and downswings

{Trends to Watch}

Blockchains are scaling through multiple promising paths including next-generation chains like @solana @aptos @SuiNetwork (w/ investors like @_Frictionless_ being at the bleeding edge).

++ applications like @xNFT_Backpack leading the charge on these chains.

{Trends to Watch II}

2) Many blockchains are extending rollups via scaling @Ethereum.

3) Staking transforms collateral into outsized economic security.

4) Uses for zero knowledge (@zk) proofs are becoming tangible.

{Trends to Watch III}

NFT creators have earned more than $1.9 billion in royalty revenues - but the battle for royalties via @tensor_hq @MagicEden @opensea @blur_io still is on-going.

The worlds biggest brands are exploring NFTs on @solana @ethereum & @0xPolygonLabs

{Trends to Watch IV}

Web3 games are a huge opportunity to welcome new users to crypto with @yugalabs leading the pack.

However, next-generation chains like @solana are built for handling high-throughput games - gaming adoption across chains is still up in the air.

{Trends to Watch V}

Participation in DAO governance is growing on both the DAO & sub-DAO front - think @n00unsdao @FLAMINGODAO @nounsdao

{Trends to Watch VI}

The U.S. is losing its lead in web3 & regulation is looming.

1) Banning new business models or technologies undermines American values.

2) Agency guidance may protect consumers & help web3 grow.

3) Legal businesses deserve access to data privacy.


{Market Metrics}

Tech markets are a function of supply and demand, or innovation & adoption.

1) Bull markets attract new developers who are sticking around

2) 50K+ devs interact with crypto-related Github repositories monthly

3) NFT tooling has driven exponential dev growth

{Market Metrics II}

Verified smart contracts are at an all-time high, indicating a robust pipeline of product launches.

1) Core crypto dev library usage is increasing.

2) Significant increase of academic research.

3) Rising crypto prices generate interest in crypto jobs.

{Adoption Indicators}

1) Active addresses are growing steadily as web3 adoption increases.

2) Blockchain transactions exploded as scaling technologies reduced transaction fees.

3) Fees increase as demand rises, but decrease as scaling tech supplies more blockspace.

{Adoption Indicators II}

The number of mobile wallet users has declined over since early 2022 - however, next-gen blockchains @solana are moving into the mobile space via @solanamobile.

With 1000s of applications to the https://solana.com/news/solana-grizzlython-winners

1st Tap
2nd AquaID
3rd dReader

{Adoption Indicators III}

1) Decentralized exchanges are trading over $100b monthly amid market volatility

2) After a speculative period, the number of NFT buyers appears to be rising again

3) Despite market fluctuations, the demand for stablecoins remains high

{Conclusion, What's Next}

It's early: Internet users vs. unique active addresses (log scale)

{Conclusion, What's Next}

How @a16z / @a16zcrypto sees this playing out.

If you enjoy this thread, follow @NFTomics {token} for venture capital, nfts, crypto, & macro deep dives.

Make sure to follow my substack/threads here: https://tokenthreads.substack.com/

State of Crypto 2023 Report: Key Takeaways

The most underrated cohort of individuals in the VC community are the analysts, associates, vice presidents, and principals.

Let's highlight some of the upcoming stars in crypto VC,
🧵👇

{bookmark this, as they'll be taking your first pitch/call}

If you enjoy this thread, follow @NFTomics {token} for venture capital, nfts, crypto, and macro deep dives.

All of this information was aggregated from public sites.

{@collab_currency}

@amanda0x - Amanda prev worked at @dapperlabs @bridgewater focused on everything from DAOs to infra.

@aradtski - Arad is a collector, an amateur coder, who has a keen focus on DAOs, Governance.

@_cutbank - Greg Valitchka is focused on DAOs, DeFi, & culture.

{@variantfund}

@AlanaDLevin is an investment partner focusing on infrastructure, design, and privacy mechanics.

@medhakothari is an research partner who focuses on infra, dev tooling, DAOs, and governance.

@Derek is an research partner who focuses on governance, DeFi, & DAOs.

{@Paradigm}

@arjunblj - investment partner, prev, consultant @ hedge funds/family offices on crypto.

@caitlinxyz - investment partner, prev, she was an investor at Insight Partners focused on crypto.

@dougfeagin - investment partner, prev investor at Coatue focused on crypto.

{@Pantera}

@chiajy2000 - Chia, principal, is focused DeFi, and Web3 infrastructure. Prev Saison Capital.

@Ryan__Barney - Ryan, principal, is focused on venture/growth investments. Prev Emergence Capital.

@crypto_will - Will, Analyst, is focused on DeFi, infra, and dev tooling.

{@Coinfund}

@einar_hb - Einar, principal, prev investor @ Accel/General Catalyst/Mosaic Ventures.

Christian Murray - Analyst, focused on DeFi, AI/ML, & network participation.

@isaiah_wash - Analyst, focused on Security & Infra.

@VangelisAndr - Analyst, focused on infra & AI.

{@sevensevensix}

Firm best known by it's founder @alexisohanian

Harry Chiang - 776’s first analyst, focused on NFTs (Yuga, Doodles), SaaS, and climate-tech.

@OptimusPrimous - Analyst, with a blend of experiences working as an early stage operator & investment banker.

{@multicoincap}

@SpencerApplebau - Investment Partner. Previously, worked at Bitspark.

@kankanivishal - Principal, prev vice president at Deutsche Bank.

@aleksijavujicic - Associate, prev founder Zenzy, & tech consultant.

@shayonsengupta Investment Partner, prev Abodewell.

{@dragonfly_xyz}

@0xDiplomat - Junior Partner, prev Blackrock, Prince Street Capital as a PM.

@kadin256 - Junior Partner, prev Insight Partners & Saber.

@casatay - Junior Partner, prev @dcgco @fcubedvc @nytechalliance

You can read the unrolled version of this thread here: https://typefully.com/NFTomics/pChPtcd

Upcoming Stars in Crypto VC

Struggling to fundraise? You're not alone, the entire market is screeching to a halt in Q1.

How to optimize your process so that you you can be one of the few who raises in this bear market.

{market overview 🧵👇}

1/8

The TL;DR is public markets impact --> private late-stage which impacts --> private early stage = existing investors (pension, sovereigns, high networths) aren't deploying into funds who can't deploy into directs (cycle restarts).

Follow @NFTomics {token} for more like this.

{the great reset}

Let's talk about the “great reset" in Crypto (Tokens), Public (Stocks), Private (VC) Markets.

The fallout from the startup industry's exit slowdown continues into Q1, with managers and startups alike feeling the very real & painful "fundraising fatigue".

{late-stage is starting to crack}

Late-stage deal value is nosediving, declining for the 7th straight quarter to $11.7 billion.

When stocks that were trading at 35x --> are now 10x (EV /RR), which trickles down into what late-stage VC investors are willing to pay (Series D+).

{exit environment}

Just $5.8 billion in exit value was closed in Q1. That is less than 1% of the total exit value generated in the record year of 2021. With IPOs unattainable (only 20 public listings in Q1) according to @pitchbook.

Lack of exits = pressure on late=stage

{mega-rounds}

Just 19 mega-rounds occurred in the Q1 2023, compared with 98 in Q1 2022

This has widened the funding gap between startups seeking capital and investors willing to provide it, which is putting pressure on $

This is also driven by the concerning exit environment👇

{late-stage}

In Q1 2023, the median late-stage VC pre-money valuation fell 16.9% from the 2022 full-year figure to $54.0 million, while the average pre-money valuation declined by more than $100 million to $159.1 million

lower valuations that correlate w/ a falling deal count👇

{how does this impact fund managers}

Remember the largest backers of funds are pensions, sovereign and endowments. Most are exposed to public markets & direct investments.

They are cautious to deploy into new funds, due to existing performance & a poor direct environment.

{first-time fund managers}

FTFs are in for a particularly tough run if they're hoping to raise this year. Debut VC fund closures plummeted from $21.6 billion in 2021 to $10.3 billion in 2022. They're on track for an even steeper drop.

public > mega > late > pensions > FTFs

{What should you do?}

Here's my advice👇

https://twitter.com/NFTomics/status/1638661858378010624?s=20

https://twitter.com/NFTomics/status/1636125136951869440?s=20

You can read the unrolled version of this thread here: https://typefully.com/NFTomics/bivqRf9

Optimizing Your Fundraising Process in the Bear Market

What's happening in the world of crypto.

@binance Sued, @Nasdaq Custody, @Gemini Derivatives

Everything you need to know 🧵👇

1/18

If you enjoy this thread, follow @NFTomics {token} for venture capital, nfts, crypto, and macro deep dives.

This thread is unlike my other threads because it's actually not from me, rather its from the contributors of https://launchy.beehiiv.com/ {go follow there newsletter today}!

{Whats happening in the world}

1️⃣ Binance was sued by CFTC.

The US regulators allege the largest crypto exchange in the world for keeping an illegal foothold in the American market and evading US federal laws.

https://www.reuters.com/legal/investors-pull-16-billion-binance-after-cftc-lawsuit-2023-03-29/#:~:text=The%20U.S.%20Commodity%20Futures%20Trading,a%20%22sham%22%20compliance%20program

{@Nasdaq}

2️⃣ Nasdaq aims for crypto custody launch by the end of Q2.

The global exchange group is doubling down on crypto amidst regulatory uncertainty. The project was announced in September and will mark Nasdaq's first significant foray into crypto.

https://www.bloomberg.com/news/articles/2023-03-24/nasdaq-eyes-crypto-custody-launch-by-end-of-second-quarter#:~:text=Nasdaq%20Inc.,of%20bankruptcies%20in%20the%20industry.

{@Gemini}

3️⃣ Gemini prepares overseas derivatives exchange.

The Winklevoss-twin-owned exchange is gearing up to launch its international derivatives exchange. The new platform will offer perpetual futures, which are unavailable in the US.

https://www.theinformation.com/articles/gemini-preps-overseas-derivatives-exchange-to-offer-perpetual-futures

{Eular}

4️⃣ Euler exploiter has returned 51,000 $ETH.

The hacker initially exploited $200M earlier in March and has since returned the majority of stolen funds to the protocol.

https://unchainedcrypto.com/euler-hacker-returns-51000-eth-to-protocol/#:~:text=On%2Dchain%20data%20shows%20that,in%20the%20%24190%20million%20exploit.&text=The%20Euler%20Finance%20Exploiter%20sent,to%20Euler%20Deployer%20just%20now.

{@etherum}

5️⃣ Ethereum confirms April 12 Shapella upgrade date.

Following an official consensus reached by core developers, the Shapella upgrade will happen at network epoch 194,048 -- predicted to be 6:27 pm EDT on April 12.

https://www.theblock.co/post/223363/ethereum-core-devs-confirm-april-12-date-for-shapella-upgrade#:~:text=The%20Shapella%20network%20upgrade%20will,the%20Ethereum%20Foundation%20on%20Tuesday.

{@Disney}

6️⃣ Mickey Mouse says goodbye.

Disney eliminated its metaverse division as part of a broader restructuring plan that will reduce headcount by ~7,000 over the next 2 months. Roughly 50 members are impacted.

https://techcrunch.com/2023/03/27/disney-cuts-metaverse-division-as-part-of-broader-restructuring/#:~:text=Walt%20Disney%20Co.%20has%20eliminated,reports%20The%20Wall%20Street%20Journal.

{CFTC}

7️⃣ CFTC Behnam reinforces its view that $ETH is a commodity.

CFTC Chairman Behnam reiterated that he believes Ethereum is a commodity. This assertion differs from what his counterpart, Gary Gensler, has stated at the SEC.

https://www.coindesk.com/policy/2023/03/28/us-cftc-chief-behnam-reinforces-view-of-ether-as-commodity/

{@Fidelity}

8️⃣ Fidelity is building out a crypto team.

The $4 trillion asset management giant is building out its crypto research team, actively hiring for a lead of its crypto and token research development team.

https://www.theblock.co/post/223190/fidelity-hiring-crypto-token-research-team#:~:text=Fidelity%20is%20building%20out%20a%20crypto%20and%20token%20research%20team&text=%22They%20will%20work%20on%20data,firm%20noted%20in%20the%20ad.

{TRON}

9️⃣ Justin Sun lost his Grenada WTO Ambassador title.

The founder of $TRON blockchain stated that his term as an Ambassador was coming to an end. The announcement came only hours after his screenshots claiming that he's still a diplomat.

https://www.coindesk.com/policy/2023/03/30/tron-founder-justin-sun-reportedly-lost-his-diplomatic-status/

{@BittrexExchange}

🔟 Bittrex shuts down US operations.

The exchange that was once a market leader has decided to shut down its US operations. Bittrex cited that it is economically not viable to operate due to the US's unclear regulatory requirements.
https://www.bizjournals.com/seattle/news/2023/04/03/bittrex-crypto-exchange-closing-us-operations.html#:~:text=Seattle%2Dbased%20cryptocurrency%20exchange%20Bittrex,was%20laying%20off%2083%20employees.

You can read the unrolled version of this thread here: https://typefully.com/NFTomics/3X9QRux

Crypto News Update: Binance, Nasdaq Custody, and Gemini Derivatives

Welcome to the one stop shop for top-tier Crypto VCs.

Founders have an impossible time navigating who they should even reach out too for their fund raising.

Let's get you introduced, bookmark this 🧵👇

1/18

If you enjoy this thread, follow @NFTomics {token} for venture capital, nfts, crypto, and macro deep dives.

P.S leaving out a top top tier few names like @variantfund @PanteraCapital @Collab_Currency @standardcrypto & more because i've highlighted them recently.


{Paradigm}

@paradigm backs disruptive crypto/Web3 companies and protocols with as little as $1M and as much as $100M+.

They have a deeply hands-on approach from the technical (mechanism design, smart contract security, engineering).

@FEhrsam @matthuang

https://www.paradigm.xyz/

{CMT Digital}

Founded during the genesis of the electronic trading era, the CMT Group has grown from an equity options market maker to a global investment firm.

@samiam2194 @CharlieSandor

http://cmt.digital/

{@slow}

Slow is an early-stage focused Venture Capital firm based out of SF/NY. They are generalists who invest in early stage teams and ideas ranging from Social Networking to Consumer Brands to SaaS, and Crypto.

@KevinColleran, @lessin

https://slow.co/

{@DCGco}

They are the capital engine supporting emerging talent & crypto tech. On its mission to accelerate the dev of a better fin-system.

@DCGco, parent of @Grayscale @GenesisTrading @CoinDesk @TradeBlock @LunoGlobal

@BarrySilbert

https://dcg.co/

{@Maven11Capital}

Maven 11 is a global blockchain and DA investment firm. Launched by a diverse set of serial entrepreneurs, investors, and blockchain builders, on a quest to solve most exciting problems.

@jochemwieringa  @JCvdPlas @BalderBomans
maven11.com

{@a16zcrypto}

They back bold entrepreneurs building the next internet. a16z crypto is a venture capital fund that invests in crypto and web3 startups.

@cdixon @AriannaSimpson @alive_eth @jasonrosenthal
https://a16z.com/crypto/

{@polychain}

Polychain is an investment firm committed to exceptional returns for investors through actively managed portfolios of these emerging digital assets.

@zxocw @niraj @_caoimh

https://polychain.capital/

{@sequoia}

Sequoia partners a the earliest stages {even ideas}. First decisions can have an exponential influence on the curve of success.

Their style is not for everyone, they push when we see potential.

@charliecurnin @jimgoetz @divyahansg

www.sequoiacap.com

{@ElectricCapital}

Electric capital is a partner that has a deep understanding of community governance, token economics, cryptography, and distributed systems.

Founders can lean on them for technical support/ideation.

@AvichalGarg, @jubos, @puntium


{@multicoincap

Multicoin is a thesis driven investors that make long-term, high-conviction investments in category defining crypto companies and protocols across public and private markets.

@KyleSamani, @TusharJain_ @johnrobertreed

https://multicoin.capital/

{@paraficapital}

ParaFi employs a deeply technical approach to investing, leveraging the protocols & infrastructure. They've develop smart contracts, token economics, & backed top-tier founders/innovators.

@anjan_vinod @kyedidbotton @TraderNoah

https://parafi.com/

{@animocabrands}

Animoca Brands is working to deliver digital property rights to the world's gamers and Internet users, thereby creating a new asset class, play-to-earn economies, and a more equitable digital framework.

@ysiu @jennyqcheng @alanlau999

www.animocabrands.com

{@coinfund_io}

CoinFund partners with top leaders across seed, venture, and liquid. The team specializes in token design, decentralized networks, research, trading, market structure, engineering, brand strategy, law, & regulation.

@jbrukh @flexthought


coinfund.io

{@hiFramework}

Framework partners with founders and teams to build token-based networks. They are deeply technical on cryptoeconomics, governance, and community to scale.

@pythianism @im_manderson

framework.ventures

{@Fabric_VC}

Fabric have been investing in builders, businesses, and networks
from inception to scaling since 2012. The team has a keen focus on open-networks, decentralized eco, and founders who can scale rapidly.

@richardmuirhead @ahansjee @MerschMax_

www.fabric.vc/

{@1kxnetwork}

1kx helps exceptional founders bootstrap token networks. Their community focus is second to none, and they are hands-on advisors to the creation, design and iteration of token models.

@pet3rpan_

https://1kx.network/

{@jump_}

Jump is composed of builders, partners, and traders, inspired by the possibilities of open, trustless, and composable environments. They are deeply technical on multiple front / in the weeds building.

@KanavKariya

jumpcrypto.com

{@placeholdervc}

Placeholder is a venture capital firm that invests in decentralized networks and web3 services. They invest/think in terms of funding teams, & funding networks:
https://www.placeholder.vc/blog/2019/1/10/funding-cryptonetworks

@cburniske @jmonegro

www.placeholder.vc

You can read the unrolled version of this thread here: https://typefully.com/NFTomics/CHSv5Ys