Elections & Walmart

Good morning. Today we've got a quick weekend update, Walmart's plans for the metaverse, and more! We're also adding an External Resources section to the bottom of the newsletter that has a crypto dictionary and other helpful links. Have a great week and happy Martin Luther King Jr. Day!

Bonus Content Coming: I'm targeting early next week the end of the month to have my notes out from Messari's Crypto Theses for 2022. I'll include a link to my notes in this newsletter, however, the full report is definitely worth a read. The report is now in podcast form and can be found here.

Market Update (as of 8:23am ET):

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Top 5:

1. Weekend Update: Bitcoin Continues Its Sluggishness Amid Darkening Economic Signs
Bitcoin hovered around $43,000 over the weekend with ether and other cryptocurrencies following a similar stagnant pattern. Trading volumes over the weekend were also light "with no clear trend" in the market.

2. Crypto Exchange FTX Sets Up $2 Billion Venture Fund
Cryptocurrency exchange, FTX, is launching a $2 billion fund to invest in crypto startups. The fund, FTX Ventures, will be led by Amy Wu from Lightspeed Venture Partners and will deploy capital in increments ranging from $100,000 and up to hundreds of millions of dollars. Depending on market conditions, Wu thinks that the entire fund could be invested by 2023. Areas of interest for the fund include: crypto gaming, crypto insurance, security products, and infrastructure that helps applications run on different underlying blockchains. FTX Ventures will maintain strategic connections to teams within FTX in order to support portfolio companies and to consider possible acquisitions.

SSS (sat-sized summary): Crypto exchange, FTX, is launching a $2 billion crypto fund with areas of interest including: gaming, insurance, security, and infrastructure in the crypto space. The fund will retain strategic ties to FTX in order to support investments and to consider acquisitions.

3. Walmart is quietly preparing to enter the metaverse
Get your everyday low prices on NFTs from Walmart! According to the U.S. Patent and Trademark Office, the retail giant filed patents at the end of 2021 to create its own cryptocurrency and to sell non-fungible tokens (NFTs) of virtual merchandise, including: electronics, appliances, furniture, sporting equipment, musical instruments, pet supplies, and basically anything else you could buy at Walmart. Other retailers like Nike, adidas, and Gap have already dipped into the metaverse by launching digital versions of their flagship products. However, with a market cap larger than the previous three companies combined, Walmart's move into the space could add legitimacy to industry.

SSS: Walmart filed a slew of patents at the end of 2021 related to launching their own cryptocurrency and NFT versions of their products. The retailer follows in the footsteps of Nike, adidas, and others that have launched digital products in the metaverse.

4. Bitcoin crashes the midterms
Don't be surprised to hear bitcoin and cryptocurrencies in general emerge as a talking point during the 2022 midterm elections. Politicians on both sides are already staking out positions, both for and against, the new technology. The political incentives at this point are pushing candidates to more positive stances with a growing number of donors, lobbyists, and vocal supporters advocating for pro-crypto policies. Some candidates are even accepting crypto donations. Crypto, however, is not without its detractors. California Congressman Brad Sherman has called for banning crypto outright and sees it as a threat to the US financial system and the dollar's status as the global reserve currency. Enjoy the below video with Rep. Sherman's nuanced view on crypto.

SSS: Politicians are taking crypto-specific policy stances during the 2022 election cycle and a growing number of donors, lobbyists, and voters are pushing for pro-crypto policies.

5. Gemini acquires crypto portfolio management platform BITRIA
Gemini, the crypto exchange owned by the Winklevoss twins, has acquired BITRIA "a crypto portfolio management platform for financial advisors and asset managers." Dave Abner, Gemini’s global head of business development, says the deal positions Gemini as a "one-stop shop" for financial advisors, a market that currently has limited access to crypto products. The combination will bring BITRIA's portfolio management tools, like tax-loss harvesting and rebalancing together with Gemini's exchange and custody capabilities. Registered investment advisors currently manage trillions of dollars in assets for their clients.

SSS: Gemini, a crypto exchange, has acquired BITRIA and platform that serves financial advisors and asset managers. The move positions Gemini to serve the massive advised-assets industry that currently has little access to crypto products.

Top Sharers of the Crypto Top 5:
1. Donna Y. - Nashville, TN
2. Jake Y. - Greenville, SC
3. Cameron S. - New York, NY

External Resources:
1. Cryptopedia from Gemini - if you see a word, acronym, or phrase in this newsletter that you don't understand, there's a good chance you can find an explanation here
2. Crypto Explainer+ - intro level courses on Bitcoin, Ethereum, decentralized finance, NFTs, and more

Disclaimer: The information contained in this newsletter shall not be understood or construed as financial advice. I am not an attorney, accountant or financial advisor, nor am I holding myself out to be, and the information provided is not a substitute for financial advice from a professional who is aware of the facts and circumstances of your individual situation.