Eminem joins BAYC
Good morning. Happy New Year and Happy Proof of Keys Day (see story #5)! Over the next few weeks, I'll be adding some new sections to the newsletter, hopefully getting an official logo, and making other general improvements. As always, let me kn0w if you have suggestions at jmaxxyoungii@gmail.com.
2022 has already started out with a bang, Eminem is now the proud owner of a Bored Ape (that looks like him), Shiba Inu is launching a DAO, and Marathon Digital is picking up their hashrate pace. We've got all that and more today!
Additional note: I'm targeting early next week 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.
Market Update (as of 7:56am ET):
My asks from you:
- Forward to your friends, family, and anyone that would be interested (check the Top Sharers leaderboard at the bottom of this email to see where you stand!)
- If you're new, hit that pink subscribe button just below this section
- Send any and all feedback to jmaxxyoungii@gmail.com
- Add us to your Contact List so this newsletter doesn't end up in your spam folder
Top 5:
1. Bitcoin Rides $46K-$48K Weekend Tide After ‘Crypto Witching Day’
Bitcoin's price hovered around $47,000 on Sunday evening in the U.S. heading into the first week of the New Year. Price over the holidays reached a peak of just under $52,ooo on December 27th before returning to sub-50K levels. Ethereum followed a similar trajectory with price hanging around $4,000 before falling to around $3,800. Last Friday, the so called Crypto Witching Day, saw the expiration of $8.67 bullion of bitcoin and ether options contracts.
2. DOGGY DAO is here. Woof!
There's a new DAO (decentralized autonomous organization) in town from the team at Shiba Inu. Doggy DAO is being launched to provide users with more input on crypto projects and pairs on the ShibaSwap platform. The DAO, which is being rolled out in phases, will see "DAO 1" launch in the next few days. According to the team:
DAO 1, is focused on providing immediate power to the community in order to decide which crypto projects and pairs on the ShibaSwap WOOF Pools will be, and how the $BONE rewards (Allocation Points) are to be distributed amongst them.
$BONE is the native governance token of the ShibaSwap platform and the new DAO will use $tBONE (staked $BONE) for voting rights.
3. Marathon Digital’s ‘Record Purchase’ of Bitcoin Miners Will Cost $879M
Marathon Digital (MARA) is continuing their quest to become the Eliud Kipchoge of bitcoin mining. Last week the firm purchased 78,000 Antminer S19 XP bitcoin miners for $879 million. Beginning in July, 13,000 miners will be delivered to the Las Vegas based company each month. By early 2023, Marathon expects to have 199,000 miners operational and plans to generate 23.3 exahashes per second, a 600% increase from today's levels. The Bitcoin network's hash rate is currently just below all-time highs for the 7 day average.
4. Half a Dozen of India’s Crypto Exchanges Searched After Alleged Rupee 700M Tax Evasion Detected
According to Coindesk sources, India’s tax authorities have conducted searches at some of India’s biggest crypto exchanges including CoinSwitch Kuber, CoinDCX, BuyUCoin and Unocoin after "tax evasion" of 400 million INR (6 million USD) was detected at another crpyto exchange, WazirX. The team at WazirX, a Binance-owned platform, blames lack of clarity in regulations stating:
There was an ambiguity in the interpretation of one of the components which led to a different calculation of GST [Goods and Services Tax] paid. However, we voluntarily paid additional GST in order to be cooperative and compliant. There was and is no intention to evade tax. That being said, we strongly believe that regulatory clarity is the need of the hour for the Indian crypto industry.
The searches and alleged tax evasion are clearly steps in the wrong direction for crypto companies and users in the world's largest democracy. The Indian government had previously considered banning crypto outright, but has since backed off that stance and now allows citizens to invest in crypto, but not to use it as a means of payment.
5. Happy Proof of Keys Day!
What is Proof of Keys Day? It's a crypto holiday celebrated on January 3rd (date the Bitcoin network was launched in 2009) that encourages investors to take custody of their coins by taking them off exchanges, where they could be at risk during a scare that causes a bank run type event. The below example is certainly extreme, but does a good job illustrating the potential risks.
STUNNING numbers. Peeps—block space is scarce.💪If you ever need to withdraw your coins from exchanges quickly amid a scare, it may be very expensive & may not be available to you as fast as you need it. If you’re new to #bitcoin & don’t understand this, dig in.🧐 #proofofkeys 🔑 https://t.co/uBtPUiyrCS
— Caitlin Long 🔑⚡️🟠 (@CaitlinLong_) January 2, 2022
Top Sharers of the Crypto Top 5:
1. Jake Y. - Greenville, SC
2. Cameron S. - New York, NY
3. Lauren A. - Nashville, TN
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.