TGH Newscast #5
May 18, 2022
TGH Newscast May 9th - May 15th, 2022
This week we have probably seen the single most crazy event in years with the catastrophic collapse of the Terra Luna ecosystem. But before we get into the craziness, let’s give an update on the TOTAL. The Total Crypto cap is looking rather dreary this week. On the week, the TOTAL dropped -14.10%, however, the wick on the downside was another whopping -18.47%. At one point we were actually down -30% on the week before jumping back up. This appears to be a capitulation since the TOTAL is now down to the mid $1.2T area, BTC is down hovering around $30K, and ETH is hovering right around $2K. There are also bears calling for a drop below prior all-time-high prices from 2017, due to the fears in the world economy. With the market experiencing heavy turbulence, and many market participants worried about the future, anything seems to be on the table. Let’s dive in.
- The first piece of news is the Luna ecosystem collapse. If you haven’t lived under a rock the last 7 days, you’ve probably noticed that Luna fell from a market cap of ~$41B to ~$6M after it underwent hyperinflation. After the UST token, the stablecoin for the Terra blockchain, depegged, Luna was used to attempt to regain the peg. Unfortunately, this mechanism failed, and resulted in the hyperinflationary minting of Luna in the vain effort of buying back UST. This caused Luna to go -100.00% over the week before validators moved to shut off the blockchain completely. The blockchain was turned back on without minting, and since then has ranged in the thousands of cents prices. Unfortunately, UST is still only around 10 cents, and Luna has a supply of approximately 6.5 trillion; so the only solution is to relaunch at a lower supply. How's that going to work? Your guess is as good as ours.
- The 4th Ethereum Shadowfork was successful this week! Despite the price being dreary, the core Ethereum developer team continues to plug along and keep building. The Merge is soon.
- After a couple delays over the past few weeks, the first BTC and ETH spot ETF’s have officially gone live in Australia! There was a slight delay due to a lack of reporting information from one of the brokers last week, but all the hurdles have finally been cleared. This is a massive step forward for both BTC and ETH; having a spot ETF means that there will be real BTC and ETH purchased here instead of just paper trading.
- After releasing a rather dismal report for their Q1, Coinbase has now plunged to ATL values yet again. Seeing volumes on the platform drop 44% from January to March, alongside a net reported loss of $430M as of May 10th, investors aren’t happy. A large part of this volume decline is likely due to the choppiness and lack of trade opportunities over the past few months. However, since nearly 80% of Coinbase’s revenues come from trading fees, a drop in volume is a direct hit to their bottom line.
- Instragram has now officially announced that they will be integrating NFTs into their platform. This is an absolutely gargantuan integration, considering the total number of daily active users on Instagram is 1.9 billion people. In any other week, this probably would’ve taken the cake as the top news spot, but unfortunately it was overshadowed by the implosion of Terra. So short term, didn’t really have an affect on the market, but long term this integration is massively bullish for adoption.
TGH Picks News
- DigitalBits has now partnered with Fireblocks! This partnership will allow users to custody any fungible or NFT asset using the Fireblocks’ suite! The Fireblocks’ suite gives the ability to mint, manage, move, and store digital assets in an enterprise grade capacity.
- The Unfettered has successfully completed their private sales round for $2.5M! Capital Vendetta and Ice Tea Labs led the raise, and were able to secure funding from @animocabrands @Morningstar_vc @Bridge_Mutual @Momentum_6 @FOMOcraft @GainsAssociates @ZBScapital @goodgamesguild @BreederDAO @PolkaCity @ParibuVentures @CryowarDevs @parachainvc
- XCAD has released a sneak peak behind their NFT Moments! The NFT Moments allow users to open packs with CT’s or XCAD, and to own iconic Youtube Moments that can build rewards! The NFT Moments is also going to be hyper deflationary for creator tokens and XCAD, so definitely keep an eye here.
- We are extremely close to getting gameplay access for Gold Fever! According to a recent tweet, the NGL holders have all been scanned and will soon be getting access to participate in the Game of Diggers program. So if you’re a holder and you registered last week, make sure to keep an eye on your email!
- Wilder Worlds has announced that holding one Wilder Wheels will get you a Wilder Moto! For every Wilder Wheels that’s bought before the snapshot, that NFT will be able to claim a motorcycle for free, plus gas! This has skyrocketed the Wheels floor since each Wheels will only be able to claim their motorcycle one time.