Cardano Rumor Rundown November 15, 2022

Hey Everyone!

Let’s go….

Newly Covered Today:

1. Charle’s straight killed it in that mega twitter space with a bunch of big crypto names by pointing out that Cardano and Bitcoin are good in all this because they’re actually decentralized which is what the whole space needs to pursue instead of a bailout. The whole crypto space needs to live up to the label of “decentralization” we slapped on this thing. https://twitter.com/iamshamdol/status/1591933841337638913
2. The Dragon is using FTX as a foothold to paint all of crypto as “smoke and mirrors”. Shocker: she wants “aggressive enforcement”. https://twitter.com/SenWarren/status/1590496981751058432
3. Things keep getting worse with FTX/Alameda. The Wall Street Journal is reporting that “Alameda Amassed Crypto Tokens Ahead of FTX Listings”. https://www.wsj.com/livecoverage/stock-market-news-today-11-14-2022/card/alameda-amassed-crypto-tokens-ahead-of-ftx-listings-public-data-shows-z6KFN051ToEpFohTXA89
4. Senator Lummis explains why the FTX bankruptcy wouldn’t have happened under the Lummis-Gillibrand Bill. https://twitter.com/SenLummis/status/1592212987259281408

Previously covered, but still interesting:

1. Greenland is looking into blockchain voting. https://www.computerweekly.com/news/252526273/Greenland-investigate-potential-blockchain-based-election-system
2. The next FutureFest concert is going to be a multi-destination concert with several venues all built on Unity. https://twitter.com/unitygames/status/1582370930709274624
3. All of the beachfront parcels on Spy Island in REACH are now gone. https://www.market.reachmetaverse.org/map
4. The LexPunk Army is making public a copy of the Digital Commodities Consumer Protection Act that is making the rounds in Washington. https://github.com/LeXpunK-Army/Crypto-CaseLaw/blob/main/DCCPA%20Markup%20Latest%2010.19.22.pdf
5. Here’s some great analysis on the leaked DCCPA draft. https://twitter.com/ianDAOs/status/1582897980935266304
6. SBF floats his ideas on crypto regulation and people aren’t happy about it. https://www.ftxpolicy.com/posts/possible-digital-asset-industry-standards https://twitter.com/SBF_FTX/status/1582835426116575235
7. Liqwid’s Agora code audit is 50% done. https://twitter.com/DCdoso/status/1583152577079701505
8. It looks like the new info coming out of the SEC on NFTs is already having an effect on decisions made by NFT projects. https://twitter.com/Canadian4Crypto/status/1583090643043516416
9. ADA Realm just did something really important. They made a beach bar and explicitly called it a “bar”. I approve. https://twitter.com/AdaRealm/status/1583190472591568896
10. A certain youtube personality seems extremely angry at a certain Ethereum personality. https://twitter.com/WatcherGuru/status/1583202589654495232 https://www.youtube.com/watch?v=o2dhgZopyBs
11. Even Representative Tom Emmer of the US Congress says we shouldn’t sacrifice decentralization or DeFi in the name of new crypto legislation. https://twitter.com/RepTomEmmer/status/1582915646157131779
12. A user on FTX is reporting that he had $1.5MM USD stolen from his account. Another person is reporting a loss of $2MM USD. Brutal! The discussion seems to mention possible compromise of 3commas trading software API Keys by the attackers. The team behind 3Commas seems to be pointing to a phishing strategy by the attackers. https://twitter.com/littlesand2/status/1583830658203283456 https://twitter.com/3commas_io/status/1583571729628004352
13. Shahaf Bar-Geffen makes a very important point about your future as an AI with whom your great grandchildren might interact. https://twitter.com/shahafbg/status/1584244982537277440
14. Sam Bankman-Fried responds to a question about why FTX hasn’t listed spot ADA.
15. Just the metrics examines Aptos as compared to more decentralized blockchains like Cardano. https://twitter.com/Soorajksaju2/status/1584133947227013120
16. The ETH/EVM world is having a hard time right now trying to hash out how much of their DeFi is going to fall under the control of regulators. https://twitter.com/JonnyRhea/status/1584252081493667842 https://twitter.com/lex_node/status/1584180230297890817 https://twitter.com/SBF_FTX/status/1584184430117425152
17. MuesliSwap has completed its transition to MuesliSwap v2! https://twitter.com/MuesliSwapTeam/status/1584650148273336320
18. Liqwid mentions that they’ve been working with Platonic Systems and it has accelerated their launch timeline. https://twitter.com/liqwidfinance/status/1584587690712104960
19. Apparently, Apple has decided that Apps in the App Store aren’t allowed to sell NFTs that unlock features in the App. https://twitter.com/wongmjane/status/1584609845570768897
20. It’s reported that Twitter is working on a crypto wallet. People surmise this is an impetus for Elon’s purchase. https://twitter.com/CaitlinLong_/status/1584729157401202688
21. The Pavia map is looking a lot fancier. https://pavia.io/map
22. Reportedly, this video is of a fox walking past 10 Downing Street ( https://twitter.com/itvnews/status/1584976609232445440) as Rishi Sunak prepares to take his position as the next Prime Minister of the UK. No idea if this is actually current or if the fox was voluntarily there or planted. We already know that Rishi Sunak seems to be very pro-CBDC and likes BAYC more than Crypto Punks. Sunak is a familiar figure from back in April when, as Chancellor of the Exchequer he declared: “It’s my ambition to make the UK a global hub for cryptoasset technology…” https://twitter.com/hmtreasury/status/1468193641638207489 https://twitter.com/tier10k/status/1584635528695017472 https://www.gov.uk/government/news/government-sets-out-plan-to-make-uk-a-global-cryptoasset-technology-hub https://twitter.com/greyskulledm/status/1511026486798651393
23. There are reports that the UK House of Commons also voted to treat cryptocurrencies as regulated financial instruments. Apparently there was even language around the inclusion of stablecoins. https://www.yahoo.com/now/uk-lawmakers-vote-recognize-crypto-153128469.html
24. NMKR now has a function for you to auction off any NFT. https://twitter.com/nmkr_io/status/1584975658777972736
25. Here’s the link if you missed the Rare Bloom Keynote from Charles. https://www.youtube.com/watch?v=TZ8K8FW72BA
26. US cryptolaw is turning into the worst export ever. https://twitter.com/lex_node/status/1584962177739653121 https://twitter.com/brian_armstrong/status/1585001996490510336
27. Nami Wallet Version 3.4.1 is out now! https://twitter.com/berry_ales/status/1585395882605903879
28. Apparently, people are now paying for telemedicine on Cardano! https://twitter.com/Citaldoc/status/1583548196927983616?s=20&t=hK3-IVgaiGG7V7voRgiOuA
29. Looks like A16Z is getting stung by this crypto winter! How do you say 40% mark down in their fancy abbreviation system? https://www.wsj.com/articles/andreessen-horowitz-went-all-in-on-crypto-at-the-worst-possible-time-11666769270
30. Elon musk just walked into Twitter HQ with a literal sink in his hands saying “let that sink in”. This could have a significant impact on crypto if his purchase is related to the potential of Twitter as a payments network as some have surmised.
31. Elizabeth Warren & AOC seem mad that crypto is now engaging in effective lobbying just like their buddies in big tech. https://punchbowl.news/wp-content/uploads/10.24-Letters-to-Regulators-re-Crypto-Revolving-Door.pdf https://www.opensecrets.org/members-of-congress/alexandria-ocasio-cortez/summary?cid=N00041162 https://www.opensecrets.org/members-of-congress/elizabeth-warren/summary?cid=N00033492
32. The Monetary Authority of Singapore has proposed new crypto regulations with a special focus on stablecoins. https://www.mas.gov.sg/news/media-releases/2022/mas-proposes-measures-to-reduce-risks-to-consumers-from-cryptocurrency-trading-and-enhance-standards-of-stablecoin-related-activities
33. Everyone who saw the “Day in the Life of a Meta PM” video comes away shocked at the -20% dive after the earnings report. Was the culprit rooftop avocado toast and lattes, the $3.9 billion lost on the metaverse, or the (currently) ill-fated stock buy back? Time will tell. (Oct 27). https://twitter.com/zerohedge/status/1585398981995233304 https://twitter.com/unusual_whales/status/1585376066713321472 https://twitter.com/zerohedge/status/1585374381211062273
34. One of the AI generated Tim Beiko tweets is too accurate! https://twitter.com/TimBeiko/status/1585699510243950594
35. Paypal just quietly reinserted the $2500 penalty if you engage in a transaction they think amounts to a “form[] of intolerance that is discriminatory”. https://twitter.com/WallStreetSilv/status/1585643176185823236
36. The World Mobile Aerostat program is amazingly cool. https://twitter.com/WorldMobileTeam/status/1585715475690004481
37. It looks like Army of Spies is in the running for the Educational Influencer award at the Cardano Summit 2022. Vote here: https://voting.summit.cardano.org/nominees
38. Elon has consummated the transaction to acquire Twitter and the slaughter of executives has already begun. https://twitter.com/WallStreetSilv/status/158526910183167181
39. IOG has released a new article on the pros and cons of changing the K parameter vs. changing the minimum fee for stakepools. https://www.essentialcardano.io/article/staking-parameters-and-network-optimization-where-next-for-k-and-min-fee https://twitter.com/InputOutputHK/status/1585600629740896257
40. Even Forbes Crypto is now talking about how Cardano is #3 for NFT volume. https://twitter.com/ForbesCrypto/status/1586628979556917249
41. World Mobile says it is looking to almost double the number of airnodes in Zanzibar by the end of the year. https://twitter.com/WorldMobileTeam/status/1586789320471576576
42. The Cornucopias bridge from BSC to Cardano is coming today! (Oct 31). https://twitter.com/CornucopiasGame/status/1586849014611329024
43. Don’t forget that the Cardano 360 for October is out and available. https://www.youtube.com/watch?v=hZRwLWKNNfQ
44. Erik Voorhees crushes SBF’s logic by asking him to distinguish between KYC for DeFi front ends and KYC for email front ends. https://twitter.com/artofbagholding/status/1586117772005605376 https://twitter.com/ctaggr/status/1586104117197475844
45. If front ends become a focus of regulation, we might have to move to headless dApps. https://twitter.com/ERG_Armeanio/status/1586423711350984704 https://youtu.be/temmjyKpsEU
46. If you missed it check out this post from Pavia. It looks like you need to comment to get on the list for the Plaza test event. https://twitter.com/Pavia_io/status/1585939474030428160
47. It looks like the Cornucopias bridge from BSC to Cardano is now live (as of Oct. 31). https://twitter.com/CornucopiasGame/status/1587110191031541761
48. Check out the new weekly thread series “This Week in Cardano”. https://twitter.com/Soorajksaju2/status/1586813500596232193
49. Sooraj & Laura will also have a new Cardano podcast coming soon. https://twitter.com/Soorajksaju2/status/1586998510892863488
50. Somehow I totally missed this video preview of the cyberpunk themed district of the Pavia Plaza. https://twitter.com/Pavia_io/status/1580554201813618689
51. Elon’s going to make the blue check mark accessible to all for $8 (or the purchasing power equivalent in your country) and also reward content creators. This could have significant effects on crypto ecosystems like Cardano that rely heavily on Twitter. https://twitter.com/elonmusk/status/1587498907336118274
52. Virtua has given us a look at what the entire planet of Virtua Prime will look like including the location of Cardano Island in relation to the other land masses. https://twitter.com/VirtuaMetaverse/status/1587525839628951552
53. Artifct has made a decision to shut down their marketplace. Hopefully, this will mean a focus on the moon metaverse project instead. https://twitter.com/ArtifctApp/status/1587168164336390144 https://discord.com/channels/882364185244237884/882374348638404628
54. Here’s another teaser from the Pavia cyberpunk district. https://twitter.com/Pavia_io/status/1587476665516662784
55. MuesliSwap has revealed some upcoming farming UI changes. https://twitter.com/MuesliSwapTeam/status/1587481326097207298
56. Ardana has revealed a new roadmap. https://ardana.org/roadmap/ https://medium.com/@ardanaproject/roadmap-2-0-the-journey-to-ardana-ba59335c6303
57. FutureFest just participated in the world’s first multi-destination virtual concert along with some other unity projects. https://twitter.com/futurefestxr/status/1587555369810731008
58. ADA Realm is creating “The ADA Realm Council”. Anyone who holds a plot can join to help provide input into the development of the metaverse. https://discord.com/channels/903957555083087892/903971388812050462
59. The U.S. Fed gave us another very unsurprising 75 basis point hike in the federal funds rate today (Nov. 2). This brings us to 3.75-4% which is the highest rate we’ve seen since January 2008. https://www.cnbc.com/2022/11/02/fed-hikes-by-another-three-quarters-of-a-point-taking-rates-to-the-highest-level-since-january-2008.html
60. Apparently, Twitter has a program called Birdwatch that could be used to add “readers notes” to misleading tweets about Cardano. Maybe we should look into this to combat the psyops against Cardano. https://twitter.com/micsolana/status/1587774389264973826
61. Crypto and the Howey Test are on a collision course. https://twitter.com/scotty2ten/status/1587620216938594304
62. Here’s another case of a supposed news outlet trying to pretend like Cardano liquid staking isn’t the biggest and best out there. https://twitter.com/danny_cryptofay/status/1587761429607768064
63. There is speculation that the November announcement might be the actual building of a PEReDi (Privacy Enhanced Regulated Distributed) CBDC. A CBDC that isn’t a panopticon does sound better than the alternative. https://iohk.io/en/research/library/papers/peredi-privacy-enhanced-regulated-and-distributed-central-bank-digital-currencies/ https://twitter.com/Northern_ADA/status/1587805885379842050
64. For November surprise contenders, we also still have the speculation around BMW. https://twitter.com/seenwasad/status/1574144652902555652
65. Looks like IOG just acquired the talents of Dr. Vanishree Rao who led development at Mina! You’ve heard Charles mention some of the innovative work done at Mina in his AMAs. https://twitter.com/timbharrison/status/1588183693599731718
66. Goldman has teamed up with Coin Metrics to unveil a new crypto classification system they are calling Datonomy. Very clever Goldman: data + taxonomy. I’m sure you focus grouped the hell out of that one. https://www.cnbc.com/2022/11/03/goldman-sachs-unveils-crypto-classification-system-aimed-at-institutional-investors.html
67. You can do Cardano smart contract transactions with your Ledger hardware wallet device on an experimental basis. https://twitter.com/Ledger_Support/status/1588114156401856517
68. JP Morgan has now executed its first DeFi trade according to Bloomberg. https://twitter.com/ZeMariaMacedo/status/1588225282850390018 https://www.bloomberg.com/news/articles/2022-11-02/jpmorgan-executes-its-first-defi-trade-using-public-blockchain
69. The way they’re currently structured and operating, a lot of DAOs may get smashed as regulators will just view them as on-chain corporations who sold early stage securities to non-accredited investors. https://twitter.com/lex_node/status/1588184594133749760
70. Jpeg Store now has bundles. This will make it much easier for anyone trying to sell a metaverse estate. https://twitter.com/jpgstoreNFT/status/1588279773331001344
71. Check out this intro to Demeter Run, a “cloud environment with all the tools for building & deploying your Cardano dApp”. https://twitter.com/DemeterRun/status/1582893470015844352
72. Cardanians makes a really good point about Cardano having the largest team in crypto behind it. https://twitter.com/Cardanians_io/status/1588059198461558784
73. a16z thinks social media needs three separate game modes from safe space to wild west and to be governed by its users. https://a16zcrypto.com/toppling-the-internets-accidental-monarchs-how-to-design-web3-platform-governance/
74. There’s a whole crypto twitter drama happening right now with the finances of FTX and Alameda that has apparently led to Binance announcing that they will sell their FTX Token holdings (Nov. 6). https://twitter.com/JohnEDeaton1/status/1589305305388621824 https://twitter.com/cz_binance/status/1589283421704290306 https://twitter.com/DU09BTC/status/1589135270103773184
75. Colin from Obsidian and Lode Wallet gives us an early look at Hydra. https://twitter.com/osColinH/status/1588890270149783553
76. There’s trouble in DeFi land as it’s pointed out once again that LPing in AMMs seems to very frequently involve impermanent losses outpacing fee revenue. In this case, it’s asserted that the lab behind the AMM didn’t even understand the extent of the problem due to a mismeasurement. Of course, the prospect of new DEXs with impermanent loss mitigation brings something new to the table. https://twitter.com/thiccythot_/status/1589022227437039616 https://twitter.com/ravanave/status/1589264438087266305
77. LBRY announces that they lost in their case with the SEC. The ruling is pretty much the opposite of what everyone was hoping. https://twitter.com/LBRYcom/status/1589645453091827712 https://odysee.com/@lbry:3f/secvslbrysummaryjudgementruling:a
78. Virtua’s mobile app is coming today (Nov 8). I’m curious to see how much of the functionality relates to their metaverse. https://twitter.com/virtua_official/status/1589691063211790337
79. Pavia says only one more dev sprint until they can reveal the Plaza test event date. https://twitter.com/Pavia_io/status/1589601264102699008
80. This twitter space today (Nov. 8) on audits and security includes MLabs, Runtime Verification, Simon Thompson of IOG, and Tweag. https://twitter.com/thompson_si/status/1589620874269044736
81. Charles dropped a whole video on how Elon can decentralize Twitter with Doge and Cardano. https://www.youtube.com/watch?v=G7dmU2CCJo
82. MuesliSwap drops a mysterious tweet saying it is working on one the biggest Cardano DeFi innovations. https://twitter.com/MuesliSwapTeam/status/1590096808042459136
83. Charles sums up today in Cardano perfectly. https://twitter.com/IOHK_Charles/status/1590151060639059970
84. CZ of Binance signed a non-binding letter of intent to acquire FTX to help remedy what he describes as a liquidity crunch at FTX. https://twitter.com/cz_binance/status/1590013613586411520
85. I definitely did not think I would wake up this morning and watch Martin Shkreli and Do Kwon in a live discussion of a non-binding LOI for Binance to acquire FTX. https://www.twitch.tv/uponlytv
86. Here’s a great thread offering a very thorough explanation of what has gone down with FTX. https://twitter.com/milesdeutscher/status/1589631447517655040
87. Elon files paperwork with FinCen for Twitter to become a payments network as a money transmitter. https://twitter.com/jp_koning/status/1590413986843201536
88. Here’s a nice video of Charles crushing the kid from The OC (who is now a middle aged crypto critic) along with some other person who says that “crypto has ruined lives.” The actor basically thinks that every cryptocurrency is just a security. He also reminded everyone he went to college and has a book coming out. https://twitter.com/casey_lau/status/1589530354217783296
89. Out of the FTX-Alameda chaos, things are really REALLY not looking good for Solana. https://twitter.com/DU09BTC/status/1590307342884962305
90. Virtua gave us a sneak peek of the inside of the Cardano Island condos. They look good! https://twitter.com/virtua_official/status/1590450026957840384
91. My…my…my…how the tables have turned, Solana. https://twitter.com/MagicEden/status/1590435695080140800
92. Rumors are swirling that wrapped BTC in Solana issued by FTX and/or Alameda and present on many lending and AMM platforms will spread the contagion very widely. https://twitter.com/weremeow/status/1590461628864397312
93. The Cardano Summit registration for virtual attendance is now open. The Summit will run Nov. 19-21st. https://twitter.com/Cardano/status/1591793019975397377
94. Cardano development stats are looking very nice (Nov 14). https://twitter.com/InputOutputHK/status/1591822447346536449
95. IOG’s virtual ScotFest will be happening right before the Summit Nov 18-19. Kickoff will be 10:00 AM GMT on the 18th. Keynote from Charles at 2pm GMT on the 18th. https://iohk.io/scotfest/
96. Apparently, Crypto.com says it accidentally sent $400 million to Gate.io and then had to ask Gate to send it back. People should be asking some serious questions about controls at crypto.com. https://twitter.com/kris/status/1591605600638881792
97. BlockFi appears to be impacted by the FTX/Alameda implosion. https://twitter.com/BlockFi/status/1590875997351866368
98. Carda Station has a treasure hunt going on inside their metaverse! https://twitter.com/Carda_station/status/1591462387776888833
99. A large ETH podcast gets called out and ratioed hard for its past behavior in the context of current events. https://twitter.com/StakeWithPride/status/1591500079873265665

~Army of Spies

ImCoinShop.com - RoyalNFT (RYN) Pig Butchering Ponzi Scheme

I started talking to a woman on Tinder, who immediately threw me over to WhatsApp and we started somewhat of a meaningful conversation. Of course, meaningful conversations such as this turned into cryptocurrency discussion regarding a website called ImCoinShop.com and a currency called RoyalNFT (RYN).

As things progressed in the discussions, things started to look weird when it came to Etherscan.io and Cointracker.io providing me details on where my Ethereum was going as part of this whole process. The process to purchase RoyalNFT was to buy ETH on Coinbase or some other exchange, forward it to a "Capital Wallet" on ImCoinShop, transfer it to a "Transaction Wallet" on the site, sell your ETH into USDT, use the USDT to buy RYN, wait for RYN to hit $20, and then cash out.

RYN has held a significant consistent increase regardless of market conditions involving Bitcoin and Ethereum. I had considered myself fairly smart on the matter of crypto, having used Cointracker and Coinbase to make money with Ethereum GPU mining and properly account for tax returns.

The fact that RYN kept going up without any real decline, lack of information, and other forms had me ultimately conclude that the cryptocurrency is nothing more than a Ponzi scheme, likely paying people with other investors' money.

Timeline of RYN investment

Sent about $700 USD in Ethereum from Coinbase to ImCoinShop’s “Capital Wallet”

ETH moves from “Capital Wallet” to “Transaction Wallet” to purchase tokens/assets.

According to Etherscan.io, the capital wallet has only received my ETH that I moved in from Coinbase and no other ETH in its entire lifespan. The only transaction outbound is to this “Transaction Wallet”

The ImCoinShop “Transaction Wallet” has been active for 421 days, receiving incoming ETH and periodically transferring it out to an OKEx 3 exchange wallet. This would make some degree of sense considering exchanges like Coinbase have wallets where funds are transferred out to and from, registering them respectively in your name and your account.

The “Transaction Wallet” last transferred ETH to this OKEx exchange wallet about a week before it received my ETH from my “Capital Wallet”.

Approx 4 days ago, this “Transaction Wallet” moved about 0.862613 ETH (which half of is likely mine due to paper trail), to a random wallet which has received a large influx of ETH, currently holding 47,535 ETH (nearly $60 million USD)

Questionable flag- The ETH that I moved to the “Transaction Wallet” was sold into USDT on the website and used to buy RYN. However, according to Etherscan.io, the ~0.42 ETH had not moved from this transaction wallet until 4 days ago. According to Etherscan.io, the “transaction wallet’ currently has no ETH of any amount to speak of, since it periodically offloads the ETH to a consistent exchange wallet.

Why would the transaction wallet on ImCoinShop suddenly move ETH to a random wallet address which seems to currently be hoarding It and has no links to being used by an exchange?

Second questionable flag - RoyalNFT (RYN) was a currency I had not even heard of and you cannot even easily search for its existence via Google or other forms of media. The only place it seems that RYN exists is ImCoinShop, which also has very little information about it as an exchange.

Third questionable flag - The person I was speaking to always seemed to be rushing me into putting money into RYN, citing how she had started investing when BTC and ETH hit their peaks of $60k+ and $4k+, where she had a good few million in play and her RYN wallet linked to me showed she had about $1.5 million. Despite my limited income, which at times felt depressing to explain to her (always has been depressing for me to explain difficult debt, I’ve been pretty far down the hole before), she always seemed to insist on trying to rush me.

Fourth questionable flag - At some point in the conversation with her, she said “The profits are so great that if I were you, I would do everything I could to get some money and put it in.” To which I countered that “I would if I could, but can’t. No funds until I get paid, not going to pull cash advances since that would be dumb.” She seemed particularly invested in my putting anything I could into this whole thing.

Fifth questionable flag - I use cointracker.io for tax purposes, having used it to keep track of taxes from when I previously used ETH investments + mining to get myself out of a previous debt hole. Using that website, I was curious where my ETH was going and where it ended up. This is how I came to the paper trail as seen above and that it was odd that where my money was going had been a wallet in use since 2021. I was wondering why a fresh account has transactions from other peoples’ wallets. I presumed someone had access to my wallet or that my money was not my own.

Her response was “Sell RYN. I don’t want to say anything.” When asked why, she said “Because you have a lot of doubts.”

Sixth questionable flag - She said that “when you put your money into your bank card, you have already paid taxes. Don’t worry about this.” This was in response to me tracking my crypto transactions for tax purposes and I explained to her how buying/selling/trading/forking are all taxable events.

Her response - “I just need to get as much RYN as possible.”, “These didn’t help me to make a profit. For someone who supposedly has a large amount in crypto,

The final flag and the final straw - I had seen on Reddit that someone linked Coffeezilla's video about how the CEO of FTX basically described what a Ponzi scheme was in the form of a crypto token being a box that people put money into. I mentioned this to her and wondered about RYN in that context, since our ETH was being thrown into a pooled wallet like everyone else's on the site.

Her response "I don't want to discuss this with you, you should stop investing in cryptocurrencies if you think you know a lot about them. Pretending to understand without knowing."

I decided then and there to pull the money out of RoyalNFT and see what the paper trail on Etherscan.io would have for me if I did decide to pull it back, where would I come from? My thinking and response to her was that I would lose nothing if I simply pulled out and went back in.

Her response, which completely threw any idea of a relationship out the window, was the following

"Do you know why you are so poor? As a 30 year old man, so poor. Suspicious of this and that all day long. Not thinking about how to make money. On your hundreds of dollars, others are not willing to spend time to cheat you. Anyway, I got the money I deserved, what about you? Can you afford to pay $10k when you are also 30 years old?"

"I don't understand. I don't care. I can get my money and that's it. I'm attacking you because you're just a dumbass and I don't want to talk to you anymore. Don't send me any more messages. It is your own decision, get lost and don't send me any more messages."

I basically told her that I didn't want a girl who's investing in a Ponzi scheme anyway and attacking me for my wealth in comparison to her own. True colors come out when I call it suspicious and instead of clarifying anything, she called me dumb.

And then I learned about what a "pig butchering" scam was after looking up the website and hopefully, I pulled out just in time.

TLDR - An Asian lady you meet on Tinder changes the conversation into investing into some crypto you’ve never heard of. Might end up +$200 because I pulled out, but might also lose $700.

TADR - Scan for ETH. Money always has paper trail. HODL $GME and DRS. You be glad you did :D

Bitfarms Earnings Press Release

https://bitfarms.com/investors/news-events/press-releases/detail/168/bitfarms-reports-third-quarter-2022-results-with-positive

I'll write some more about a few details later, but first I wanted to show how misleading this press release is. I'll quote from it and add my context.

average direct cost of production per BTC** of $9,400, compared to $9,900 in Q2 2022

That ** was in the PR, I didn't add it. They are making up this definition to make it seem favorable, like they are mining at a profit. They aren't - it was a $98M operating loss for the quarter. If you go find the **, it reads:

\*Represents the direct cost of Bitcoin based on the total electricity costs, net of the gain on disposition of marketable securities used to pay Argentina energy costs in Argentine Pesos, and, where applicable, hosting costs related to the mining of Bitcoin, excluding electricity consumed by hosting clients, divided by the total number of Bitcoin mined.*

I didn't quite understand what this net gain on disposition of marketable securities is referring to, but I think it's a one-time accounting for some movement of money between Canada and Argentina.

Regardless, if you actually go pull up the Q3 report, it shows $33M "cost of sales" against the 1,515 BTC mined. That's $22,011 / BTC. It cost $22,011 for each BTC mined in Q3. This is a marked improvement over Q2 where it was $33,265/BTC, but they are still losing money for each BTC mined.

They later even include this line in the same PR:

Total cash costs of production per BTC were $14,300 in Q3 2022

But this is the ignores-depreciation cost. The 9,400 number is hard to figure out, but clearly misleading.

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Bitfarms is on pace to be one of the largest known producers of Bitcoin.

"on pace to be one of the largest". The phrase means nothing more than "Bitfarms is one of the producers of Bitcoin.". lol.

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even with recent BTC pricing, we continue to generate positive cash flow from operations and posted $10 million in Adjusted EBITDA.

The Q2 report ended the period with $46M and the Q3 report ended the period with $36M. All while raising cash and selling BTC. You have to contort to ignore lots of real costs to declare positive cash flow.

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“During the quarter, we strengthened our balance sheet to be better positioned to take advantage of complementary opportunities,” concluded Morphy.

AFAICT, All this is saying is that they paid some debts, specifically $15M on the 10.75% revolving credit. This does bring their liabilities down from 138M to 113M, a nice 24M drop. However, assets went from 473M to 376M, a whopping 97M drop. Assets - Liabilities is lower doesn't sound like a stronger balance sheet to me.

And how is having less cash as well as less unpledged BTC represent make you "better positioned to take advantage of complementary opportunities"? I have no idea.

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“When the BTC price started to trend lower, we began deleveraging the balance sheet. Since June 1st, we have paid down $94 million in debt, including fully retiring our highest interest rate facilities. As such, we expect to reduce annualized interest by $9 million.”

June 1st is Q2 if you missed it. Most of this was last quarter's announcement.

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At September 30, 2022, the Company held $36 million in cash and 2,064 BTC valued at approximately $40 million based upon a BTC price of approximately $19,400.

Firstly, "held 2,064 BTC" is a stretch when 80% of that is pledged as collateral. In fact, the lender actually holds all of that BTC. From the SEC report:

The Company is exposed to counter party risk as it is reliant on the Facility Lender to return the BTC collateral upon extinguishment of the Credit Facility. ... The pledged BTC is held in a segregated Coinbase Custody account owned by the Facility Lender.

Also, at today's price, that "approximately $40 million" is now approximately only $32M.

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A few more nuggets:

Sold 2,595 BTC

Mined only 1,515.

Subsequent to September 30, 2022 sold daily production, totaling 486 BTC, during October 2022

Selling everything we mine now.

Raised $13 million of net proceeds through the at-the-market equity program.

Diluted shareholders more!

Held 2,064 BTC in custody on October 31, 2022

100% of our BTC is now in custody against our loans.

Finalized terms on sale of the de la Pointe facility with net proceeds of $3.5 million expected to received by year end.

Selling off real estate assets.

Averaged 16.5 BTC per day in daily production for Q3 2022, frequently exceeding 17 BTC per day in daily production.

Averaged 16.5 but frequently got 17. Yes, that's how averages work. You frequently were below 16 too, right?

Elon Musk says BTC ‘will make it’ — 5 things to know in Bitcoin this week

Bitcoin may be bruised, but big names are keeping the faith as data shows investors have seized the chance to “buy the dip” on BTC.

Bitcoin $16,605 starts a new week on shaky ground after its lowest weekly close in two years.

The largest cryptocurrency considerably weakened after last week’s implosion of exchange FTX, continues to grapple with the fallout.

In what is becoming an increasingly erratic market, investors are unsure what will happen next as more firms sound the alarm over solvency and regulators step up investigations in the crypto space.

The mood among the majority is intensely fearful, and even some of the industry’s best-known names warn that it has been set back several years as a result of last week’s events.

At the same time for Bitcoin, it is business as usual. FTX is not the first such debacle it has weathered, and under the hood, the network remains as robust as ever.

Cointelegraph takes a look at the factors set to influence BTC price action in the coming days as the average hodler gets to grips with major losses and ongoing volatility.

Crypto braces for fresh FTX fallout

While little is for certain in the current crypto market environment, it is safe to say that FTX and its aftermath is now the number one source of Bitcoin price volatility.

The weekly chart says it all — a -$5,500 “red” candle for the seven days through Nov. 13 to the lowest weekly close since mid-November 2020, data from Cointelegraph Markets Pro and TradingView shows.

At the time of writing, BTC/USD is still around that close — $16,300 reappearing as a relief bounce after the pair wicked to just $15,780 on Bitstamp overnight.

Bitcoin bounces from $15,700 as Musk puts faith in BTC

Against the backdrop of ongoing uncertainty, making BTC price predictions is thus no easy task.

Turning to the moving average convergence divergence (MACD), analyst Matthew Hyland warned that the BTC/USD 3-day chart was about to repeat a bearish setup, which led to losses both times it appeared in 2022.

“Bitcoin 3-Day MACD is in position to cross Bearish tomorrow for the first time since April,” he wrote:

“It can be avoided if BTC can get positive price action before the 3-Day closes. Previous two crosses in the past year resulted in further downward price action.”

#blockchain #nonfungible #gamefi #metafi #defi #btc #FTX

Future of Crypto?

Sorry for the somewhat vague title here, but I really am interested what you all think about the future of crypto after this week’s events?

The downfall of both Terra and FTX is sure to ignite the wrath of regulators on the crypto space.

Like you all, I believe that the underlying technology behind cryptocurrencies can help to solve a myriad of societal problems. At the same time, having worked in the tech industry for two decades, it’s also clear to me that radical technologies, like the Internet and cryptocurrencies, do not always evolve in an ideal way.

What I’m particularly curious about is what a future with Crypto, CBDCs, and inevitable regulations will look like. What will be the role of crypto?

I’ve been thinking about this even more recently, and my conclusion is that, barring an effective banning of crypto (which I believe is pretty much impossible at this point), crypto will serve as both a testbed and release valve for fiat policies.

Consider that Bitcoin started in response to the 2008 financial crisis and exploded in popularity due to unpopular fiat policies, particularly Quantitative Easing. It has also served as an independent safe haven for residents of nations dealing with a failed fiat currency. However, it has (so far) not lived up to the promise of a hedge against inflation.

The advent of Ethereum and unlocking of smart contracts is another great example where cryptocurrencies shined and provided a testbed for financial experiments. This would otherwise have been impossible in a strictly fiat world.

What do you think?

WallstreetVR Comments on Recent Events

I want to provide varying perspectives on recent events.

SBF went bankrupt, and I cross posted an image of a lot of people involved that are connected to the stock market and more on r/WallstreetVR.

The worst part is that Saylor has lost a lot of money on $MSTR thus far. There is the possibility that if bitcoin continues heading towards 10k, he will get margin called.

The bank silverware could also be affected. In this scenario, we could see liquidation events accross the stock market as well as the crypto market.

This could lead to a further decline on bitcoin. However this is not a price prediction just looking at possibilities.

It is also possible that the people to be liquidated were trading against clients in every market from stocks commodities/metals/bonds. This means the recent T shaped candle sticks on all the sp500 related stocks is possibly an indication that the liquidations would be shorts not longs.

I hope This does not tell you where to buy or sell but to think about the possibilities of global markets.