Discover more from Zash’s Newsletter
Crypto portfolio in trouble? Have you tried turning your monitor upside down?
Community Update 39
this weekend we’re trying out some new things with our newsletter as well as taking a deep dive on DAOs and more, check it out below ⬇️
Creator of the Week 🧠
We’re trying something new with our Creator of the Week format and to kick us off we have Rohith, our Campus Ambassador from Heriot Watt.
I'm studying for a degree in robotics, autonomous and interactive systems engineering, which really helps my understanding of the companies that are innovating the technology of the future.
When it comes to investing I’m interested in?
I’m interested in Big Tech and Crypto. I try to invest in companies that make product i use on a day-to-day basis, like Apple.
What have I invested in?
As for my investments, my main holdings are Bitcoin and Ethereum. I believe that with the raise of NFTs Ethereum is the currency of the future and Bitcoin is digital gold.
Web3 Insight 🌐
This weeks Web3 insight will take a look at Constitution DAO and their failed bid to buy a copy of the United States Constitution.
Whats a DAO
A DAO, or Decentralised Autonomous Organisation, is an organisation run by encoded rules and controlled by its members. There’s no central leadership and all decision-making is bottom up. While DAO’s aren’t a new idea they’ve had a second lease of life after the US State of Wyoming recognised DAO’s as Limited Liability Companies (LLC).
What does this have to do with the United States Constitution? DAOs set their own rules on a range of matters, one of which being how to manage funds and this is where the Constitution comes into play.
Sothebys auctioneers was to auction off one of only 2 privately owned copies of the original United States Constitution and a group of crypto enthusiasts decided they wanted to buy it. However, the estimated price at auction was about $15 million and they would need a little help. So, last Thursday Constitution DAO was formed and a week later they raised over $40 million from more than 17,000 members.
It should be noted that up until Wednesday evening (East Coast) the DAO only had about $13 million, the rapid raise and community push across the last 24 hours epitomises what the crypto community is capable of. Furthermore, unlike most DAOs or NFT projects the Constitution DAO community isn’t token gated. This means that someone who joins their Discord channel doesn’t need to have made an investment in the organization, a club with grand ideas without the grandiose.
Sadly these crypto nerds couldn’t make it over the line and lost out during the auction where the Constitution sold for an impressive $43.2 million to Citadel CEO Ken Griffin. Thankfully Griffin has committed to similar goals as the DAO when it comes to storing the document, “I intend to ensure that this copy of our Constitution will be available for all Americans and visitors to view and appreciate in our museums and other public spaces.”
An organiser for the group clarified on Discord that they lost because they hadn’t raised enough money to establish a reserve which would allow them to maintain and care for the document. While participants can now get their money back they’ll have lost out on expensive gas fees and as tokens haven’t been circulated yet things could get even more complicated.
Check out the action below from 2:33:00 when the bidding starts
Elsewhere in the crypto world here’s whats been happening.
The iconic home of the Lakers and the Clippers is set to be renamed the Crypto.com stadium after the Singapore based Crypto exchange purchased the naming-rights for over $700 million. However, some locals feel “The Crypt” is more appropriate after the change was met with derision in parts.
While crypto continued its mainstream takeover the markets themselves sufferd. Bitcoin is down 8.2% on the week while Ethereum isn’t much better as it lost 7.8% of its value during the same period. Fear not though, corrections are common and we’re not looking at a 2017/18 style drop just yet and for anyone thats wondering how to spot a bull market check out this fantastic quote Peter Brandt.
Reading of the Week 💡
Nancy Pelosi had a tough time trying to get the US spending bill through the House but eventually it passed. What does the near $2 trillion bill mean for markets?
EV makers like Tesla, and Rivian once it sells a car, will receive a boost as the plan is set to build 500,000 electric chargers by 2030.
A large part of the bill aims to provide direct investment in rural and tribal communities to bring them 100% broadband coverage, surely to the benefit of some telecoms stocks.
Tech News 🖥️
Sick and tired of dealing with Apple Experts at the Genius Bar? Well lucky for you Apple have just announced a self-service repair programme
Amazon announced yesterday that they will cease to accept Visa credit cards in the UK, but thankfully not until after Christmas. Amazon is offering a £20 for Prime customers to switch from using Visa to an alternative payment method.
Stock Market 📈
Royal Mail closed up over 7% as they announced shareholder were set to receive £400 million after a strong start to the year.
Electric Vehicle company Rivian had a spectacular IPO last week, but after a week long rally they closed 15% down on Wednesday.
Was this email forwarded to you? Sign up here.
That’s all for now and we’ll see you next week,