Thank you all for being here. The topic today will be about connective tissue. How everything is interrelated, so lets jump in and not waste any more time. So, first of all, as usual, this is not financial advice, its never financial advice, its just entertainment sharing. What i see thats it and second of all, let me get this screen right. The story today again as i into that its about connective tissue and s curves and the secret in these exponential times, is to find s curves that collide and get in early, think tesla and well talk more about that later. But first of all lets talk about the week so far, um after witnessing the biggest de leveraging event. I always get that word wrong and reset and crypto history uh. We can see that this is from decrypt magazine um bitcoin ethereum had sizable recovery among top crypto currencies. Bitcoin was up over 10 of the last seven days. Remember this time. A week ago we dipped down to 17.5, and bitcoin is trading at about 21 000. Right now, im looking at it, live and ethereum reclaimed a little bit more territory up 20 percent up to nearly 1200 dollars and most cryptocurrencies rose at least forty percent over the seven days. Uh, it was crazy, like uniswap, will talk more about them later up. 45 percent in a week avalanche 30 percent solana, 35 to over 40 dollars and in fact every cryptocurrency managed to recover double digit percentages.

This week, with the exception of two in the top 30 – and that was cardano and tron, i think cardano went up about four percent, but they had a big rally uh in anticipation of their vassal, hard fork um, so they kind of was all run out already. You know we always talk about running up a hill, you get out of breath and tron uh was up eight percent. I think it was so. The question is: is it sustainable? This is from finbold over the past week: uh the market cap, climbed from about 830 billion up to 965, just shy of that trillion dollar mark and that was 133 billion dollars gain or 16 in market cap of coin market cap spoke a lot about yesterday, uh Bitcoin dominance on dca and thats, a key part of that, so you can see that bitcoin is running nowhere near as fast as some of the other players. So a quick piece of perspective ive always been a big fan of mark cusco. He was on the podcast on the margin and his view of markets. Right now was just so eloquent i just had to share listening to this morning. He said tech stocks have only been this expensive. Eight percent of the time – and he said bitcoin – has only been this cheap four percent of the time relative to its fair value and basically one is in the 92nd percentile of expensive and the other one is in the fourth percentile of cheap.

So just think about that as to where we are right now, a lot of people are saying should i buy, should i buy, of course we dont give financial advice, but per mark. These are historical times. So lets talk about a little bit of bad news. Uh. Obviously the low bitcoin price and the high hash rate has been weighing on miners. Low bitcoin price weighs on crypto mining stocks. Uh ones mentioned in this article were riot blockchain and terawolf, and publicly traded companies are down 78, some as high as 89 this year. I think hud is down 79 percent bit farms down 75 percent uh riot about 78, so theyre all getting hit hard and miners are now beginning to adapt and adopt capital preservation strategies such as selling bitcoin, even shutting down operations, turning off rigs etc. Now, what is the problem, and this is a little problem we may see on the horizon – and i wasnt aware of this until i read this in bloomberg and bloomberg said to fill the void of native crypto lenders such as galaxy digital nydig block fi celsius, network Foundry networks, babel finance, they began to accept bitcoin mining rigs as collateral, in addition to cash down payments, and there are estimates of up to four billion dollars in loans backed by these machines, which are amortizing very fast, which is also a potential problem. I think bubble in asia was hit hard by this particular factor.

Now, if you look at the rig prices, they are the lines below ignore the green. But if you look at the yellow, which is the s19, the m30 is blue, uh, the m20 and the s9. They are all depreciating very, very fast this year and that puts added pressure on potential liquidation, so not causing alarm. But it was an interesting angle from bloomberg today and, of course, weve got to mention the gravedigger, the grave dancers, sorry jim chanos whos, a perma short. He also spoke about uh bitcoin, being a predatory junkyard, and he stands by that paul krugman said he believes. Crypto is a large ponzi scheme and the ponzi scheme has run out of suckers and of course, michael bury the one of these three. I probably respect the most. He did: caution, retail buyers of meme stocks and certain cryptos barreling towards the mother of all crashes. So i think, if you want to listen to any of these three pick the guy on the right but uh, it was funny. I think it was which one i had the middle guy um paul krugman. He was the guy. That said, the internet is no more powerful than a fax machine in the year 2005.. So anyway, lets talk about some crypto stuff. Uniswap saw a record trend. This article says, finance, redefined, swap, goes against bearish trends, overtakes ethereum, and that was in fees of course uh, but that is a pretty staggering reversal in this bear market.

A lot of people are trading, a lot of activity and unisop overtook ethereum in terms of network feed, to pay fees paid and not all d5 protocols was lucky. However, because there was news of, i think bancor had to pause again, like many others, like voyager, etc. Uh, because of impermanent loss protection in the wake of a hostile market, so its not all a garden of roses out there right now lets talk about solana. There was a lot of news about solana this past week and switching gears quickly. It shows the blockchain is very real. This is from the new york event, where anatoly was giving a presentation with a whole bunch of great speakers and people from the actual blockchain itself. But just look at these numbers here. Look at the daus weve been looking a lot at that for over a year now, and the peak daily, active users on solano was 2.2 million people monthly peak 22.4, which is very similar to 21 million monthly unique users. Now their plan is obviously to release a phone, and that was the big excitement uh this week. Well talk more about the development first uh we always like to follow the developers follow the users follow the transactions etc. But here you see, seoul is definitely on a mission. They had a more than a doubling of active developer, repos between december 2021 and june 2022. That is pretty staggering, and that is, i think, as much or almost as much as ethereum, considering they have a lot of development activity now moving towards proof of stake, but lets talk about the phone for a second currently uh.

The vision of anatoly for solana was always get to one billion users, which is one eighth of the planet. Now there are over, i think, seven billion people using smartphones worldwide, more than 100 million people own digital assets, so the scope for growth here is massive. Remember at the beginning i mentioned s curves well when you smash together, crypto and mobile and adoption. That is a powerful thing, so we dont know if this thing is too much of a stretch, but it is, you know we know mobile is everything. Everybody has one its everywhere um, but from their monthly active users, and you multiply that to their vision of being a billion thats, a 44 multiple from where they are today and the only way they can get there is through mobile, so theyre smashing together. The combination of mobile users that have these devices have their own devices uh 3, to disrupt both mobile industries and crypto industries simultaneously, and it might be very ambitious, but they surely have a head start so well. Watch this space carefully and also think about sam bankman free, the guy on the left here, ceo of ftx, with the ceo of solana, labs anatoly kavenko. These two are special cats. Indeed, ftx is already transiting coinbase in terms of activity and trades, and finance is probably next on the list, and you know theres just so much going on between the solana pay center seed, vault, some other financial services.

The joint vision between sam bankman freed and anatoly its a one stop shop, one, stop platform, combination of crypto exchanges, financial services, etc mobile web three boom. This is an exciting space to watch now, speaking of more connective tissue. This could be part of the reason for the coin based news yesterday of getting rid of coinbase pro. There is a lot of competitive pressure out there. Finance us has dropped their spot, bitcoin trading fees in the u.s because they need to keep the enemy at bay, which could be ftx coming up from the rear very quickly, but speaking again, im trying to always think about all the different pieces and how they all Fit together, look at this from plan c, a big shout out to plan c um as ftx is buying block fire. We heard that the other day uh, perhaps zz, could buy celsius, and this from plan c has tweet from an hour ago, not asking for charity from cz finance, but just asking him to explore the idea of acquiring celsius from a business perspective. The amount of people seem to be happy about the celsius situation is very concerning and uh you know. Hopefully, fingers crossed everybody celsius will find a resolution and people will be made whole or as close to whole as possible. So all of you out there who are worried all is not lost. There is still hope. Fingers crossed people like plan c. Can nudge people like cz uh that remind rhymes a little bit to do exactly what sandbag manfred is doing with blockfi so anyway, hope is now strategy, but well see speaking of blockfy um.

They were fined 100 million dollars by the sec. This is a an article from sam venus that the sec enforcement actions have doled out more than 3.3 billion in penalties. That is a lot of money, a lot of fines. You know with those types of fines you dont even need to charge taxes anymore, almost just penalize crypto companies who knows so lets talk about the connective tissue and the big lesson here. Everybody and what im trying to portray is in crypto. More and more, we realize that everything is connected: every exchange, every blockchain, every technology, every d5 player, etc, and that has been the massive takeaway from 2022 so far and what has caused this cascading deleveraging event as you go forward. So lets talk about another little bit of bridge news. Another one bites the dust. Did it if anybodys old enough to remember that song? So this is still the wild west. Harmonys, horizon bridge was hacked for 100 million dollars and it sent these tokens sliding more than 10 percent, although its been a pretty bad year so far, but again its another bridge hack, weve, seen these before. I think there was the ronin bridge hack, which saw 600 million disappear with wormhole lost 300 million, which is also related to solana. So hackers are really honing their skills. Looking at these bridges because theres no doubt about it, all bridges are vulnerable youre, all only as strong as the weakest link in these bridges and trust me theres a lot of links thats why theyre called bridges thats the problem, so something needs to happen with these Bridges uh: they are going to be very important for the future, but they really need to work on security because theyre, just opening their back doors to these uh hackers, who can take advantage now lets look at harmony um.

I spoke a lot about harmony last year. As you know, we have a crypto compendium that scores them across a whole: bunch of regulatory tokonomic, inflation, insider shareholders, etc rankings and harmony. One scored 4.8 out of 10, which is in the bottom 48th percentile of the top 300 cryptos and on the smart contract platform profiler they ranked 13 out of the top 20 layer ones. So we were never a big fan, but uh lets look at the harmony one chart here. You can see the chart here to date. Let me try to see that my little eyes harmony down is over harmony. One is down over ninety percent 90 year to date. Thats, just since january 1st, while ethereum is down 68, so neither are doing well, but you can see somewhat of a correlation but uh. This definitely is a big ding and again be careful with bridges. Everybody out there and second last piece of news gas, not as in fun, but german alarm bells are going off for a potential layman moment. This article from tristan dove was the whole market is in danger of collapsing. Germany warns of a layman moment if russia cuts off natural gas to europe, theyve already weaned themselves down to about 35 dependence on russian gas. But now germany is trying to build up reserves, so they can get through the winter and remember there is a lot of industry, uh, public institutions, households that are dependent on gas to stay, warm and run machines, etc.

This could impact you know berlin and other areas with the tesla factory up there. So this is a big problem, as vladimir putin has turned off the taps, so watch the space carefully hope every okay is okay in germany be prepared for this. Hopefully, the leaders can find ways of bringing in gas from norway and other places, and also in a bit of sad news, a bit of alarming news, a big thank you to sanjay for sharing this right before i started, although its not good news, we need to Be aware, uh putin, ally, announces first city, russia will strike if world war three starts, and this is a lawmaker in russia has become the latest guest on kremlin, backed television to warn of a missile strike on a european capital. Naming the city that he believes should be moscows first target: should world war three break out and sadly for our friends in london that is london. Now i dont know if this is just bs or saber rattling to the extreme out of the kremlin. You know you got ta think in terms of how putin thinks he likes to play chess. He likes to worry people into submission, but this is alarming anyway. Fingers crossed again thats about the third time ive crossed my fingers in this video stream, but hopefully its all bs lets just say rattling and well go on from there. So hope you enjoy the kpm everybody happy saturday, big.

Thank you to the mods in the audience. Here, keeping it all respectful and safe, and i hope everything is working and thank you as well to any donations. We will be donating all of that tomorrow as well.

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