Why do some people hate crypto?
Plus: marketing vs provenance in NFT valuations & blockchain business models explained!
New to crypto? Cryptocurrency Basics is a 9 minute video that serves as a great intro to the world of crypto. It’s part of our Crypto and Web3 for Absolute Beginners course.
Most people who are into crypto can recall at least a couple of instances of people reacting… lets say… poorly… to their interest. Well I’ve been there both in my personal and professional lives and I have some thoughts to share for you on the matter. Additionally, I found a tasty morsel that has to do with NFT valuations and a great explanation of blockchain business models. Ready? Set? GO!
In this issue:
Why do some people hate crypto?
Does marketing trump provenance for NFTs?
Blockchain business models explained
NITRO! (3 can’t-miss things)
Tools
Jasper is my writing tool of choice. If you want to harness artificial intelligence to make it fast and easy to create content for your blog, social media, website, emails and more then check Jasper out here!
Why do some people hate crypto?
As you may or may not know I don’t just run this crypto newsletter and course (collectively known as The Great Onboarding). I’m also a YouTuber who talks about tech (specifically Apple, most often). While a LOT of my normal audience was very supportive and excited about my newly disclosed interest in crypto… not all of them were all about it. In fact, some were downright angry or hostile. I got lots of comments like:
Another crypto bro? Unsubscribe.
If I’d have known you were just another POS minter I never would’ve subscribed.
You’re not talking about crypto AGAIN are you?
Etc.
I’ve found that a majority of the time people are just misinformed. For instance: I do exactly 0 mining of any sort. Plus, people tend to feel comfy where they are — and I get that. It was a bit uncomfortable for me to branch out and learn about crypto but my mindset was that I wanted to know about it (good and/or bad) so that I could at least understand it. So here I am: a web2 personality crossing over to web3 and patiently bringing people along for the ride.
One way I’ve come to look at the crypto backlash is this: it’s the price you pay for being on the frontier. Just like I chalk mean comments on my YouTube channel to people either having a bad day or being jealous in some way, I chalk crypto backlash from ordinary people up to ignorance and/or fear (mostly). Or as mags.eth puts it:
Does marketing trump provenance for NFTs?
I’ve only recently become a subscriber of Medici Minutes but I found an awesome sentence that packs a powerful punch right within the first few paragraphs. It has to do with NFT value and specifically references the CloneX project (which is a collab between RTFKT, now owned by Nike, and Murakami). I’ve bolded the sentence below:
I only hold a couple CloneX, but have to think Nike will put big marketing dollars behind it to ensure continued success. And BAYC has shown that marketing > provenance/OG status, at least in the short-term. I feel that unlike other fast-growing collections, this one will have staying power. I’ve seen some big brains in private chats calling for 40-50e floor.
This is a very fascinating thought. Essentially, if true (and I’ll leave that up to you to discern): the more famous a project is the better. BAYC recently flipped CryptoPunks (the OG I’m sure is being referenced here). I wonder how this plays out on a smaller scale for newer, lesser known projects… (or if it does)?
Blockchain business models explained
Blockchains sell block space. You hear it over and over again in the crypto realm. Still… what exactly is it that makes a crypto network valuable? Alive.eth (a general partner at A16Z) posted a great thread I had to share that does a great job explaining things through the lens of the Network Flywheel:
One of the most fascinating highlights of this thread comes from the author shedding light on the fact that blockchain code is open source (viewable by anyone) which means it isn’t the code that brings the real value (because anyone can copy it). Instead: the value is really derived from the network the code creates. So:
The founders have a vision.
A compelling vision causes a community to form.
All future momentum hinges on the community…
That’s why even if another project came along (call them Project B) and borrowed the entire codebase from Project A… they can’t copy the community — and why would the community move to another solution as long as everything is awesome where they are?
Ah… and that leads us to vampire attacks which you may remember from the Sushi Swap saga.
NITRO!
Cool: WeMeta — view the top metaverse economies ranked by worlds, communities, lands and owners.
News: Anon CryptoPunk Owner Launches NFT Fund, Betting on Ability Over Identity
Thread: Strategy for buying $LUNA and $ETH cheaper than market price
Tools
TrendSpider: technical analysis software to speed up your analysis, automate grunt work, find winning chart setups and reduce costly analysis mistakes.
Paybis: buy Bitcoin and other assets with a credit or debit card.
I’ll meet you in your inbox on Monday! Have a great weekend!