1/ A PoS industry is rapidly emerging that will someday rival PoW in profits and wealth creation. 2/ That's billions in profit and tens of billions in wealth creation for PoS providers (at current PoW levels), with at least an order of magnitude of headroom.

1/ While new crypto value capture mechanisms can rise to prominence in bull markets, they are tested, hardened and de-risked by bear markets. 2/ Only those that survive multiple crypto bear markets establish themselves as reliable “value capture mechanisms.”

1/ Many tokens currently face stagnant cryptoeconomies, as supply was never spent or earned, but instead brought into existence via balance sheet swaps. 2/ “Balance sheet swaps”= investors in ICOs swapping assets with the issuer, giving birth to a native token without it ever having to go into *circulation.*

1/ @alexhevans recently dug into the numbers behind forks of #Bitcoin, #Ethereum, #Monero & #Zcash.

Main conclusion: Value can’t be forked away as easily as people like to think. placeholder.vc/blog/2018/9/17… 2/ Secondary conclusion: Despite parent #cryptonetworks retaining users, devs & value, the child forks trade at (puzzling) relative valuation premiums.

1/ When studying non-fungible #cryptoassets, I'm seeing two types discussed: "functionals" and "investment instruments." 2/ "Functionals" are non-fungibles that are meant to be used, a means to access services like ticketing, voting, payment, and more. Best existing examples?

1/ Get ready for a predictable #crypto pattern: in the coming months, we will see an increasing number of #Bitcoin maximalists tormenting “altcoin investors” for straying from the mother ship. 2/ The maximalist drum will get louder as we go deeper into the bear market, with #bitcoin falling less than most other coins, and its dominance index growing. coinmarketcap.com/charts/#domina…

1/ Per the analysis below, #bitcoin’s velocity thus far in 2018 has been ~3, about half that of 2016 and 2017.

https://twitter.com/NodarJ/status/1037432309488803840

2/ While a drop in velocity may seem problematic, it’s actually what you’d expect from a *reserve currency.*

1/ Lots of chatter about #bitcoin shorts at ATH's over the last couple weeks & particularly now as someone opened a 10,000 $BTC short position ( > $70M) last night. 2/ The interesting thing with outstanding short positions as an indicator is it can simultaneously be interpreted in opposite ways.

Data as Capital (DaC) vs Data as Labor (DaL): papers.ssrn.com/sol3/papers.cf… "DaC encourages workers to find dignity in leisure or in human interactions outside the digital economy, while DaL views data work as a new source of 'digital dignity.'" papers.ssrn.com/sol3/papers.cf…

The exchange game is a brutal one. None of the #crypto exchanges I "grew up" with are even in the top 10 anymore, few are in the top 25. coinmarketcap.com/rankings/excha… For example, @bittrex #28, @Poloniex #38 -- never used Bitfinex or that would've been my top 10-er.

As of yet, no #cryptoasset is too big to fail-- not even #bitcoin. Too big to fail applies in 2 areas

1) #Cryptoland, where the question is: will crypto be crippled if a core network suffers catastrophic failure (or slow fade 2 obsolescence)

2) Macro-land, where the question is: will global economies be severely affected if X #crypto goes down

1/ Why is #crypto falling so much in 2018? Because in 2017 the market was up > 30x, but adoption (beyond investing & trading) wasn’t concurrently up 30x. 2/ One can try to explain each fluctuation, but these explanations are frequently stories we tell ourselves, stretching to add reason to traders driving a bear market.

As a term, #SmartSecurities > Securities Tokens. Avoids confusion around asset classes. #SmartSecurities are part of the equity asset class, but with a significantly upgraded wrapper & features-- the term, #SmartSecurities, makes that clear.

1/ #Bitcoin's been falling for 9 months now (Dec 2017 - Aug 2018). From 2013-2015, $BTC fell for 14 months (Dec 2013 - Jan 2015) before bottoming. 2/ #Bitcoin then consolidated during Q1-Q3 of 2015, making it ~2 yrs of mostly bearish sentiment from the mainstream.

1/ #Crypto has created a *Republic of Value* reminiscent of the “Republic of Letters,” which some claim seeded the Enlightenment & Industrial Revolution. press.princeton.edu/titles/10835.h… 2/ Global diversification of thinkers is key for #crypto as it breeds resilience to any nation's attempt at intellectual censorship.

1/ We’ve come to accept it as normal for Wall St to hold a company hostage to short term thinking & profits, which is a shame. 2/ While shareholder oversight of the company’s managers was born of good intent, it has now become a twisted conduit to prioritize short term profits above all else.

Monster 100+ page #crypto report from @AutonoFinTech: next.autonomous.com/crypto-utopia/ First takeaway graph shows crypto-penetration per country, Japan in the lead w/ 83% awareness 2/ Succinct narrative of 3 waves of #crypto funding:

Bitcoin startups, Enterprise blockchain, ICOs.

#ICO funding in 2018 nearing double that of 2017.

We are seeing a growing trend of “middleware protocols” that aim to be smart contract platform agnostic. Crypto’s “middleware protocols” are developer geared protocols that provide services in addition to the consensus & core functions of the base layer blockchain.

1/ Yesterday’s quarterly #crypto update by @DAR_crypto was filled w/ interesting data: t.sidekickopen24.com/e1t/c/5/f18dQh… 2/ Median #crypto returns by size:
Large caps: -61.1%
Mid caps: -68.8%
Small caps: -79.4%

“If we don’t act, that is the most certain fiscal or economic crisis we will have,” said Paulson, who chairs his own institute in Chicago. “It will slowly strangle us.” bloomberg.com/news/articles/… "The enlarged deficits and debt also mean that the government has less room to pump up demand than it did during the last crisis."

"World After Capital: Limits of Capitalism" worldaftercaptial.com via @albertwenger original link didn't work, this one does: continuations.com/post/175471097…