Hello Defiers! Here’s what we’re covering today,
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TLDR SHIB, a self-proclaimed DOGE killer, was flying high as the hot new meme coin, so much so that it was driving up the Ethereum gas costs. The SHIB team had sent half of the supply to Vitalik Buterin betting the Ethereum creator wouldn’t touch the coins, and that had been the case — until today. Vitalik sold about $1B worth of SHIB and donated the proceeds to the India Covid Relief Fund.
OTHER MEME COINS DUMPED Vitalik also dumped a number of other meme tokens which had been sent to his wallet including AKITA and ELON, and donated the proceeds to numerous other charities including Givewell and the Methuselah Foundation.
SHIBANOMICS Shiba Token, or $SHIB, is a decentralized, Ethereum-based meme token conceived as an “experiment in decentralized spontaneous community building” according to the official Shiba Token website. In August 2020, one quadrillion SHIB tokens were minted. Of the total supply, 50% was put into Uniswap and the other 50% was “burned,” or sent to Ethereum founder Vitalik Buterin’s wallet.
WOOF PAPER As explained in the Shiba Token Woof Paper: “We sent over 50% of the TOTAL supply to Vitalik. There is no greatness without a vulnerable point and as long as VB doesn’t rug us, then SHIBA will grow and survive.”
QUESTIONABLE UTILITY Of the top 100 coins and tokens by market cap, the 10 biggest gainers of the week are a bit surprising. As of May 11, the list includes four smart contract platforms with difficult to discern adoption and four tokens with equally questionable utility.
SO WHAT These gains continue to highlight the speculative nature of cryptocurrency investment and seem to signal that new retail investors are purchasing low value coins and tokens they hope they’re early and will serve up hockey stick returns like others have.
TELCOIN In the lead, up 204% on the week, is Telcoin. The obscure project positions itself as a way to send remittances with mobile phones rather than remittance agents on the ground like Western Union and Moneygram employ. The Telcoin website says the project will issue its Ethereum-based token, TEL, to telecom operators based on their “transaction volume and integration maturity,” but it doesn’t appear many (or any) telecom operators are interested as of yet.
Welcome to the final part of the Red Flag series. Give yourself a pat if you’ve made it so far! In this three-part series, we have provide a framework to help identify red flags in crypto projects. Part I analyzed tokenomics,Part II analyzes team, social media and backers and Part III will analyze mental models to follow.
We’re at the final article of this series where we’ll be mental models to help you navigate this space better and common effects/patterns that you’ll observe in the crypto space. This is not an exhaustive list by any means. So without further ado, let’s get to it!
“This article outlines how we will approach the emergence of a multichain Ethereum ecosystem. It contains our vision for the future of Ethereum and the role that Gnosis Safe will play in it.
We plan to make Gnosis Safe available on all relevant, EVM-compatible networks. For this, we release a new version of the Gnosis Safe smart contracts: The Gnosis Safe L2 contracts
During summer, we will roll out support for even more networks”
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🧑💻 ✍️ Stories in this newsletter were written by Dan Kahan, Owen Fernau, Eugenio Croitoru, and DeFiDad, and edited by Camila Russo. Videos were produced by Robin Schmidt and Alp Gasimov. Podcast was led by Camila, edited by Alp.
The Defiant is a daily newsletter focusing on decentralized finance, a new financial system that’s being built on top of open blockchains. The space is evolving at breakneck speed and revolutionizing tech and money. Sign up to learn more and keep up on the latest, most interesting developments. Subscribers get full access, while free signups get only part of the content. Click here to pay with DAI (for $100/yr) or sub with fiat by clicking on the button above ($15/mo, $150/yr).