Theta started in 2017 through an ICO with an ERC-20 token which raised about US$ 20M. They then moved to Mainnet 1.0 in 2019 and Mainnet 2.0 in 2020 and Mainnet 3.0 in July 2021, which added smart contract capabilities. That new capability offers more social interactivity on top of the video and data delivery.
Several venture rounds since ICO have allowed it to raise US$ 113M according to Crunchbase.
They have some of the biggest names in Media (Sony), Tech (Samsung), and Blockchain (Aelf, IBC) amongst their investors.
Why is ThetaFuel(TFUEL) whitelisted as an investable asset for Autopilot?
Theta is one of those 2017 ICOs that actually worked to deliver on their promise. Additionally, their approach of starting with a specific vertical and then expanding the platform, while a little uncommon for Blockchain (where a lot of players wanted to do a “smart contract L1 platform to compete with Ethereum(ETH)), is a tried and tested “traditional” business strategy. And it is undoubtedly true that it’s very hard to deliver video streams worldwide and that there is a lot of unused capacity that could be tapped into to do it in a decentralized manner. It’s the same basic idea as Filecoin.
We think they clearly have a shot at cracking the problem.
THETA, in terms of market cap, is the #1 in the content and content distribution category and the third-largest Web 3 project. So if you want to bet on the space, it’s easy to argue that some THETA and/or some ThetaFuel(TFUEL) makes sense.
The Theta Network was considered desirable from the very beginning. ThetaFuel(TFUEL) specifically was suggested first in March of this year and was included in the investable universe in mid-May 2021.
It made an appearance in the Autopilot model basket in June 2021 and has been part of the portfolio since then.
If you want to see it in action, it’s this way: http://theta.tv/
ThetaFuel(TFUEL) Market commentary for September 2021
The general context is that Layer 1 blockchains and use case-specific blockchains have been doing well for a couple of months. Ethereum is crippled by its throughput problem - or victim of its success - and so everyone is scrambling to find alternatives.
THETA has been around “forever” (4 years in Crypto is forever. Ethereum is from 2015 and Bitcoin is from 2009), and they have been delivering regularly and is one of the largest assets by market cap, so it’s seen as a promising, if not safe, bet (relatively speaking).
Volumes for ThetaFuel(TFUEL) have been very good in 2021, especially in late March, June, and, to a lesser extent, September. While it has not been doing very well over the past 3 months (it’s down 20%), it’s up over 3000% since a year ago. The addition of ThetaFuel(TFUEL) staking end of June will probably be a positive contributing factor in the long term.
Adoption indicators for THETA and TFUEL
This map from late August shows that Theta has built a diversified ecosystem of partners.
Recent news also shows them partnering with Decentral Games for live streaming metaverse events, partnerships for sports NFTs,... Which is already impressive. Their June announcement, however, seems to indicate that they think that they can do better and that, now that they have the basic infrastructure in place (which took 4 years, because building decentralised layer 1 blockchains is hard!), they will now focus more on building the broader ecosystem and global adoption.
One to watch.