Apparently, the relatively calm month of July was put to good use by most market participants to refuel the rocket ship🚀. Because August was fun to watch!
It also went pretty much how we expected it to go based on our July update: Ethereum’s London hard fork went well and is burning ETH as planned, and Terra(Luna) did go from about 9€ to 28€ undoubtedly helped by the fact that Anchor added bETH as accepted collateral. We’re still wondering when Polkadot (DOT) is going to hold its parachains auctions, though.
Besides all that and the crazy price action which we talked about earlier, here is what we thought you should know:
1️⃣ From the desk of “institutional adoption” there is good news. It’s interesting watching institutions because they hold most of the money in the world so, even if they move a small portion of it to Crypto it makes waves. Solana (SOL), Cardano (ADA), and Ethereum (ETH) seem to have seen quite some inflows from institutions. US$ 24M to be exact. And while Yahoo talks about outflows for Bitcoin (BTC), IntoTheBlock’s on-chain analysis seems to suggest that there is an institutional accumulation of Bitcoin. Maybe those institutions finally realized a way to own it outright as opposed to going through various ETPs and trusts. IntoTheBlock does point to the fact that some are buying Coinbase or MicroStrategy to get exposure to Bitcoin, though, so we’re not 100% there either.
It has also been reported that 55 of the world's top banks have invested in blockchain and crypto companies. That’s not quite like “participating in Crypto Networks”, but banks don’t move very fast, so it’s always a good sign to see them move at all. In time, we have no doubt they will get there.
Lastly, Deloitte, while undoubtedly looking to sell more consulting services by scaring executives, released the results of an interesting survey of finance professionals who seem to think blockchain has a lot of potential in their business and even that Crypto will rival or replace fiat within 10 years. We don’t doubt it but it’s nice to get some external validation. They did say that their old tech, cybersecurity, and regulations were the biggest obstacles; but that’s less of news.
Oh, yes, and A16Z started spending their new US$ 2B crypto fund and bought some Helium. It’s an interesting project, to say the least, very Web 3.
2️⃣ From the desk of “mainstream adoption” there is also good news. And that’s good news, because what’s the point of reinventing finance, art, gaming, and everything in between for everyone if no one comes to use it?
On the one hand, we have the new projects: the number of projects that keep launching with new teams (not Crypto veterans) is staggering. Just take the example of projects on Terra(LUNA), because Smartstake does a good job of curating them. And sometimes it’s pretty obscure stuff, but sometimes it’s just about making DeFi available (a bit like us, yes). If we take all the projects on BSC, ETH, Kasuma, and Solana too it’s mind-blowing.
And all those smart developers coming to crypto means more chances for success for the ecosystem as a whole.
On the other hand, we have the ecosystem just flat out launching adoption or expansion initiatives. Celo, Aave, Curve, and Sushi launched a US$ 100M initiative. Circle, thankfully, unhappy with having become a tokenized-USD behemoth with USDC is now going global, and we so very much hope that we’re gonna get a good and widely adopted Euro stablecoin. Because we don’t care who does it or what form it takes, but we all need one. We need one “euro thing” that brings Euros on-chain. Once it’s on-chain, we can swap it, flip it, wrap it, stake it, synthesise it or do anything else with it; but as long as fiat is Euro and crypto is “not-euro” denominated, it makes adoption harder in Europe.
Also, when Coinbase said it was going to buy a whole lot of Crypto, not to be outdone, Kraken and a bunch of DeFi companies said they would donate US$ 1.5M to support the development of ETH 2.0; which should definitely drive adoption as it does away with 100€ transaction fees (🙏). Looks like someone heard Vitalik’s argument that more r&d spending is needed.
And lastly, we can look at the numbers of new and active addresses, and it’s generally good news all around. And seeing things like VISA or Budweiser buying NFTs shows that crypto-savvy people are everywhere and that now that they’ve done it, others will follow.
3️⃣ It looks like the 2020s could be the “decade of the DAO” (Decentralized Autonomous Organisation) according to MoneyWeek. It’s still early in the decade, so you might want to get acquainted with your next non-employer “boss”.
This month saw more analysis on how DAOs are reshaping investments, DAOs creating financial products, DAOs for driving L2 development, and DAOs offering services for DAOs. We can basically rework the old meme, because, yes, “There’s a DAO for that”.
And the tone we take in describing this absolutely massive social evolution is light, but the implications and financial firepower are real. Today, the 20 largest DAOs hold over US$ 6B worth of digital assets. The biggest DAOs include DeFi projects as Compound, Uniswap, Bankless, and public-funding entities such as Gitcoin.
4️⃣ On our side, August has been interesting too 🐝
👑 We won “Best Crypto Investment Enabler 2021 - Europe” in the FinTech Awards 2021!
👑 We were nominated for the Benzinga Awards in the “Best Robo-Advisor” category. We would love your vote and support!
We’re super happy to have been recognized as the best way to get into crypto. Make sure to let everyone know by sharing the good news with your referral code! 💸
📺 We also had the chance to speak at the Benzinga Crypto Festival and explain how we see things.
📖 We had interesting guest posts about Shiba Inu and Dollar and Bitcoin, and one post of ours explaining what’s wrong with wanting all crypto to be fully traceable.
💶 We spent some fiat on some useful NFTs: the osom.crypto, osomfinance.crypto, and polybius.crypto domains. They aren’t yet operational but they are ours. We also got a cool YAT for OSOM: y.at/🤯🤖💰
Do you have an unstoppable domain or a y.at?
ℹ️ Lastly, we’ve also been hard at work on insights.osom.finance where you can now simulate your own strategies. Give it a try and let us know if you like it.