Under The Hood - October 2021 - Crypto Autopilot
Chief Development Officer
Uptober is over. And Uptober was funtober (sorry, we’ll stop).
OSOM is the all-in-one Crypto Wealth Manager. With wallets, exchange, Crypto Roboadvisor, DeFi Earn to lend stablecoins in DeFi, and Crypto Strategie, it is all you need in a Crypto Asset Manager.
Our computers do the heavy lifting for you with a long-term perspective so you don't have to. From crypto on-and-off ramps to passive income and diversified portfolios, OSOM has you covered.
The guide to getting started is here.
On your side, it's the start of the month, so it's paycheck time 💸, the best time to invest and pay yourself first. Did you know you can easily make monthly deposits into Crypto Autopilot and DeFi Earn directly from your bank account? #DCA 🐜 You can start from about 100€/month in the Autopilot and 30€/month in DeFi Earn.
Also, the end of the year is fast approaching. Christmas is in 52 days! So remember that you can easily gift Bitcoin or a Crypto Autopilot balance to your loved ones 🎁 💝 🧧. For the record, an Autopilot balance gift of 0.0025 BTC (50€) on December 25 2020 would, on 1 November 2021, have more than quadrupled in value. Go on, make a millennial happy.
For a quick glance at the month's topics, here is an overview:
The Autopilot € performance for the month was 34.25%, and the ₿ performance was -4.42% because, well, Bitcoin did amazing. That's in a market where things roughly went up before 26% and 40% in € terms, depending on how you look at it.
Looking at how October went, we talk about the impact of Crypto ETFs, Facebook's announcements on the Metaverse, and how DeFi, NFTs, and other acronyms are doing.
For next month we touch upon COP26 and what Crypto can do for the climate, speculate on Polkadot parachains auctions, keep our 🤞for the Benzinga awards, and can't wait to see if PlanB is right and BTC hits US$ 98K.
And for the long-form, read below ⬇️
🔂 You and Us: Let's Take Stock
🎂 There is a bit of an anniversary this month: a little over a year ago we offered a way for #PLBT holders to invest in a lossless way into the OSOM Crypto Autopilot if they stayed invested for one year. That was the PLBT Autopilot. That year is over for some people and we're very happy to report that thus far the members of the community who took part made, in aggregate, a 41% profit in BTC for a total of a little over 14 BTC. We hope those with assets still in the PLBT Autopilot will be as lucky with the timing of their unlock, but currently, their profits stand at 10 BTC in aggregate, so it's looking good. It's one of the ways we say 🙏 and 🤟🏼 to the community. The road is sometimes rocky, but sometimes it works out beautifully. Stay tuned for more #PLBT community news soon.
🏆 Benzinga Fintech Awards: The voting for the awards is now closed and last time we checked we were very well positioned. So thank you for your voting efforts and we hope to have good news at the end of November! 🤞
💌 Spread the Word, and have a chat 💬
If you enjoy using OSOM, the Crypto Autopilot, or DeFi Earn, we would love for you to leave us a review on Trustpilot, the Google Play Store and/or the Apple App Store. Ratings and reviews help us get discovered and "social-proof" build the most trust. By leaving a review, you will help us help others join crypto!
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🔬Markets: 🟢 It's all green 💚
1️⃣ The Global Market Capitalisation of Crypto was pretty much "uponly", rebounding from a disappointing September and continuing the trajectory it has been on since July 20. This month even saw the Global Market Capitalization breaking the historical high of € 2.16T to end the month at € 2.25T, with a gain of 36.80% over the period. It's always fun when we have record months! The top 200 Crypto excluding stablecoins (INDEXNASDAQ: CMC200) went up about 40%.
With about 40% gains, October 2021 is the best for ₿itcoin's price since December 2020, even beating the amazing performance of the start of this year. It also reached a new all-time high price on October 20.
This appears to be due to several good crypto news, and BTC hodlers hodling on strong. This is a sample of the news: SocGen wants to use MAKER, the US regulators said they had no intention to ban crypto (only to regulate stablecoins), Grayscale expanding the Digital Large Cap Fund, news that Brazil might adopt Bitcoin, Stripe hiring a crypto team (again), Meta/Facebook launching a pilot of Novi, more pension funds making crypto allocations, and Mastercard and Bakkt working on crypto. So, indeed, good news. And since few people want to sell and miners aren't selling either, that's making for a nice supply shock that drives the prices upwards.
And it's making the famous "PlanB" fairly confident in their "stock-to-flow" model.
2️⃣ The total MarketCap excluding BTC was up 32%, or 26.68% if we look at the Top 200 excluding Stablecoins and Bitcoin. (INDEXNASDAQ: CMC200EX).
3️⃣ The OSOM Crypto Autopilot is doing a pretty good job in that market. The € performance was 34.25%. The ₿ performance for the Autopilot was -4.42% because, well, Bitcoin did amazing.
Source: Since we started, on 26 September 2019, that’s a 1490.35% performance in Euros, and 125.41% in BTC.
Plainly, this means that, historically, the Crypto Autopilot beats holding Bitcoin or Euros over the long term. If you want to know what time does to your hodlings, we've updated our article on " Time in the Autopilot And Returns ", and we are now able to look at a 600-day hodling period. The longer you stay in, the less it looks like a gamble.
And compared to Bitcoin, we even offer better risk-adjusted returns: you can still find our benchmarking exercise from September 2019 to June 2021 here.
Source: time in the market is better than timing the market
🤿 Autopilot Deep-Dive
After this review in broad terms, let's dive into the Crypto Autopilot's behavior this October.
💰 What are the holdings in the Autopilot Exactly?
As November came around, The Crypto Autopilot held on to the following 12 assets, out of a universe of 71, while the team now tracks 230 assets:
✍️ Interesting Crypto Autopilot Moves in October
Things changed a little this month. ALGO made an appearance and LUNA came back, which means there are now 12 positions in the portfolio as opposed to 10 last month. The other positions are the same but their weights have been adapted.
Seeing as though Bitcoin was making a run for it, and fearing/welcoming a Bitcoin Bull run as we saw in Q4 2020, on October 20 we changed the portfolio constraints so that the largest asset in the portfolio can now be 35% as opposed to the usual 30%. The AI, though, seemed to have no interest in making use of that newfound freedom and did not take any positions larger than 31% the whole month.
Also, as it happens when the price action is positive, we were able to extend the investable universe. Arweave (AR) was added early in the month and was followed by Curve(CRV) and Harmony(ONE) in late October.
🙋 Your Questions on the Autopilot, Answered!
Our amazing support team said you didn't have any new questions, and that you were eagerly reading the Help Center. So we'll leave you to it.
For those that don't know, the Help Center has all the frequently asked questions and walks you through the steps-by-steps. For all of the "Not So Frequently Asked Questions", we have a blog post with all the questions thus far, and we'll keep updating that article as questions come in.
One of the most-read articles on the Help Center is "How to deposit directly from your bank account". Just so you know, you can easily make monthly deposits into Crypto Autopilot and DeFi Earn directly from your bank account by making that transfer recurring #DCA 🐜. You can start from about 100€/month in the Autopilot and 30€/month in DeFi Earn.
📅 Crypto News & Happenings in October - Month in Review
Uptober, Shoktober,... there was no shortage of cute monikers for this month, and it was indeed good to see the up-trend resuming. With a long view, crypto has been going up since it started but it's natural to feel a bit angsty when a month goes sideways. Luckily for all of us, no sideways this month. It was boosters full-on 🚀
The last time we wrote to you, we said that Terra (Luna) was expecting a stampede, but we saw none of that and the coin just traded between 30€ and €42 all month long. Still, €42 is the current all-time high. They should soon be burning a whole lot of Luna and taking staking rewards to between 11 and 24%, so there is still plenty in the cards.
We had also told you that Bitcoin pundits thought Bitcoin would have a good month. Looks like they were right.
We would highlight the following now that the month is over:
1️⃣ This month again we took 1069 articles written in leading crypto publications and turned them into a word cloud. We hope that helps you see where things are going.
2️⃣ ETF: That's been talked about a lot this month. There are already a lot of ways for people to get Crypto exposure in the traditional markets (and some people might not even realize they are exposed to it), but the Crypto community feels like getting an ETF in New York would be the end of the struggle for legitimacy and the start of billions of institutional money pouring into Bitcoin. And from there, the rest of Crypto.
It's for that reason that the first U.S. bitcoin futures-based exchange-traded fund that started trading this month had everyone excited. And it did trade about 1B greenbacks on day one.
3️⃣ Facebook. The Metaverse was crypto's thing and then Zuck planted his flag in the middle of it by renaming his company, Meta. That's probably not enough to make Facebook appealing to the freedom-and-decentralization-loving crypto crowd, though. And "The Metaverse" implies a somewhat open architecture, which has not really been Facebook's Modus Operandi until now.
We're curious to see where Zuck takes it, but for now, our hope for a flourishing worldwide "internet of value" and an open "creator economy" lie more with Metamask than Metabook. Even with Novi and Paxos.
It's a bit like the Mastercard/Bakkt partnership: it's useful for onboarding a lot of people with brands they trust, but it would probably be good, long term, if we got rid of the rent-seekers and built decentralized platforms that can't arbitrarily shut you out. #wearejustsaying
4️⃣ NFT, DeFi, and all the other acronyms are all doing very well too, thank you very much.
The Economist had featured Decentralized Finance on its front page in September and issued that cover as an NFT in October. The next step is probably them adding the possibility to pay for your subscription with crypto since they argue (and we agree) that a little bit of Bitcoin makes sense in every portfolio.
For DeFi, on October 20, DeFi Pulse reported that the bar of US$ 100B of Total Value Locked had been passed. That's a lot of money for smart contracts to manage. But that's only on Ethereum. If you add the major chains like Binance Smart Chain, Avalanche, and wBTC, it would appear that it's more like US$ 233B.
Also, Reddit is looking into getting an NFT marketplace. It makes sense, if you have your own culture and your own audience, you're a good candidate for an NFT marketplace. What would be really cool is if they gave the profit to a DAO managed by the Reddit community.
And since when people start with Crypto they can't get enough, we might very well see this continue. Admit it, it's fun!
The only sector that seems to be going badly is that of privacy coins. Indeed, regulators hate them, so exchanges don't like them either, and, as Kraken reports, they really are suffering. That's why we don't have any in the investable universe for the OSOM Crypto Autopilot.
5️⃣ In no particular order, we also thought you might like to know about this: we saw that you should make sure the bridges you use are audited because Polygon's almost went belly-up, Bitcoin's adoption is like the internet's in the late 90's, but it went much faster (presumably thanks to the internet), Fantom is building some interesting things and so are Terra and Abracadabra, Bloomberg has identifiers for Crypto, Binance has a $1B adoption fund and helped the cops, Bank traders fear missing out on Crypto Party, says FT, there could be $15B in new venture money coming Crypto's way and if true it's going to be quite a year for Crypto VCs, Snowden doesn't like the idea of CBDC and A16Z just had to get some cool Axies.
🎃 What Does November Have in Store for us?
1️⃣ "COP26" will be on for almost half of the month. And Crypto people are starting to turn their attention towards the climate. And why not, after all? Blockchain networks have used game theory, econ 101, and math to create incentive mechanisms that create virtuous cycles so we take care of new digital commons (and we wouldn't be surprised if some of the early crypto people got a Nobel Prize in Economics for designing those new wonders). So why not try and adapt some of the same thinking to the global warming problem?
Here is some reading on the topic. It's just starting, but it's worth a read.
- Rune Christensen, the founder of MakerDAO, posted The Case for Clean Money on the MakerDAO governance forums
- Klimadao.finance is taking carbon from toucan.earth to create a carbon-backed algo stablecoin. It's the same idea as Olympus DAO but for Carbon. And it is already making waves in Carbon Markets.
2️⃣ We might see Polkadot parachains auctions.
3️⃣ We were ahead of everyone else before they closed the votes, so we think we're in a good position for the Benzinga Awards 🤞
4️⃣ If PlanB is right, BTC at US$ 98K, and if they're wrong, your diversified portfolio will come in handy. Rest assured that if we see BTC ripping alone, we will expand the portfolio constraints, just in case the Autopilot feels like taking slightly larger positions.
🤝 A couple things before we part
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If you have a business ⚖️ and would you like your business to invest in Crypto and/or make or receive Crypto Payments, we now accept companies as customers, so just go to app.osom.finance, click "create account" and make sure to tick the box ☑️ Business account under the "password" field. For questions, just reply to this email.
That's all, folks! 👋 As always, thank you for your trust. Feel free to let us know if you have any questions, ideas for how we can improve - or anything else - by replying to this email!
(a) This is not investment advice, nor a solicitation. Crypto markets possess a high level of risk, including volatility and regulatory uncertainty. Past performance does not constitute a guarantee of future results in any way. You are solely responsible for doing your own financial, legal, tax, or investment research before taking any actions. (b) Past performance is no guarantee of future results. (c) Be sure to check the list of countries we accept before signing up and sending us your assets.
All quoted performance of OSOM solutions is before fees. And past performance is no guarantee of future returns.
Chief Development Officer
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