Sup, nerds!

Here’s what you’re getting in today’s edition:

• 💅 This is cool: Terrible for buyers, great for crypto…

• 🔎 This seems important: ETH ETFs launch...price stays flat?

• 🤝 Partner: Unlock The Future of Making Passive Income with AI-Powered Trading​

• 🔪 Let's dissect this: Atari launches Asteroids on-chain

Terms used in this edition (click for an explanation, or ask Web(GPT)3!):
Layer 2, blockchain, web3.

💅 This is cool:

Terrible For Buyers, Great For Crypto…

In one sentence: Ferrari (seller of depreciating assets) is now accepting crypto → and the more companies see value in crypto payments → the more will adopt it → the greater value crypto will have in the world.

We love it when we can find logic in what appears to be a complete gimmick.

And this is one of those moments…

Ferrari is now accepting crypto payments in Europe, and plans to extend the service to other markets by the end of the year.

Gimmicky? Sure. But also kinda genius.

This is like a candy shop figuring out how to drop ads in front of a kid the moment their allowance hits.

See, there’s a lot of newly-rich folk in the crypto space, who all of a sudden have more money than they know what to do with — and by accepting crypto payments, Ferrari is making it easier for the new-rich to make stupid financial decisions.

(Aka: buy expensive/depreciating assets).

We don’t necessarily endorse the decision. But it’s smart on Ferrari’s part.

Though, on the upside for the customer, depending on their tax residency, there might be some added perks.

In most countries, if you choose to sell your crypto, you’re going to have to pay tax in some way, shape, or form. But some locales don’t tax crypto if it’s being used as money (aka: being directly exchanged for goods).

(Australia was like that the last time we checked).

So some lucky degenerates can buy a glossy new car, and save a bunch on tax.

Here’s why it’s good for the broader crypto ecosystem either way:

The more companies see value in accepting crypto payments → the more will adopt it → the greater value crypto will have in the world.

Nice!

🥇 Want the news before anyone else?

🔎 This seems important:

The Ethereum ETFs Launched…And Prices Stayed Flat?

In one sentence: The ETH ETFs launched on Tuesday, seeing a net-inflow of $107M, and ETH’s price stayed flat — but value accrual takes time, two days ain’t enough to prove anything.

So the Ethereum ETFs launched on Tuesday, seeing a net-inflow of $107M, and ETH’s price…stayed flat?

We have two trains of thought on this:

• One is cynical and blinded by short term thinking

• The other is more logical and benefits from a longer view

Both start here:

Ethereum is a $410B asset — $107M of ETF inflows isn’t going to immediately drive the price to new all-time highs.

It’s gonna take time, and each day of ETF inflows will be offset by the sell pressure coming from the broader market.

Cynical thought:

Yes, but…maybe investors don’t quite know how to price Ethereum?

There are thirty nine layer 2 (L2) projects that integrate with Ethereum, each with their own token (and each incentivizing users/investors to buy/transact with their native token, instead of ETH).

These L2’s pay rent to Ethereum, but it’s low.

(E.g. On June 1st, Base generated $94,357 in fees, and paid $900.04 to Ethereum — or roughly 0.95%)

From a certain angle, it might look like value accrual is being pulled away from the ETH token, and into a range of L2 tokens.

…so why buy the ETH ETF if the Ether token is having its value leeched away?

Logical thought:

It’s WAY too early to judge weather the above theory is a) valid, and b) the cause of ETH’s flat price.

We’re only two days in, and there are multiple factors outside of the ETFs that affect Ethereum’s price day-to-day.

Plus, building an L2 on Ethereum means benefiting from the network’s millions of users from day one.

…and all you have to pay to Ethereum is 0.95% of your network fees??

That’s a bargain! And it’ll likely attract a whole bunch of new developers, who will be paying more and more fees back to Ethereum as their projects grow.

(Smaller piece of a larger pie n’ all that).

The takeaway:

We’re all going to have to hurry up and wait to see how the ETFs will affect Ethereum.

🤝 Partner:

Unlock The Future of Making Passive Income with AI-Powered Trading

Here’s the current state of the industry…

There’s so many ways to “invest” your money right now that it’s hard to discern what’s actually legit or not.

Amazon FBA…

Dropshipping automation…

Airbnb arbitrage…

And the worst part is: unless you were a trail blazer who got in at the beginning it’s really hard to make good returns with these vehicles.

Now you can go ahead and try, but you’ll probably just find out the hard way.

But that’s why Advanced Orbit Solutions is bringing a new opportunity into the marketplace.

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A system that’s hands off, allowing you to buy back your time while also securing you some of the highest returns you can find.

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_{*Past performance is not indicative of future performance.}

🔪Let's dissect this:

Atari Launches Asteroids On-Chain

In one sentence: Atari is about to launch a couple of its retro games on the blockchain, starting with Asteroids; which could be cool, but it also might not make sense…

If you grew up going to the arcade, chances are you’ve played Atari’s game, Asteroids (see gif 👆).

Well, in another case of ‘old school company moves into web3,’ Atari is about to launch a couple of its retro games on the blockchain, starting with Asteroids.

Atari has essentially created an on-chain arcade, complete with NFT access passes and scores that are recorded on the blockchain (built on Base).

On one hand, this is really cool.

Players will be able to compete against each other on the leaderboard for weekly prizes - with all scores verified on the blockchain.

It’s also good marketing.

I mean, who loves retro video games? Nerds.

And who loves crypto? Nerds (and non-nerds).

But here’s the thing…

In order to play Asteroids you have to mint (i.e. buy) an NFT access pass for $5.25 (0.0015 ETH).

And while it’s not like that’s going to break the bank for most people, it’s still a more expensive, higher friction option than all of the free options that already exist online.

Where web3 could be useful is if Atari launches a whole bunch of new games and as a player, your score/character/profile translates across games.

Maybe that’s part of the larger vision (or maybe not, we have no idea).

But in a world where so many games are free, it might be a tough ask to onboard thousands or millions to an upfront paid version instead.

Then again, who knows - we’d love to be wrong!

What is Base?