Thursday, Apr 7th 2022

Crypto Three Things (4/7)

Commentary

"There are a lot of things in business that are completely out of your control, but hard work isn't one of them." —Sally Krawcheck

1) Creator of Axie Infinity ratchets up financial support from Binance and Andreessen Horowitz in the wake of crushing crypto hack

  • Sky Mavis, the blockchain-gaming startup behind Axie Infinity, received a $150M lifeline from existing backers like Andreessen Horowitz, and new investors like Binance.
  • The support, paired with funds from Sky Mavis's balance sheet, will be used to reimburse Axie players for their stolen funds in a process that could take up to two years.
  • Last month’s breach of Axie’s blockchain Ronin, leading to a loss of $600M, was one of the largest thefts in crypto’s history.

Titan’s Takeaway: As Axie’s developers rush to implement security upgrades, cyber resilience will be integral to the continued operations of the game.

2) Meta could soon introduce coins and tokens for its portfolio of apps, including Horizon metaverse

  • Meta is exploring blockchain-based, in-app virtual currencies.
  • The work is still in its very early stages. Facebook’s earlier cryptocurrency project Diem (formerly Libra) was abandoned in January 2022.
  • According to a Financial Times report, Meta staffers are referring to the digital tokens as “Zuck Bucks.

Titan’s Takeaway: We’ll be interested to see whether “Zuck Bucks” take flight, in reality or in the metaverse. Meta is likely aware that some of its rivals are beating it to the punch on crypto adoption: see TikTok’s creator-led NFT collection, or Twitter’s NFT avatars and crypto tipping.

3) Binance.US pulls in $200M to cross a $4.5B valuation amid hot competition

  • Binance’s new valuation is still far less than competitor FTX’s $8B US business.
  • Based on spot trading volume on US exchanges, Binance.US currently ranks fourth, with roughly $350M traded over the past 24 hours.
  • Coinbase takes the first spot, boasting a daily turnover of $4.3B.

Titan’s Takeaway: Binance’s presence in the US is intertwined with prickly compliance rules and tight scrutiny of crypto-trading firms transacting client funds. As the US regulatory climate clears up, we expect a more crypto-friendly environment will see more American investors enter this space—and the front-running exchanges, like Coinbase, stand to make serious gains.

Back to Research ↗

Learn with titan

Investment articles and resources

Become the smartest investor you've ever been through straightforward, easy-to-read investment articles.

IRA Early Withdrawal Rules & Penalties


10 Ways to Make Withdrawals From Your 401(k)


How to Invest Your 401(k) for Long-Term Wealth


What Is Earnings Per Share (EPS)?

Let's Get Started

Ready to become a client?

Create an account with us in two minutes.

Or scan to get the app

We're building the best investment platform, ever

Titan Global Capital Management USA, Inc ("Titan") is an investment adviser registered with the Securities and Exchange Commission (“SEC”). By using this website, you accept our Terms of Use and Privacy Policy. Titan’s investment advisory services are available only to residents of the United States in jurisdictions where Titan is registered. Nothing on this website should be considered an offer, solicitation of an offer, or advice to buy or sell securities. Past performance is no guarantee of future results. Any historical returns, expected returns [or probability projections] are hypothetical in nature and may not reflect actual future performance. Account holdings are for illustrative purposes only and are not investment recommendations. The content on this website is for informational purposes only and does not constitute a comprehensive description of Titan’s investment advisory services.

Refer to Titan's Program Brochure for more information. Certain investments are not suitable for all investors. Before investing, consider your investment objectives and Titan’s fees. The rate of return on investments can vary widely over time, especially for long term investments. Investment losses are possible, including the potential loss of all amounts invested. The introducing Broker Dealer is Titan Global Technologies LLC, a registered broker-dealer and member FINRA/SIPC. Brokerage services are provided to Titan Clients by Apex Clearing, an SEC registered broker-dealer and member FINRA/SIPC. For more information, see our disclosures. Contact: 508 LaGuardia Place NY, NY 10012. Information provided by Titan Support is for informational and general educational purposes only and is not investment or financial advice.

© Copyright 2022 Titan Global Capital Management, Inc. All Rights Reserved.