The bear market is the time for restructuring a portfolio. If you went into stables it’s
time to deploy that capital into projects you see having a strong narrative when the bull
arrives. The ones who are building and developing something people will use. But it’s also time to
identify the shatcoins you should avoid & if you hold them from the last bull, it’s time to
SELL!! So let’s flush that crypto poo down the toilet….because it’s time for Chico Crypto!!
Every crypto cycle…there are hyped projects in the bull…that get crushed in the BEAR
to likely never return…in the early days…2013…the only 2 coins who survived
in the top 10 are Bitcoin and Litecoin, 2-8 are all irrelevant at this point!
Checking out the 2017 bull run peak we can see things got better with more projects surviving…but
many of the top have still become irrelevant. #3 Bitcoin Cash has pretty much lost all steam,
#6 IOTA is still around but the hype is completely gone, #7 Dash has died,
#9 NEM nobody knows about, #10 Bitcoin Gold is an afterthought & the Ethereum
Killer #12 EOS failed to take down Ether as the smart contract king.
So which TOP coin is going to succumb to the fate of irrelevance? As the top
20 coins during this bull run peak is so much different than in 2017. Well first we have to
identify the EOS of this cycle…the “Ethereum Killer” that is failing to kill Ethereum….
And that is Solana…who got to all the way to rank #4 this last bull run!! Solana is
getting trashed lately…it’s fallen all the way down to rank #20 on Coingecko. The price has
fallen from above 259 dollars down to $9.40 cents…a crash & burn of over 96 percent.
Solana DeFi is drying up….checking out DeFi LLama and ranks based on TVL,
Solana DeFi has been passed by Mixin and DeFi Chain…
Diving further, we can see TVL was 10.17 billion at it’s peak,
today it’s just over 203 million. A decrease of 98 percent!! Shoot in the
last couple months alone it’s dropped from 1 b to its current state…a crash of 80 percent!!
Now if you didn’t know SBF, FTX & Alameda were major supporters of Solana & it’s ecosystem.
Actually Alameda holds a very significant chunk of the circulating supply of SOL. As we can see,
the circulating supply is over 365 million SOL,
and alameda holds over 48 million of those…or 13.1 percent of all SOL circulating…
Those are eventually going to be DUMPED to pay back investors!! Alameda Research had a BIG
investment portfolio, but a large majority of their investments were projects working in the
Solana ecosystem….the tokens they received from these projects will also be dumped!!
Although the biggest thing Solana fanbois and girls need to be worried about…is JUMP
crypto!! If you remember, back in February of this year…the wormhole bridge for Solana was hacked for
$320 million dollars. Well the crypto VC firm Jump, jumped in and replaced the stolen funds!
And Jump is close to FTX and SBF…protos posted this article in November “A look at Jump Crypto
and its shady past” and the article states “Jump and FTX go way back and the relationship is a deep
one. However, the links haven’t always been viewed favorably. Indeed, Jump was accused of
colluding with Sam Bankman-Fried’s Alameda Research on seed funding rounds and yield
farming investments. It’s also been alleged that Jump withdrew $300 million in assets from FTX the
day before the exchange paused withdrawals. That wallet spent a few days routing USDT and USDC
to two other Ethereum addresses. It also routed thousands of ETH to at least two other wallets.”
Jump is likely going under and taking a swath of Solana projects with it. The President of Jump,
Kanav Kariya, said this in November to someone replying to him “how to say we're down bad
without saying we're down bad” He said “no doubt we're down bad. it's a dark day for the industry”
Besides the VC blowup…Solana is centralized…it’s a glorified
database that is controlled by the Solana foundation. The Solana blockchain went
down & down & down again…facing outages that reached nearly 24 hours on occasions!
And I tried to warn…everybody at the Solana Top, November of last
year I was on Crypto Banter…arguing with Solana Fanbois and this is what I said…
This is what the Solana Fanbois were saying….
Yeah Vinny was thinking Solana was going FLIP Ethereum while I was saying this….
Remember that video was in November, the peak of the last bull. Arbitrum TVL has held since then,
and Optimism’s TVL has doubled…even with the bear sucking liquidity away…and as we know,
Solana TVL has been sucked dry!! Solana is the EOS of this last
cycle…it’s not an Ethereum killer, the VCs who supported the price are abandoning ship,
and they are still plagued with their blockchain issues. I’m not saying they will be 100 percent
irrelevant by next cycle, in the crypto graveyard…but like EOS they will fall from
grace…EOS in 2018 got all the way to rank #5, but today it’s fallen all the way down to rank 40…
What other coins should be avoided which are highly
ranked?? Well another one is Binance Coin BNB…
Binance coin is way up there….rank #5 with a marketcap of over 40 billion dollars but
it’s an exchange token that relies on the centralized entity Binance….
And we all know how that went over for FTX’s FTT token…but the centralized aspect of their token
isn’t the only thing they have in common with FTX. Both offshore and unregulated,
both have their own market makers active on its exchange, both have minimal corporate governance,
no board of directors, and both are under investigation for market manipulation.
In my opinion, Binance is just like FTX, overleveraged and doing extremely immoral
and illegal things, only they’re bigger and with a much more sophisticated mafia-like structure…
Dirty Bubble Media, the one who broke the news about FTX in early November,
even before CZ tweeted…is now going shedding a light on Binance with the article “Is Binance
US A Fake Exchange” where he shows with on-chain proof that Binance and Binance.US have transferred
billions of dollars in crypto between each other. They conclude with “We believe that these simple
analyses demonstrate that Binance.US customer funds are being sent to Binance and commingled
with Binance customer assets. Our data also suggest that Binance.US is using Binance to
perform customer trades while pretending to be an independent entity. In reality,
Binance.US appears to be little more than a facade to obfuscate the fact that an unregulated offshore
crypto business currently under investigation for money laundering and sanctions violations
is doing business in the United States despite being banned from the country.”
If this is true…Binance is in HOT water…like REAL hot
which makes holding Binance Coin extremely risky!
Popular crypto analyst Dylan Leclair tweeted “BNB is currently serving as collateral
for nearly the entire crypto derivative complex. Binance is the only game in town,
and an inflated $BNB price is integral for margin positions. They own ~50%
of the entire float and they subsidize financing costs against it as collateral.
Although, there is no way to check the safety of BNB…is it overleveraged?? Blockchain analyst
and journalist Data Finnovation put out a great thread investigating the BNB chain
due to many requests and they found some very suspicious things. They said “we can
now see for sure there are magical transfers between systems and these are not auditable.
The supply of bnb does not appear to be consistently managed across both halves
of the "binance chain complex". Lots of stuff here does not look to have
a verifiable history. its probably not fair to call this a "blockchain" anymore
There is no way to audit the chain, supplies don’t match, no verifiable history…BNB is likely
overleveraged & in my opinion is a ticking time bomb. Cheers I’ll see you next time!