$30K back on the table?

Week in Review:

• BTC pumped to ~$30K based on a fake Cointelegraph tweet saying the BTC ETF had been approved. $100M+ was liquidated in response to this fake report.

• Reddit has decided to discontinue Community Points (its blockchain-based product) on November 8th, citing scalability issues and regulatory hurdles. $MOON, a token associated with the feature, dumped -85%+. There are rumors of token selling before the announcement. 

• A proposed settlement in the bankruptcy case of FTX has been reached. One noteworthy condition is a 15% reduction of claims for customers who withdrew over $250,000 from the exchange within nine days of bankruptcy. Many prominent CT influencers publicly declared withdrawing money. Some even faked KYC information. It will be interesting to see how this is handled.

Notable inflows include memecoin ($BITCOIN), which received $93K over the past seven days. Other notable coins include BLOX ($43K) & $EMP ($27K). Popular Twitter memecoin SPX (not listed above) received ($21K in inflows.

Notable outflows include RLB (-$81K) & 0×0 (-$23K) which has been shilled a lot on Twitter recently.

Hivemapper ($HONEY)

High Level:

• MC: $1.8M

• FDV: $105M

• Circulating Supply: 6.1B

• Max Supply: 10B

• Chain: SOL

HONEY is a project that has been gaining traction during this bear market. The premise is simple: Use incentives ($HONEY) to leverage unused car capacity to build real-world infrastructure (maps). Contributors attach a dashcam to their car and get paid to drive around.

The numbers don’t lie:

• 90+ countries

• 7000+ dashcams

• 8% of all GLOBAL roads in 8 months

Crypto allows these networks to scale FAST. Imagine a world where every FedEx driver has a dashcam, cutting out Google Maps. Today, Google Maps has a monopoly on the mapping industry. This leads to high costs, privacy issues, and poor quality (some locations haven’t been updated in years)

Hivemapper is a two-sided marketplace that flips this model on its head.

Contributors: Drive, map, and get paid in $HONEY.

Consumers: Pay in $HONEY tokens to receive this data.

AI interprets this data to ensure high quality.

The traction it has been getting has been impressive for an early-stage project, but Hivemapper is not without risks.

HM is resource-intensive. It will need thousands of cars to realize its vision. The biggest risk is designing a token model that ensures there are HONEY tokens available for all contributors, not just early adopters. Its solution is a net-emission model.

Net emission model: Customers pay in HONEY tokens, burning supply. New HONEY tokens are minted to replace these. These new tokens are allocated to future drivers.

Will this be enough?

Only time will tell. HONEY is a high-emission coin, but similar DePin projects have done well in the past. HELIUM did 219x last cycle. DePin is a sector that flies under the radar but is great at bringing normies in and is a perfect real-world use case for crypto (something we don’t have enough of). Crypto enables these networks to scale faster and cheaper than its Web 2 competitors.

I will be keeping an eye on this project.

🤑 Notable Raises

• SynFutures - $22M series B. Sector: DeFi. Lead investor was Pantera Capital. Notable investors include Susquehanna & Haskey.

• MyShell - $5.6M seed raise. Sector: AI. Lead investor was INCE capital. Notable investors include Hashkey, Folius Ventures, & SevenX.

• Squads - $5.7M strategic raise. Sector: Infrastructure. Lead investor was Placeholder capital. Notable investors include Multicoin, Delphi, & Solana Ventures.

• Kino Studios - $2M strategic raise. Sector: Social Media. Notable investors include Slow, Supercount, & Near Foundation.

• Virgo Group - $5M Series A (downround) - Sector: CEX. Notable investors include Waterdrip & Skylean Capital.

• Scroll: Scroll’s Mainnet is LIVE.

• Stars Arena: Viral social media app that suffered a series of hacks has relaunched on a limited basis.

• Uniswap: Introduces 0.15% swap fee on various tokens. UNI holders in disbelief.

• Gnosis: TVL has surged 80% to $140M in the last 30 days despite a bear market.

• European Central Bank: Testing prototypes of its CBDC. The EU plans to test different strategies over the next two years.

• BTC ETF: High profile crypto investor Mike Novogratz sees an ETF approved in 2023

🫡 Chart of the Week

Reddit admins have been rumored to dump $MOON token before the announcement they were sunsetting the feature.

See you next week,

Mid-Curve Team

The Mid-Curve newsletter is intended purely for educational and informational purposes and should not be construed as financial advice. We encourage all our readers to conduct their own research or seek advice from a certified financial advisor before making any investment decisions. Please note that members of the Mid-Curve team may hold positions in some of the investments discussed in our newsletter.