December 15, 2023

Newsletter #233 - Carnage But Moon

Hi Shitcoiners,

Now that was one hell of a week, wasn’t it? Banks collapsed, stablecoins tanked and Bitcoin led the way in a cryptocurrency pump. We kick things off with a look at how March is going.

The market panic was triggered by news that Silicon Valley Bank was in trouble. The news led to a significant wipeout of their stock. As the news sank in, the world started to realise the ramifications.

Here’s a good read into the macro situation if that’s your thing.

It wasn’t looking good and many began to realise that the crypto industry wasn’t safe from the fallout. News began to circulate that Circle had money tied up at SVB.

This was later confirmed.

Panic ensued as USDC crashed to an unprecedented low of $0.87.  

While some will say that trust in USDC is gone, they were very transparent throughout. Following a stressful weekend, on Monday 13th Circle announced that the cash held at SVB was available and on its way to other banking partners. We were so back!

Those that were parked in stables turned to Tether as a safe haven for their assets. The USDT naysayers were very quiet…

It wasn’t only Circle who was impacted. BlockFi, who has had a dismal year also had money locked up.

The decentralized homies were quick to mention this had nothing to do with them. Its all CeFi problems? Always has been.

2022/23 has been a time of dodging bullets. Did you make it, anon?

For those of you looking for a little more colour around the banking collapse, here’s an interesting watch.

If that boomer version has you yawning, read through Arthur’s latest piece where he envisions infinite money printing. GMI!

Arthur's predictions are looking good!

As the week went on, the aftermath of the collapse became apparent. Rumours began to circulate that any buyer of Signature, who was a banking partner to many in the industry, could not continue the crypto arm of the business.

Supposedly this is not true.

Is this an attack on crypto?

This meltdown meant that other news was cast into the background. Euler Finance took a $200M hit as a hacker drained their wallets.

NTS: If you ever are the victim of a hack, write the hacker a nice message and maybe he’ll make you whole again.

Maybe this Nottingham Forest footballer is trying to do that IRL?

FTX users do not know yet if they will be made whole. SBF did alright out of the whole thing though (minus the legal issues).

In other news, the word in the street is that Justin Sun no longer has diplomatic immunity.

We hope this doesn’t mean bad news for our bags…

While Justin supposedly loses his seat at the table, Emin has gained his. We now have a man on the inside.

We round this one off with some good news for those of you who experimented with Arbitrum. Who doesn’t love an airdrop?

That's all for this week. Follow Andreas on Twitter and stay up to date with us @Shitcoindotcom too. See you next time.