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#Crypto #Cryptocurrency #BasicCryptonomics #Ethena #FDUSA
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Episode Transcript
[00:00:00] Out of cycle update.
[00:00:03] Major outflows across cryptocurrency appear to be targeting one specific coin and token that is first digital USD stable coin crypto Talk FM my name is Lyster. I'm your host. We're going to talk about briefly what's happening. The first digital USD stable coin, largely banked in Binance, although it's on other exchanges, experienced major inflows to the degree of just shy of $11 billion in 24 hours. Volume. Overall, $400 billion in volume going to the stable coin. And what spiked it recently is the launch of this Athena project. Ever. Most recently on Binance, they did a launch pool, and part of the launch pool was you needed to stake first digital USD stable coins in order to get airdrops for this token as part of the launch. But the Athena Pro project on its own is generating major wealth as well. I'm not going to cover that here. I'll talk about it high brief, but I'm really talking about the money flows and what I see. The Athena project itself refers to itself as an Internet bond. And if you don't know what bonds are, bonds are a form of wealth generating investment on the stock side. And I don't want to go any further than that for the purpose of this out of cycle. But this Internet bond, the way they presented on the site for Athena is that it's going to be, you know, we need to get rid of banks. We don't need banks. We're going to do it with digital money. Magic Internet money, similar kind of concept, and I have grave concerns about that. But I also had concerns about the first digital USD, because when I saw the numbers, first digital USD has a $2 billion market cap, just shy of 2.5 billion, I believe market cap as I record this, yet the total volume over time is just shy of $400 billion in flow. If I look at USD tether, for example, USD tether has a total volume across 30 days. When I say total volume, total volume a just shy of $3 trillion. But a market cap of $100 billion, that's a much closer spread from a comfort perspective than a 300,000,000,030 days. Is first digital 300 billion in 30 day volume be a market cap? A 2.5 billion in market in market cap. It's like there's something sketchy to me. I'm nervous when I see numbers like that, and it tells me this seems like it's going to be insolvent at some point because people are just moving it, they're just transacting it. And maybe that's the intent, maybe that's the plan, is just to move it and shift it and do all that stuff to mitigate how much is held at any one time. Maybe, you know, because holding billions is not bad, so maybe it's intentional. I'm saying that the spread is odd if you're talking 300 billion in 30 day volume, but your market caps just 2.5 billion. That's. That spread is too wide for my comfort, compared to a 3 trillion and then 100 billion seems a little bit closer. But I could be just off and it's intentional and it's planned and it's fine and it's normal. So don't take it as a campaign against them. I just. For me personally, as a trader, I'm nervous to see those numbers for first digital. Now, again, clearly the volume numbers ever most recently are because of this whole launch pool. And people are only getting it because they want to stake it, because that's part of the thing is you stake it. There's airdrops and the whole business for people who can access binance.com, which is not the United States. And I'm not doing sketchy VPN's in order to get into that business. But again, it validates what I said, that people are just robbing Peter to pay Paul. They're just taking money out of other projects to buy into things like this sketchy business. Whatever the launch pool is to get in early, and that gambler strategy will make some people some money and Athena will have some run the project. You know, as far as what it's doing, nobody really knows if it's going to be a thing or it's going to end up another squid game. I can't tell. I looked at it on the surface, I see all sorts of red flags and what they're trying to do, I actually see, you know, very similar to, you know, FTX Business in what they're trying to do. And most importantly, with first digital and Athena together, because they essentially, they're synchronized at this point with those two together. It's very similar to the UST and Luna situation, although it's not the same ecosystem, it's the same concept of is it possible that one causes the D peg of a stable coin, this being first digital USD, and then Athena starts crapping out because they're pairing it apparently purposefully diverse digital USD? I can't say that is what's happening. I'm saying that the. I question why they would not have included other stable coins like USDC, USDT, even Dai, just to spread it around and make sure it's diverse so that you're not putting all your eggs in one basket, such that if one fails, it craps the whole project and harms investors. So I can't say, because some people aren't going to listen to this, but I can't say specifically what's happening. I'm calling out the risks. I see in this kind of parallel strategy of what they're doing, where it's too much money flowing in one direction. And these two being so bonded and not having enough diversity of the stablecoin pools raises concerns. Now, maybe later they do it, but I think you should do it upfront, do it up front. It's like, yeah, we got a pool for USDT, we got a pool for USDC, we've got a pool for Dai, we have pool for first digital us. You know, spread it around. What's the reason that you don't? I think that binance is trying to advertise first digital USD and greater use of it, and they're just pairing it to a bunch of. It's kind of like a marketing strategy. It's like, okay, let's just pair to a bunch of these things to get more traction and traffic towards this stable coin. That's my read on it. Take a look at it. If you can access binance.com and maybe something you want to get in. As I recorded this, it's up to $0.89, had launched at 60 something cents. So it's still early for it. And again, I can't tell you what to do. If you're a gambler, by all means, hey, have at it.
