First, let me respond to the big thing I wrote yesterday. On July 23, someone on X platform said that the flag at the US Capitol was lowered to half-mast because Biden died of COVID-19. Later, it was debunked to commemorate a black congressman who died last Friday. It's hard to write without confirmation, so just treat it as a roe deer for once...

The big event yesterday was the first day of official trading of the Ethereum ETF. There are several key data to mention. Grayscale's Ethereum Trust had a net outflow of US$484 million, while BlackRock and Bitwise received inflows of US$266 million and US$204 million respectively. Together with others, the total was US$590 million. After hedging Grayscale's outflow, the net inflow was US$107 million.

There are two reasons for the outflow of Grayscale. One is that the handling fee is almost ten times higher than that of other companies (1.5% and 0.2%), so investors redeemed from Grayscale and joined other ETFs. The second reason is discounted trust arbitrage.

Many people would ask why Grayscale charges such a high fee. I think this is an industry problem. GBTC's management fee is 2%, and they may think that 1.5% is a price cut. But BlackRock's traditional alternative investment products are already 0.64%, so 0.2% for store promotions and discounts is not excessive.

Grayscale GBTC's historical net outflow is US$18.722 billion, and this part of the outflow was eaten up by IBIT (net inflow of US$195.67), so its Ethereum ETF outflow is also normal, and it is highly likely that its market share will also be eaten up by BlackRock.

From this perspective, we should all be more alert and cautious. The entry of giants is good for the industry, but not necessarily for us. Because our local players cannot beat them, the only way to win is to hoard as many of the most important cryptocurrencies as possible.

...

Regarding the market, some people are asking why the price of Ethereum ETF has not risen despite the fact that it is such a big deal. Last night I said that the giants are always preparing food before the troops move, and many things are just formalities. There will not be much price fluctuation unless no one buys ETF.

People are panicking about Bitcoin right now, and they all think that the Mentougou incident has a huge impact. But if you look deeper, it really doesn’t matter if it goes up or down. When Germany sold off BTC, the market had already fully priced it. In previous years, BTC had the strongest rebound.

If there is no rush to dump stocks in Mentougou, the market can digest it and give a good time to enter the market. If there is a rush to dump stocks, it will be done in one step. Most of those who worry about this have leverage in it, which is a kind of trouble for themselves. They use money that is not their own to earn income that does not belong to them, and they still rely on opportunities that they cannot be sure of. If this is not a loss, who will lose?

1. Pump.Fun’s cumulative revenue has exceeded 70 million US dollars. Many people don’t know about this platform, but everyone will understand what it does if I tell them: it is a meme coin platform on Solana, which is specially used for one-click coin issuance. The entire Pump.Fun-related TX has accounted for 38.4% of the total TX, which is about 1.4217 million (one TX is one meme coin). Think about how slim the hope of making money is.

Now Solana’s staking rate has reached 7%. You can use Sol to stake it, but don’t believe in the gold that comes from those bullshit people. 99.999% of them are bullshit.

2. It is said that DYDX is going to be sold. Since the market plunged in March, the rebound of DYDX, the leader of DeFi, is the weakest. But I looked at the data of DYDX, which can earn more than 100 million in fees a year, and the valuation can be given to 1 billion. Now it is more than 800 million, which is a good price. But there are rumors that it was hacked and that it is going to sell the platform. I am not sure.

I asked the experts, and they said that the current version is V4. The hacker attacked V3, and the one to be sold is also V3. By the way, DYDX also has a selling pressure problem. The unlocking date agreed before was postponed once, and it was set after the migration to Cosmos. On the one hand, it wants to develop itself, and on the other hand, it probably wants to digest this part of the selling pressure through public chain staking. I kind of want to buy it, but I'd better wait and see. Now it's 1.2U, I want to wait until it's below 1U, and buy it when it does, otherwise forget it. A good token doesn't need this one.

3. It is said that Harris will also attend the Bitcoin conference. After Biden entrusted Harris to run for president, he reportedly began to learn crypto less than 48 hours after announcing his candidacy. This is the general trend. It doesn’t matter whether you like crypto or not, but you have to get the votes of crypto people. I don’t know what you think, but I am full of confidence in the future market.

That’s all I have to say. The market situation is just like this. There are not many new concepts, and they are still centered around memes and airdrops. The TON ecosystem has introduced a lot of CEX financing. I feel that TON still needs to have a Ponzi to be a deterrent.

Now the entire crypto financing has dropped to the freezing point of 2020. The cycle still exists, and things are like a pendulum, swinging forward. Next, the community will have to take over the VC.