Copy
Rupt Logo

Rupt Weekly Newsletter

10 December 2022

Oxford's word of the year for 2022 is out and it’s… 🥁

Goblin Mode.

If you thought it was going to be Metaverse, well there were many other people like you because Metaverse came in second on the ranking.

In case you’re wondering, Goblin Mode means a type of behaviour which is unapologetically self-indulgent, lazy, slovenly, or greedy, typically in a way that rejects social norms or expectations.

Now the stories of the week!

IN THIS ISSUE

💎 Stablecoin issuer Circle cancels plan to go public
💎 ConstitutionDAO is back again
💎
$400,000

🤯 THE BIG IDEA

Stablecoin issuer Circle cancels plan to go public

As of this week, there have been 174 IPOs on the US stock market this year, 82.5% less than the same time in 2021, which had 997 IPOs by this date.

An indicator that the economic downturn is affecting every sector, especially web3 companies who have had to battle with the bear market complicated by all the negative sentiments from cases of fraud and hacks.

Which company is the spotlight on today?

Circle, the company behind stablecoin USDC which has terminated its agreement with special-purpose acquisition (SPAC) company Concord Acquisition Corp., thereby stepping back from its plan to go public. Stablecoins are cryptocurrencies that are pegged to fiat currencies (stable assets), aka the money you spend, to maintain a stable price.

The issuer of the world's second largest crypto stablecoin, had announced its plans to go public in July 2021, with a valuation of $4.5 billion. The valuation was later doubled when the firms amended their terms in February. In the third quarter of this year, Circle said that it turned profitable with a net income of $43 million and ending the quarter with almost $400 million in unrestricted cash.

That’s a rare one.

Yeah, profitability is that once forgotten term that wasn’t necessary in the venture capital backed startup space until recently.

Zoom out: Circle’s termination comes after similar high-profile crypto firms, such as trading platform eToro in July and bitcoin miner PrimeBlock in August, have cancelled plans to go public via a SPAC.

Guess the time isn’t just right.

💌SHARE THIS NEWSLETTER WITH A FRIEND

Share on WhatsApp

ConstitutionDAO is back again

Last year, a group of people came together to form ConstitutionDAO, a decentralised autonomous organisation (DAO) which was created by buying a copy of the constitution in an auction.

They built up a ton of hype and raised over $40 million in 7 days but in the end, they lost the auction to billionaire Ken Griffin who outbidded them.

Another US constitution is up for auction and they’re back

This time it’s a new team, separate from the team, named ‘ConstitutionDAO2’ that bidded last year.

NFTs are being used to raise money. People that want to contribute to the cause can buy 1 of 4 NFTs at different tiers: Citizen, Representative, Senator, and Executive.

They won’t disclose the total amount raised until after the auction is done. A clever move considering that last year, everyone knew exactly how much the ConstitutionDAO raised. This helped Ken Griffin know how much more he had to bid to win the auction.

ConstitutionDAO2 has a new goal to be a decentralised collection of civic artefacts, with the US Constitution being the first out of many to come.

We wish them all the best, as this might be the greatest comeback story yet.

🗣️ Number speak

$400,000

The EU foreign aid department threw a Metaverse party to introduce non politically engaged 18-to-35-year-olds to the European Union executive’s work around the world.

A section of the world map showing Pacific Islands

How it worked: After logging in, users get an avatar resembling a multicoloured paperclip and roam around a surreal tropical island. Weirdly, this metaverse didn’t require a virtual reality headset, as users used computer mouse and keyboard, or touchscreen to move their avatars around like in a video game. A disappointing interface for a site that cost about $400,000.

What’s inside?

According to Devex;

“A 24-hour beach party pumping four-on-the-floor beats while presumably computer-generated figures dance on elevated platforms. A giant red statue prepares to hurl what looks like a coronavirus molecule. Dolphins jump through the air. Drones hover, carrying multiple screens flashing words such as “education” and “public health.” There is an open book art installation on a liquid floor as a “symbol of the human journey towards knowledge”. You can walk on water.”

The turn out

We know that the ‘lit-ness’ of every party is somewhat validated by the number of people who show. So how many people went to this party?

Six or 300 depending on who you’re asking. We’ll stick to 300 the EU claim showed up, which is quite a low number for a site that can host 400,000 people.

On one end it’s commendable that the EU is trying to move with the times and experiment with new things but the outcome of this project raises concerns about whether it was the best use of taxpayer’s money.

Zoom out: To be fair to the EU, even if their Metaverse was the most advanced in the world, they might still experienced a low turnout, considering that two biggest Metaverses in web3, Sandbox and Decentraland, have also struggled recently. Simply put, less people are showing up in the Metaverse.

Answer

a reference to the possible event of Ethereum becoming more valuable than Bitcoin, in terms of market cap.

As seen Online

Via Unknown

💌SHARE THIS NEWSLETTER WITH A FRIEND

Share on WhatsApp