Doc's Daily Commentary

Mind Of Mav

The State Of Crypto In 2022


A16z is a venture capital firm led by Marc Andreessen, one of the most famous names in the technology industry. They have bet BIG on crypto and web3, and earlier this week, they came out with a report about the State of Crypto right now. 

It is 58 pages long, but totally worth your time, and to be fair, the pretty pictures and graphics took up a lot of space.

Here is a tl;dr summary of the report, which you can access here.

If we put the market cycles to one side, the long term trends look good

Ethereum is not the only blockchain in town

When it comes to the number of addresses and transactions on the network, other blockchains are catching up to and surpassing Ethereum. 

For developers though, Ethereum is the only blockchain in town

HOWEVER, you can see that other ecosystems like Solana are on a similar trajectory. They just haven’t been around long enough to see the kind of adoption the Ethereum network is seeing. 

There are still a huge number of people that can benefit from the DeFi boom

There are still 1.7 billion people who do not have access to bank accounts and of these, 1 billion have a mobile phone and 480 million have access to the internet. DeFi has the potential to change the lives of some of these people. 

NFTs are changing the game for creators

These are the revenue per creator on different platforms.OpenSea is a platform used to sell and trade NFTs, and a16z compared earnings on OpenSea to earnings on equivalent web2.0 platforms widely used by creators. Here are the results:

Facebook: $0.10 per user

Spotify: $636 per artist

Youtube: $2.47 per channel

OpenSea: $174,000 per creator

We’re still in the early days of web3

Web3 is following a very similar trajectory (when it comes to adoption) to the internet in the 90s. Currently, levels of adoption in web3 are roughly equivalent to the level of adoption of the internet in 1995. If web3 continues following the same trajectory as web2, we have a long way to go. 

Onwards & Upwards

a16z expects many more creators to embrace NFTs, once they realise how lucrative this route could be for them. They also expect a lot of development in the web3 gaming space. They think that the new users coming in from these two channels will earn tokens, and will be willing to store and exchange these tokens using DeFi protocols. According to a16z at least, the future looks bright – bear market or otherwise. 

The ReadySetCrypto "Three Token Pillars" Community Portfolio (V3)

Add your vote to the V3 Portfolio (Phase 3) by clicking here.

View V3 Portfolio (Phase 2) by clicking here.

View V3 Portfolio (Phase 1) by clicking here.

Read the V3 Portfolio guide by clicking here.

What is the goal of this portfolio?

The “Three Token Pillars” portfolio is democratically proportioned between the Three Pillars of the Token Economy & Interchain:

CryptoCurreny – Security Tokens (STO) – Decentralized Finance (DeFi)

With this portfolio, we will identify and take advantage of the opportunities within the Three
Pillars of ReadySetCrypto. We aim to Capitalise on the collective knowledge and experience of the RSC
community & build model portfolios containing the premier companies and projects
in the industry and manage risk allocation suitable for as many people as

The Second Phase of the RSC Community Portfolio V3 was to give us a general idea of the weightings people desire in each of the three pillars and also member’s risk tolerance. The Third Phase of the RSC Community Portfolio V3 has us closing in on a finalized portfolio allocation before we consolidated onto the highest quality projects.

Our Current Allocation As Of Phase Three:

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The ReadySetCrypto "Top Ten Crypto" Community Portfolio (V4)

Add your vote to the V4 Portfolio by clicking here.

Read about building Crypto Portfolio Diversity by clicking here.

What is the goal of this portfolio? 

The “Top Ten Crypto” portfolio is a democratically proportioned portfolio balanced based on votes from members of the RSC community as to what they believe are the top 10 projects by potential.
This portfolio should be much more useful given the ever-changing market dynamics. In short, you rank the projects you believe deserve a spot in the top 10. It should represent a portfolio and rank that you believe will stand the test of time. Once we have a good cross-section, we can study and make an assessment as to where we see value and perhaps where some diamonds in the rough opportunities exist. In a perfect world, we will end up with a Pareto-style distribution that describes the largest value capture in the market.
To give an update on the position, each one listed in low to high relative risk:
SoV/money == BTC, DCR
Platforms == ETH, XTZ
Private Money == XMR / ZEC / ZEN
DeFi == MKR / SNX and stablecoins
It is the most realistic way for us to distill the entirety of what we have learned (and that includes the RSC community opinion). We have an array of articles that have gradually picked off one by one different projects, some of which end up being many thousands of words to come to this conclusion. It is not capitulation because we all remain in the market. It is simply a consolidation of quality. We seek the cream of the crop as the milk turns sour on aggregate.

Current Top 10 Rankings:



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