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*Ninepoint Digital Asset Group, is a division of Ninepoint Partners LP.
(8 Day Change as of Apr 21, 2023 11:15AM ET)
Bitcoin Price: $28,080  (7.14%)
DeFi Total-Value-Locked: $49.85B
Ethereum Price: $1,909  (7.41%)
Crypto Market Cap: $1.18T
Bitcoin Range: $27,815 - $30,623
BITC.U Close: $8.28 (as at Apr 20, 2023)
Ethereum Range: $1,890 - $1,908
BITC.U NAV: $8.30
Bitcoin Dominance: 47.30% (1.06%)
BITC.U Discount: 0.24%
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I am delighted to share that, following a unitholder resolution, the Ninepoint Bitcoin ETF will become the Ninepoint Web3 Innovators Fund.

Our view is and always has been that Bitcoin is just the start of a much broader technology revolution. Indeed the Web, and with it the Internet, are entering a new era, known as Web3, that promises to transform not just money but also business, culture and society in profound ways. As with previous eras of the Web, there will be winners and losers.

Every day, Web3 technologies like digital assets, smart contracts and DAOs become more deeply embedded into our economy. Now, with the launch of the Ninepoint Web3 Innovators Fund, investors will have a way to participate directly in these transformations and gain exposure to the businesses harnessing the awesome potential of Web3.

Read today’s essay by Alex to get a taste of how some of the world’s most innovative companies are harnessing Web3 to transform their businesses!

Read the press release and stay tuned for more updates!


Coinbase CEO Brian Armstrong Praises United Kingdom’s Approach to Crypto Regulation

Coinbase CEO, Brian Armstrong, expressed his confidence in the United Kingdom's "sensible crypto regulation" in a Tweet featuring the Economic Secretary and City Minister Andrew Griffith. Armstrong described the UK as a "Web3 innovation hub" and has reportedly provided nine recommendations to cement the UK as a leader in the sector. However, the UK is one of many European countries making progress in the digital economy; the post cited the upcoming Markets in Crypto Assets (MiCA) regulations in Europe, which is said to edge the region ahead in embracing the digital economy. This news comes amid a crackdown on the crypto industry in the US.

The Resurrection of FTX? Over $7.3 Billion Assets Recovered, Considering Reboot

Bankrupt cryptocurrency exchange FTX has reportedly recovered over $7.3 billion in cash and liquid crypto assets, with an increase of over $800 million since January. According to the company's attorney, FTX is currently considering options for restarting its exchange but will require significant funding due to the lack of connectivity between the customer interface and back-end funds. FTX is now negotiating with stakeholders about a relaunch, with a decision potentially being made by this quarter. Additionally, the company is developing a preliminary Chapter 11 plan to emerge from bankruptcy, but approval is not expected until later in 2024 as creditors brawl for their share of the company's assets.

US Congress Examines Crypto Industry Regulations in Two Hearings This Week

The United States Congress is delving into the crypto industry with two hearings this week. The first hearing addressed SEC Chair Gary Gensler's oversight of the SEC, including a discussion on the definition change of "exchange," which may increase the SEC's authority over DeFi and venues leveraging blockchain technology. The second hearing focuses on draft legislation establishing federal and state requirements for issuing stablecoins, along with reporting, interoperability, and enforcement standards. Industry experts and officials are expected to testify in both hearings and offer valuable insights into the regulatory landscape and future of the crypto industry within American borders.

How Will Web3 Transform Industries?

By Alex Tapscott

As we wrote in our 2023 outlook, Enterprise adoption remains a key theme and driver of Web3 adoption. Indeed, increasingly, Web3 tools are impacting the businesses of large public companies, like Microsoft, Square, Nike, and Paypal and many former start-ups are now themselves large public companies, like Coinbase. More and more, investors can gain exposure to this technology revolution by investing in a diversified portfolio of public companies that are using Web3 to transform their businesses and gain a competitive advantage in their respective markets and industries.

Enterprise adoption of Web3 is here. There are three big reasons for this. First, the technology is ready for prime time. It has grown by orders of magnitude in the last few years and now it is enterprise-grade. Second, the Ethereum “merge” eliminated any ESG concerns about using Web3 tools like smart contracts and NFTs. Third, smart firms have already been experimenting in this technology for years and now have the critical institutional knowledge to take the next step. Also, the bear market actually creates opportunities to build quietly out of the glare of the “new new thing” which is why we are seeing enterprise adoption actually accelerate.

Consider these three announcements from the past week:

First, Starbucks Brews Up Nostalgia with First Store Collection: Launches 2nd Paid NFT Project

Starbucks is, yet again, jumping into the world of non-fungible tokens (NFTs) with a new collection on the Polygon network. The coffee giant's latest NFT offering, The Starbucks First Store Collection, is a nod to the company's first location, which opened in 1971 at Pike Place Market in Seattle. The collection has 5,000 digital stamps priced at $100 each, with a limit of one per person. Starbucks is ramping up its Web3 initiatives, with plans to create a "digital third place" for its customers. By partnering with Nifty Gateway and Polygon, Starbucks hopes to offer exclusive content experiences and other benefits through NFTs.

Mastercard Music Pass NFT: Mastercard Launches NFT Project to Support Web3 Musicians

Mastercard has released non-fungible tokens (NFTs) for Web3 musicians to help boost their careers, as announced at NFT.NYC. The Mastercard Music Pass NFT is a digital collectible that is free to mint and enables artists to access the Mastercard Artist Accelerator program, providing them with AI technology and educational tools such as advice from Web3 mentors. Web3 musicians, fans and enthusiasts can collect the NFTs until the end of April. This move marks Mastercard's first combination of music and NFTs, although the company has previously sponsored music events and allowed cardholders to purchase NFTs with fiat through a partnership with MoonPay.

Nike Set to Launch Virtual Sneaker Collection on Its .SWOOSH Blockchain Platform

Nike is set to launch its first digital collection on its blockchain-powered platform, .Swoosh. The collection will offer digital images of virtual shoe boxes for $19.82, with each box unlocking digital versions of Nike's iconic Air Force 1 sneaker, first sold in 1982. Using everyday language, like "collectible" rather than "NFT," in promoting digital collections has become a trend among brands, with The Rolling Stones and Fox Entertainment following this approach.

Sky’s the Limit: The Potential of Web3 Gaming with Aleksander Larsen of Sky Mavis

Join Alex Tapscott and Andrew Young as they decode the world of DeFi with special guest Aleksander Larsen, COO and Co-Founder of Sky Mavis. Listen in as they discuss Aleksander’s intersection of gaming and Web3, experience with and learning lessons from Axie Infinity, exciting blockchain-based gaming applications, the response from large traditional gaming studios, the future outlook for Web3 gaming adoption, and more!

Sky Mavis is a blockchain-based gaming company that builds virtual worlds with player-owned economies and digital property rights. Their flagship game, Axie Infinity, is a popular NFT-based online video game that allows players to battle, raise, and trade creatures called Axies. Axie Infinity has facilitated over $3.6 billion in trades on its in-house marketplace and has 2.8 million daily active players, making it one of the most popular Web3 games to date. Aleksander’s responsibilities at Sky Mavis encompass finance, operations, legal, and business development. He also serves as the Secretary on the Blockchain Game Alliance’s Board of Directors. Prior to working on Sky Mavis, Aleksander worked in the Norwegian state, spending his free time playing video games and fostering gaming communities. He represented Norway in competitive tournaments for World of Warcraft 3 and Dota and ranked globally among the top 200 players for Dota 2.

Tune in to the 92nd DeFi Decoded episode to hear Alex, Andrew, and Aleksander discuss all things Web3, gaming, and Sky Mavis. What was Aleksander’s experience with Axie Infinity? How does Aleksander view the adoption of blockchain technology in the long run, and what impacts will it have on gaming? What are some exciting features of Web3 games that weren’t possible in non-blockchain gaming worlds?

Source: The Block
Chart: #1 Ethereum’s Shanghai Upgrade Goes Live: 584,000 Ethereum Withdrawn in Six Days
The recent launch of Ethereum's Shanghai upgrade for the Beacon Chain has enabled the withdrawal of staked Ethereum, which resulted in over 1,060K being withdrawn and 476K being deposited in the first six days, a net change of -584K. The Beacon Chain had not before allowed withdrawals, and this fundamental change improved the risk and liquidity considerations previously associated with staking. As a result, Ethereum has become a more complete proof-of-stake (POS) network; its price has increased by 77% year-to-date (YTD), 13% since the upgrade, and now sits at an 11-month high of around $2,110.
Source: messari
Chart: #2 TrueUSD Becomes Fifth Largest Stablecoin with 138% Supply Growth Year to Date
TrueUSD (TUSD) stablecoin has become the fifth largest by circulating supply, with a market cap of $2.15 billion, representing a 183% increase year-to-date. TUSD was launched in March 2018 with significant investor funding and a team from Stanford, Berkeley, Google, and Palantir with extensive experience. TUSD claims to be the first "regulated stablecoin fully backed by the US dollar" and is known for its transparency and regulatory compliance, backed 1 to 1 with USD and attested to in real-time by an independent accounting firm. While it ranks behind Tether, USDC, BUSD, and DAI, recent enforcement action against Circle and Binance could continue to fuel its adoption and drive TUSD's circulating supply further.
Source: glassnode
Chart: #3 Bitcoin Holders’ Rejoice: 75% of Circulating Supply in Profit
The Bitcoin Percent Supply in Profit chart displays the proportion of Bitcoin's circulating supply that was purchased at a lower price than the current market price and is currently in profit. This metric is 75%, indicating that a significant percentage of Bitcoin's circulating supply is in profit. Large upward movements on the chart signify that a significant proportion of the coin supply has just returned to profit; at start of the year, this metric stood at just 48%. The chart helps identify high-cost basis concentrations and shows macroeconomic trends in network profitability.