Web3 AI Daily Review (2024/9/17)
After experiencing a "summer storm," the U.S. stock market is gradually recovering, mainly thanks to the strong performance of the 493 components of the S&P 500 index, excluding the seven tech giants. Since mid-July, tech stocks have overall declined by 5.3%, but the S&P 500 index has dropped by less than 1%, demonstrating the resilience of other sectors such as real estate and utilities, which have risen by 11% respectively. Over the past two years, tech giants like Nvidia and Microsoft have been the main drivers of the market due to their profit growth and artificial intelligence initiatives. However, as concerns about slowing economic growth intensify and expectations for an upcoming interest rate cut by the Federal Reserve rise, investors are beginning to shift towards traditional sectors such as real estate and consumer staples.1. Attention Value - Market Highlights
1. Market Trends
(1) Macroeconomic Environment:
l The key to the recovery of US stocks lies in the "S&P 493"
After experiencing a "summer storm," US stocks are gradually recovering, mainly due to the strong performance of the 493 constituent stocks in the S&P 500 index, excluding the seven tech giants. Since mid-July, tech stocks have overall declined by 5.3%, but the S&P 500 index has dropped by less than 1%, indicating the resilience of other sectors such as real estate and utilities, which have risen by 11%. Over the past two years, tech giants like Nvidia and Microsoft have been the main drivers of the market due to their profit growth and AI positioning. However, as concerns about slowing economic growth intensify and expectations for an upcoming rate cut by the Federal Reserve rise, investors are beginning to shift towards traditional sectors such as real estate and consumer staples.
In the midst of market turbulence, those typically inactive sectors have performed exceptionally well. Bloomberg Intelligence equity strategist Michael Caspe pointed out that investors are more inclined to focus on companies that have shifted from declining profits to growth, steering them away from tech stocks and towards the other 493 stocks. The healthcare sector, after experiencing seven consecutive quarters of profit decline, saw a profit increase of 16% in the second quarter, and this growth is expected to continue until the end of the year. Despite the market rotation, analysts remain optimistic about tech stocks, believing that large tech stocks are still an important allocation for many investors.
(2) Web3 Sector:
l SoSoValue launches TokenBar, the first crypto investment community covering all tokens
SoSoValue announced the launch of a new crypto investment community, TokenBar, during Token 2049 in Singapore. Co-founder Jiva Kwan stated that TokenBar is the first community that comprehensively covers various crypto tokens, centered around investors, aiming to become a long-term investment partner for users and realize the vision of information equality. The product has officially launched after internal testing, and users are invited to participate in content creation and publish the first post.
Previously, SoSoValue completed a $4.15 million seed round financing in June this year, with notable investors including HongShan, GSR Markets, and Alumni Ventures.
2. Hot Events
Macroeconomic Environment:
l OpenAI plans to raise $6.5 billion at a $150 billion valuation
OpenAI is conducting a new round of financing, expected to raise $6.5 billion from investors at a $150 billion valuation, significantly higher than the $86 billion valuation earlier this year, reflecting strong market confidence in its technological potential. This financing will be conducted through convertible notes, with major investors including Microsoft, Apple, and Nvidia.
CEO Sam Altman mentioned in an all-staff meeting that the company's structure may change next year to bring it closer to traditional profit-making enterprises. This change could eliminate the cap on returns for investors, which, while providing greater returns for early investors, may also raise questions about corporate governance and deviation from its nonprofit mission. Although OpenAI has stated it will continue to focus on its nonprofit mission, if the restructuring is unsuccessful, it may need to renegotiate valuations with investors, potentially affecting the share conversion price.
Web3 Sector:
l Ambrus Studio completes multi-million dollar financing and launches the first Telegram game E4C: Demon Hunter
Ambrus Studio has completed a multi-million dollar Series A financing and launched its first Telegram game, E4C: Demon Hunter. The financing was led by Spartan Group, with many top investment institutions participating. Ambrus Studio plans to launch a Web3 game incubation platform, E4C, focusing on developing high-quality blockchain-based games to meet the needs of both Web2 and Web3 players. Demon Hunter is a top-down action shooting game where players control the mercenary Sehk to hunt demons; the game is easy to operate but requires skill. The E4C platform will not only serve as a game distribution platform but will also integrate incubation, community, and task center functions. Ambrus Studio was founded in 2021 by former Riot Games Asia Pacific CEO Johnson Yeh, aiming to enhance player experience and promote the mainstream adoption of Web3 technology in the gaming industry.
3. Hot Narratives
DAWN is a decentralized wireless network protocol designed to provide users with fast, convenient, and affordable wireless internet through a user-driven mesh network. Its core concept is to turn internet bandwidth into a tradable commodity, breaking corporate monopolies and allowing anyone to participate in its use and trade. DAWN recently secured $18 million in financing led by Dragonfly, bringing its total funding to $33 million, attracting widespread attention.
In terms of mechanism innovation, DAWN employs a series of unique designs. By allowing nodes to provide excess bandwidth and sell it back to the public network, it forms a decentralized bandwidth allocation system. DAWN uses a robotic antenna system (RAS) that combines point-to-multipoint radio antennas, which can automatically execute wireless configuration and adjustments, significantly lowering the deployment threshold for users. Additionally, DAWN adopts a consensus mechanism based on proof of backhaul, proof of location, and proof of frequency to ensure network transparency and performance. To incentivize network development, DAWN has designed a badge system and effectively prevents token inflation through a revenue-burning mechanism. These innovative mechanisms give DAWN a unique advantage in the decentralized wireless network field.
Key team members of DAWN include Neil Chatterjee and James Smits. Neil Chatterjee previously served as Vice President of Engineering at Dentboard and has been CEO of Andrena since 2016. He has extensive experience in electrical engineering and studied at Princeton University. James Smits is a co-founder and COO of Andrena, previously serving as a venture capital partner at KohFounders and Beta Bridge Capital, and as a business development associate at Banyan Water and a mentor in the Melbourne University Accelerator Program. He graduated from Princeton University with a degree in Economics and Environmental Studies. The DAWN team's expertise in electrical engineering and economics provides a solid foundation for the project's technical and business development.
The DAWN project will have several noteworthy developments in the future, including the upcoming launch of validator nodes, where users can act as validator nodes by downloading a browser plugin and earn early point rewards. Additionally, as the project progresses, more hardware devices and software tools are expected to be released to support the construction of decentralized wireless networks. The distribution and unlocking of DAWN tokens will also be closely monitored, as this may affect token circulation and price trends.
4. Potential Catalysts
Latin American cryptocurrency exchange Ripio has partnered with Visa to launch a DeFi credit card that allows users to spend 30% of their crypto assets locked in Compound liquidity pools. This credit card supports multiple cryptocurrencies, including Bitcoin, Ethereum, USDC, USDT, and Ripio's stablecoin UXD, and is currently in the testing phase, with users able to apply by joining a waitlist. Ripio previously launched a Visa prepaid card supporting cryptocurrencies in 2022, offering Bitcoin cash rewards.
2. Attention Value - Hot Projects
1. Social Media Highlights
Ethereum is a decentralized, open-source public blockchain platform with smart contract functionality. With the continuous development of Ethereum 2.0 and Layer 2, it has become one of the most widely used blockchains. In July of this year, the Ethereum spot ETF was officially approved for trading. Although recent declines in $ETH due to reduced income and whale exits have been significant, the market remains generally optimistic due to its low inflation rate and strong development capabilities.
Key Projects:
· USDC
$USDC is a fully redeemable cryptocurrency stablecoin co-founded by Circle and Coinbase in 2018. $USDC is an ERC-20 token built on the Ethereum blockchain, with each token equivalent to 1 US dollar. Although $USDC currently holds a leading position in the stablecoin market, it also faces some challenges. Emerging algorithmic stablecoins like UST and FRAX are growing rapidly, and as a centralized stablecoin, $USDC carries certain concentration risks.
Recently, the Layer 1 blockchain Sui Network announced it would integrate native $USDC into its ecosystem. This integration aims to support magnesium-backed digital applications in DeFi, gaming, and e-commerce, providing users and developers on Sui with a more seamless experience.
2. Smart Money Accumulation
· Smart Money Holdings
Source: ChainEDGE, Dot Labs
Project Overview:
1. ANDY(@andycoinonerc /X)
$ANDY is a meme coin based on the Pepe frog animation IP, launching simultaneously on the Ethereum and Solana blockchains in 2024. $ANDY is issued on both Ethereum and Solana, with good liquidity. Within less than 20 days of its launch, the number of holding addresses reached 3,269, with a current market cap of approximately $32 million and liquidity in the Ethereum pool reaching $1 million, standing out in the meme coin craze.
2. $michi(@michionsolana /X)
$michi is a cryptocurrency based on the Solana blockchain, designed to combine meme culture with a community-driven economic model. The design of $michi is inspired by a cute cat image, aiming to attract a wide user base, especially enthusiasts of meme culture.
· Smart Money Inflows
Source: ChainEDGE, Dot Labs
Project Overview:
1. FIGHT(@Fight2Maga /X)
$FIGHT (FIGHT TO MAGA) is a cryptocurrency token based on the Ethereum blockchain, inspired by former US President Donald Trump's "FIGHT!" slogan. The token was launched after Trump faced legal challenges, aiming to motivate supporters to fight for their beliefs, reflecting the intersection of politics and cryptocurrency.
2. FWOG(@solfwog /X)
$FWOG is an emerging token in the Solana ecosystem, primarily noted for its community-driven characteristics and high volatility. As a meme token, FWOG quickly gained traction in the market, especially showing significant price fluctuations shortly after its launch. The token itself is frog-themed, continuing the animal style of well-known frog-themed tokens like PEPE and Bome, while its artistic style incorporates elements from popular anime IPs like "Dragon Ball."
3. Attention Value - Sector Rotation
- Hot Sectors
Source: Dune, Dot Labs
Source: Dune, Dot Labs
- Internal Sector
Source: Dune, Dot Labs
