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- Another FTX Dominoe Falls!
Another FTX Dominoe Falls!
Welcome to another edition of The Scoop. The Scoop is that feeling you get when you realize artificial intelligence is just good enough to help you make more money, but not good enough to take your job (even though you know it probably will sooner or later).
The Big Scoop
It looks like we’ve got another FTX-like scenario on our hands. The stock is down nearly 70% in the last 30 days. It was trading at close to $23 per share three weeks ago and now you can have a share for less than six dollars. This is all because the company said it won’t be able to file documents regarding its financials until March 16 with the SEC.
That’s a giant red flag for a company that people were already worried about several months ago because of its crypto exposure. Just to put it in perspective how big the company’s exposure is. They’ve managed over $11 billion in assets for FTX, Binance, and Coinbase. Overall, the company has over 1600 crypto clients and many of them are brands you would recognize.
It's ultimately good for the market in the long run as this could be the last domino to fall and be a sign that the prices and the innovation surrounding Web3 will enter the summer on the up and up.
Speaking of up and up, the e-commerce world is going to benefit from Web3 in a big way and, Canadian e-commerce giant Shopify as well as artificial intelligence are going to have a lot to do with that.
So, with that said, let’s get to the news…
The News
The Development Kit for Web3 Commerce Is Out... and Shopify Is Behind It.
Here’s the Scoop on the AWESOME partnership that’s going to rock Web3 and e-com:
Commercekit and Shopify are teaming up to make it easier for sellers to connect with their buyers in new and exciting ways. One of those ways is by using NFTs to create exclusive customer groups for future campaigns. Basically, if you're a loyal customer with an NFT, you could get first dibs on sales and exclusive products!
This move could also mean big bucks for businesses, as selling NFTs could become a whole new product category. And get this - according to the U.S. Census Bureau News, 13% of all retail sales come from e-commerce. With the rise of Web3, we could see even more growth in e-commerce as merchants find new ways to engage with their audience and reward loyal customers.
Thirdweb, the team behind Commercekit, is all about making it easy for merchants to build Web3 commerce experiences. They believe the current tools available are outdated, so they're bringing something new and fresh to the table.
Jake Loo, CTO and co-founder at thirdweb, is pumped about the partnership with Shopify, saying it'll kickstart the Web3 commerce revolution. And with over 50,000 monthly active developers using their tools and nearly 10,000 active developers doing over 500,000 blockchain transactions a month, it's clear the company knows their stuff.
Alex Danco, director of product at Shopify, agrees that understanding your customers and finding new buyer segments is key to running a successful business. That's why he's stoked to partner with thirdweb to make smart contracts and Web3 wallet addresses a must-have in any merchant's toolkit.
Silvergate is in Big, Big Trouble...
Oh no!
Silvergate, one of the big players in the crypto banking industry, is in a world of trouble, maybe even existential trouble. But let's back up a bit. Silvergate actually started out in the real estate game before getting into Bitcoin in 2014 when things were wild and unpredictable in the crypto space. Silvergate became a go-to bank for institutions and developed the Silvergate Exchange Network, which allowed for crypto transactions in dollars 24/7. Big-time clients like Coinbase, Gemini, and Kraken all jumped on board, making Silvergate's woes even more frightening.
Now, the issue at hand is that Silvergate has had some serious financial losses, resulting in an $8.1 billion run on the bank in just one quarter. That's worse than the average bank that closed during the Great Depression. Yikes! And to make matters worse, Coinbase, Galaxy Digital, Crypto.com, Circle, and Paxos have all decided to stop using Silvergate, which has sent a ripple effect throughout the industry.
If Silvergate goes down, it's not just bad news for them, but the entire crypto industry. They played a vital role in the creation and burning of stablecoins, which were backed by dollars sitting in reserve somewhere. This made them a critical piece of infrastructure for the crypto ecosystem. Unfortunately, on March 3, Silvergate announced they were suspending the Silvergate Exchange Network. This means that their clients would need to keep a ton of cash on hand to pay each other, and that's just not realistic.
In the end, it's clear that Silvergate's troubles are a big deal for everyone involved. They played a crucial role in the industry, and now that they're struggling, it could lead to even more problems for crypto as a whole. Let's hope they figure things out before it's too late.
News Flash.
Chart.
One chart says it all for all you visual learners out there:
Another chart below gives us all hope given the above chart. It shows how much buying and selling via e-commerce is exploding in the United States…and obviously that’s going to be big for Web3.
Fundraising In Web3.
Although it seems the broader economic world is getting closer and closer to a meltdown, new and exciting Web3 projects are still getting the decentralization cheddar🧀.
Here’s a breakdown just some of the millions of dollars raised in the Web3 space over the last little while🧀💲🤑💸💰
Redeem is raising $2.5 million to allow you to send NFTs with your phone.
Entertainment NFT company Orange Comet raises $7 million.
DeFi project Term Finance raises $2.5 million.
Education.
Welcome to the Study Space, where the learning NEVER ends…until you DIE!!! …or until you want to go back to gaming, binge-watching, or you know, just vibing…
We have started a new Scoop-by-Scoop Guide which is simply a step-by-step guide on the most common things our users are asking to learn. This week we will be talking about MetaMask!
The Scoop-By-Scoop Guide: Create a MetaMask Wallet
MetaMask is a free, self-custodial software crypto wallet designed for the Ethereum blockchain. Used to interact with decentralized Ethereum applications, which are also known as “DApps.” In March 2022, Metamask reported it reached over 30 million active users.
It was developed by ConsenSys Inc. in 2016, and in its first form, it was available as a browser extension. Anyone with a Chrome or Firefox browser could use it to access the Ethereum blockchain.
Step 1. Add MetaMask to Your Browser
Navigate to MetaMask.io and choose “Download“. You will then need to choose your operating system, as you can see in the example below (Chrome, iOS and Android). Then click “Install MetaMask for Chrome” at the bottom of the screen.
Step 2. PIN MetaMask Extension to Your Browser
If you have chosen to install MetaMask for your browser, we’d recommend pinning the MetaMask extension to your browser. This will make things a lot easier and ensure you’re using the correct application.
Tip: If you’re using Chrome, you will see a “Puzzle icon” in the top right. Click the“Puzzle icon” and then choose “Pin” beside MetaMask.
Step 3. Create a MetaMask Account
Once MetaMask has been added to your browser, you can choose “Get Started“.
Step 4. Create a MetaMask Wallet
You will be given two options, “Import Wallet” or “Create a Wallet“. As this is the first time you’re creating a MetaMask wallet, you will need to select “Create a Wallet“.
Step 5. MetaMask Usage Data
MetaMask will request that you allow them to gather usage data to improve usability and user experience. This is optional, and you will need to decide to choose “I Agree” or decline by choosing “No Thanks“.
Step 6. Create a Secure Password
You will be prompted to enter a “New Password” with a minimum of 8 charters, then “Confirm password“, tick the box to agree to the Terms of Use and select “Create“.
Tip: It’s important to choose a secure password to protect your information and assets; one way you can do this is with a password manager such as LastPass.
Step 7. Store Your Secret Recovery Phrase
This step is very important as losing your secret recovery phrase may lose access to your MetaMask wallet. Please make sure you write down and safely secure your secret recovery phrase. Once written down, you can go to “Next“.
Step 8. Confirm Secret Recovery Phrase
You will need to confirm your Secret Recovery Phrase in order to ensure that you have written the phrase down correctly. Select the words at the bottom of the input field in the order they were in the previous step.
Step 9. MetaMask Account Created
Once you have confirmed your Secret Recovery Phrase successfully, your MetaMask account will be set up for you!
How to Add Custom Networks to MetaMask?
MetaMask was initially created as an Ethereum wallet. However, other layers 2 chains have been added to the wallet.
To add the likes of Binance Smart Chain, or the Avalanche network, follow the below steps;
Open MetaMask
Click where it currently states “Ethereum Mainnet“.
Choose “Add Network“
You will then need to complete the following for the network;Network NameNew PRC URLChain IDCurrency Symbol (Optional)Block Explorer URL (Optional)
Once you have added the network information correctly, choose “Save“.
The network will then be added to the list of networks available.
Welcome to the Study Space, where the learning NEVER ends…until you DIE!!! …or until you want to go back to gaming, binge-watching, or you know, just vibing…
Already know how to set up a Metamask? Not a problem!
Let's get into more advanced things, like how to Mint NFTs with ChatGPT:
Scoop Meme
With ChatGPT and Web3, plagiarizing is no longer plagiarizing anymore…
The Final Scoop
Alright, so another one bites the dust as far as financial institutions are concerned, but it’s all good. This was set to happen months ago when the CEO of Silvergate was on CNBC saying everything would be okay and a certain writer here at The Scoop observed with a skeptical eye.
The good news is, Silvergate just might be the last big institution to hit the fan before the 💩 turns into big 💵 for the real OGs who HODL.
Besides, Shopify is the bigger story because e-commerce isn’t going anywhere and businesses are going to use NFTs whether the average retail customer realizes it or not. The lazy way is the true way to adoption. Where nobody knows what’s happening but they just appreciate the benefits. That’s exactly what this partnership is going to do for e-commerce.
Stay Scoopy, my friends.
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Thanks again for reading and see you again next week!
See you next week!