David Stancel

Investing in Times of War

Decentralized

Censorship-resistant

Permissionless

Pseudoanonymous

Transparent

Predictable

The case for crypto

Decentralized

Censorship-resistant

Permissionless

Private (?)

Transparent

Predictable

Portable

Open Source

Trust-minimizing

Composable

Algorithmic

Programmable

Disintermediating

And Beyond

To Bitcoin

Total Value Locked in DeFi on the Ethereum Blockchain from August 2017 to April 2022

Value Accrual in Crypto

• artificial shortage
  • buyback and burn (Binance)
• profit-sharing (securities!)
• running the platform infrastructure
  • receiving fees (Renprotocol)
• network effect (Ethereum)
• decentralized governance (Decred, MakerDAO)
• ownership rights (NFTs, STOs)
• PoS with slashing (Cosmos)
• forced token utility
  • In-app currency (Celsius -- hard to do)

Investment Opportunities in Crypto

• Gambling
   
• Value Investing
   
• Speculation
   
• Lending
   
• Staking
   
• Liquidity Porvision
   
• Airdrops

To Bitcoin

Synthetic Stocks

Risks

• Smart Contract Risk
  • Buggy code --> loss of $ 
• Design flaws
  • Within a dapp
  • When interacting with other dapps
  • Unintended Consequences
• Legal risks
  • Who is held accountable?
  • Accessing Dapps via Interface vs. Raw contract
  • Fitting into existing legal framework vs. rethinking the legacy frameworks

Thank you!

david@fumbi.network