1confirmation Newsletter - Issue #53
The term "cryptocurrency" is widely used to define the category but it's a bit of a misnomer. Most cryptocurrencies like BTC and ETH resemble commodities more than they resemble currencies; they're fungible goods, but they're not used as a medium of exchange. Our view is that any cryptocurrency with a fixed money supply intended to be widely used as a medium of exchange is unlikely to gain adoption for the foreseeable future.
In the past year, the Dai stablecoin enabled by MakerDAO has emerged as a a true crypto-native medium of exchange. Read about the big 2018 MakerDAO had from a financial perspective in this report from a community member.
Required reading this week
Superfluid Collateral in Open Finance — tokeneconomy.co
Dan Elitzer describes what could happen if the idle collateral locked up in open finance becomes a source of additional liquidity.
Uniswap: A Good Deal for Liquidity Providers? — medium.com
Great article that explains the returns for liquidity providers on Uniswap.
Zether: Towards Privacy in a Smart Contract World
Benedikt Bünz and other researchers published Zether, the first privacy mechanism built specifically for account-based smart contract platforms like Ethereum that hides both the sender/recipient and the amount.
Crypto Bills, 116th Congress — docs.google.com
Coin Center tracks the current status of 11 federal legislation that mentions, or relates to, cryptocurrencies.
Algorithmic Trading in Crypto — medium.com
Kevin Zhou explores the design and implementation of trading algorithms in the crypto space, particularly focusing on execution algorithms, market making algorithms, and several market microstructure considerations.
SEC’s Action Against Decentralized Exchange Raises Constitutional Questions — www.eff.org
EFF sent a public letter reminding the SEC that writing and publishing code is a form of protected speech under the First Amendment.
1confirmation portfolio reading this week
Kabam and esports veteran Kevin Chou turns to blockchain games with Forte startup — venturebeat.com
Gaming executive Kevin Chou announces Forte, a new company to tackle blockchain gaming and fund game developers and technologists.
Opera and OpenSea Collaborate on Browser-Integrated Cryptocollectible Experience — medium.com
OpenSea partners with the Opera Browser to support the collectibles in their browser-integrated crypto wallet.
Q1 2019 Roadmap — Update — medium.com
bloXroute gives a Q1 2019 roadmap update on its progress over the last two months. They are close to launching Version 1 of the BDN.
Veil weekly updates: February 25, 2019 — medium.com
Veil recaps the outcomes of The Oscars prediction markets and lists new markets on the amount of ETH locked up in Uniswap and Compound.