Thoughts on the market

1. Crypto is / continues to be tightly coupled with risk assets; if risk assets sell off generally, crypto is hit even harder

2. The US regulatory situation continues to improve. People overrated the strategic reserve news. Underrating 1) SEC dropping nearly all cases against American crypto companies 2) explicit guidance that memecoins are not securities 3) pro-crypto chairs of SEC and CFTC 4) likelihood of legislation passing for a modern framework for security vs. commodity vis a vis decentralization, stablecoins, and “tokenization” (e.g stocks). This lags prices but medium term attracts new talent (critical!).

3. Infrastructure is ahead of apps — cheap / fast blockspace, flexible wallet infrastructure, mini apps, etc.

4. What will make prices go up? a) a bunch of interest rate cuts fuel risk asset prices b) Bitcoin moons, i.e. sovereign thesis c) people build apps that attract new users and capital (vs. competing for the same pool of existing users / capital)

Working on Farcaster and Warpcast. Longer thoughts at https://dwr.email

thoughts on the inflow of institutional money tying the crypto and stock market? seems like the two are joined at the hip haha