Best performing assets | Major News | NEWBIES: Lesson 0

Disclaimer: I am not a financial advisor, everything on this report is financial opinion. Please consult your financial advisor before participating in crypto

Overview

• Intro
• Best Preforming Assets of 2021
• Major Crypto News
• NEWBIES’ lesson of the day: Lesson 0: What is a crypto currency

Happy New Years readers!

Resolutions are in line, and we begin 2022 with a clean slate.

Crypto/digital assets are beginning the stages of transforming our digital lives. If you’re here to find investments, education, or just curious, I believe that anyone can benefit from learning the field this year.

Inspired by recent conversations, this newsletter will alter the approach to the NEWBIES lesson this year, which remains the most popular section.

The lessons will begin with the assumptions the reader has no prior experience with crypto/blockchain/digital assets and will begin transforming the reader into a knowledgeable advocate. Nevertheless, reading this section will benefit everyone.

The overall goals of the newsletter:

1. Keep the reader informed with current markets, trends, and developing narratives

2. Educate new participates

3. 5–7 min in length

If you don’t already follow the newsletter, the typical daily layout is as follows:

• Main Theme
• Market Update (charts and data, daily performance, weekly performance, etc.)
• Market insight (explanation of market action and developing narratives)
• Major daily crypto-related news
• NEWBIES’ lesson of the day (a short study for individuals who have little to zero crypto experience)

Since the market remains quiet, let us begin 2022 by looking at the best-performing sectors and assets from last year.

Best performing assets of 2021

Smart contract platforms, shared computing, and gaming were the top-performing sectors of 2021.

Smart Contract Platforms

Ethereum’s high gas fees opened the door for many competitors, and they came in hard and fast. Ethereum controlled 97% of the market on Jan 1st, 2021, and ended the year at 62%, losing 35% of Total Value Locked (TVL) superiority.

Despite the issues, Ethereum (ETH) was up +288% for the year and remains one of the least risky investments in crypto.

In turn, expect further superiority to be conceded to competing platforms. Ethereum Scaling solutions will siphon a lot of traffic and funds in 2022 as well. (Polygon, Loopring, OMG network, etc.)

Ethereum 2.0 looks to unveil in late 2022 or early 2023. Ethereum 2.0 will alter the dominant smart contract platform from Proof of Work (PoW) to Proof of Stake (PoS) and significantly lower gas fees.

Shared Computing and Internet of Things (IoT)

This sector is the most consistent in 2021 and will continue as Web3 as the decentralized computer infrastructure continues to be constructed. Therefore, finding good projects in this sector will allow steady growth in the portfolio.

Gaming

Gaming and NFTs are the simplest and quickest method to onboard users into crypto. As the path of least resistance, the gaming sector will be highly competitive to include metaverses, gaming, and NFTs. Significant gains can and will be made in gaming but carry considerable risks, especially with smaller projects.

Axie Infinity (AXS)

With a move onto its blockchain named Ronin, which as of recent bolsters a Decentralized Exchange (DEX), Axie remains the top gaming platform in 2022.

Axie Infinity is yielding citizens in developing countries another source of income. Primarily the Philippines. Axie Infinity users can secure $10-$20 a day playing for a few hours. Axie has kicked the door open for Play-to-Earn games and has many slated updates in 2022.

Centralized and decentralized exchanges

Major Crypto News

• Square Enix CEO reveals plans for metaverses and NFTS in a public New Year’s letter. This is important news for the centralized gaming sector. The move is unpopular amongst fans but expect competing gaming firms to follow when the benefits to users and companies unfold.

• Bank of Jamaica has completed its CBDC pilot with a targeted rollout of early 2022.
• Samsung will be releasing smart TVs with an NFT marketplace. The beginning of big enterprises entering the NFT space.

 

NEWBIES lesson of the day: Lesson 0

The simplest definition of cryptocurrency

 

 

Photo by Vlad Bagacian on Unsplash

“The journey of a thousand miles begins with one step.” Lao Tzu

 

 

Cryptocurrency is similar to any real-world currency but contains a few key differences.

 

Imagine a dollar is like a bitcoin. A dollar is divisible into 100 pennies, and a bitcoin into 100 million satoshis (sats). 1 sat = 0.000000001 bitcoin.

100 satoshi are currently worth 0.04727986 USD.  

Dollars display a serial number. When deposited into a bank, they are tracked and reported to the central bank and government.

Bitcoin contains a serial number similar to cash. The name for a bitcoin serial number is “hash.”

Here is an actual bitcoin seriel number: ffa612c83142d5aa936b38105e8a80d8f6e29aa363ba5eb290b914457ce5b8fb    

Bitcoin exists on accounts dubbed wallets. Comparable to a bank account, it contains a unique number too. However, unlike bank accounts, any individual with an internet connection can create a wallet, and no personal information is ever required. The contents are 100% in possession of the wallet owner if the wallet owner possesses the key.

In contrast, money deposited in a bank account is no longer in possession of the owner. Instead, the bank owns the funds and often utilizes the contents for various profitable endeavors, such as mortgage loans.

 

Bitcoin only exists inside of wallets. A wallet is accessible with a key mentioned above, liken a password. Wallets are extraordinarily secure, and there have been no known hacks into individual bitcoin wallets without possession of a key.

 

Bitcoin (and cryptocurrency) allows individuals to become their own banks with the trade-off of being solely responsible for their funds. Because of this, there are responsibility downsides, but there are tremendous upsides we will explore in future lessons.

 

“Bitcoin is amazingly transformative because it’s the first time in the entire history of the world in which anybody can now send or receive any amount of money, with anyone else, anywhere on the planet, without having to ask permission from any bank or government.”

– Roger Ver

I hope you like the new changes, feel free to drop me any suggestions that may improve the newsletter.

Also, the Qredo review should be complete this week. This project has big potential in 2022. Keep an eye out for the report!

Thanks for reading fam!

Gabi

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To reap the benefits of this newsletter it’s recommended to read it every day to stay in tune with crypto markets. It will put the reader in the 2% of market participates that are well informed. The reader will begin to see opportunities that are not apparent to most and will open up many more. The newsletter is composed of many hours of daily research in charts, on-chain metrics, news, and developing narratives condensed to a 5-minute update. It’s my contribution to a crypto community that has contributed so much to me.