Bitcoin (BTC)

• Bitcoin reached a new all-time high during the recording, hitting $113,820. The hosts noted it was good to finally break out of the $100k - $110k range.
• A significant event was a Bitcoin whale moving $8.6 billion worth of BTC from an address that had been dormant since 2011.
• There was much speculation on the reason for the move:
  • Security upgrade: Early Bitcoin addresses are more vulnerable to potential quantum computing attacks.
  • Release from prison: Rumors circulated that it could be related to Ross Ulbricht of the Silk Road.
  • US Government purchase: A rumor suggested the US government, under Trump, was making a large Over-The-Counter (OTC) purchase for a strategic reserve. This was dismissed as a rumor.
• The hosts view this kind of event as "free advertising for Bitcoin" because it highlights the network's ability to move massive value instantly.
• Jack Dorsey's company introduced a new open-source app to send Bitcoin peer-to-peer using only Bluetooth, without needing an internet or cellular connection. This is seen as a cool, niche use case for authoritarian-resistant transactions.

Takeaways

• Bullish Sentiment: The price action is strong, breaking previous resistance levels and setting new all-time highs.
• Network Robustness: The movement of a massive, decade-old stash of Bitcoin demonstrates the network's power and security, which can be a positive narrative driver.
• Long-Term Innovation: Niche developments like Bluetooth transfers show continued innovation in the Bitcoin ecosystem, focusing on censorship resistance.

Ethereum (ETH)

• The price was on the move, hitting $2,820. The ETH/BTC ratio was also up about 7-8% on the week, meaning ETH was outperforming Bitcoin during this period.
• There is a "massive sentiment shift" towards being bullish on ETH. Even traders who typically don't focus on ETH are now expressing bullish views.
• ETF Inflows: ETH ETFs saw $211 million in net inflows on one day, nearly matching Bitcoin's $215 million, despite ETH having a much smaller market cap. This is considered very bullish.
• The Narrative Shift:
  • Mainstream financial news outlets like CNBC and Bloomberg are featuring ETH-focused discussions with figures like Joseph Lubin and Tom Lee.
  • A Fidelity report titled "Blockchains as Emerging Economies" was highlighted, which frames Ethereum's economy in terms of GDP and its asset, Ether, as a store of value and medium of exchange.
• ETH Treasury Companies: A major driver of bullish sentiment is the emergence of public companies creating ETH treasuries. This is seen as a race to acquire ETH.
  • Sharplink (SBET): Holds nearly $600 million in ETH.
  • BitDigital: Holds close to $300 million in ETH.
  • BTCS: Holds $15 million and announced a plan to purchase $100 million more.
  • Tom Lee: Is launching a new vehicle with a planned $250 million buy.
  • Game (GAME): A gaming company involving streamer Ninja announced an intent to purchase $100 million in ETH.
• Potential Risks/Concerns:
  • One host expressed concern that narrative and storytelling could "paper over cracks" in Ethereum's fundamentals, specifically the Layer 2 value capture problem.
  • The concern is that while Layer 2s like Base generate huge transaction volume, very little value flows back to ETH, the asset.
  • There is a call to not lose focus on the technical roadmap (like base and native rollups) to ensure long-term sustainable value.

Takeaways

• Strong Bullish Sentiment: There's a palpable shift in market sentiment, driven by institutional adoption, positive media coverage, and the new trend of ETH treasury companies.
• Supply Squeeze Potential: The combined buying pressure from multiple ETH treasury companies could significantly impact ETH's supply, as they may absorb all newly issued ETH and more. The hosts note "something's got to give" and show up in the price.
• Positioning is Key: The hosts referenced historical ETH price charts, noting that when ETH decides to move, it "moves in a hurry." The implication is that investors need to be positioned before a major price move happens.
• Long-Term Watch Item: Investors should monitor the progress on Ethereum's technical roadmap, particularly solutions that improve value capture for ETH from Layer 2 activity, as this is crucial for the long-term investment thesis.

ETH Treasury Stocks (e.g., SBET)

• These are publicly traded stocks of companies that are building up large treasuries of Ethereum.
• They were highlighted as a potential way for investors to get exposure to the ETH theme, possibly in traditional brokerage accounts.
• These stocks have been performing extremely well. The hosts noted that ETH treasury companies were up between 15% and 50% in the past week.
• One host mentioned buying SBET when sentiment was negative and is now up 80% on the position.

Takeaways

• High-Beta Play on ETH: These stocks appear to be a leveraged bet on the success and price appreciation of Ethereum. Their price movements have been more volatile and pronounced than ETH itself.
• Alternative Exposure: For investors who may not want to hold crypto directly, these stocks offer a way to invest in the Ethereum ecosystem through traditional markets.
• High Risk: As a leveraged play, these stocks likely carry higher risk than holding ETH directly. Their performance is tied not only to the price of ETH but also to the specific company's execution and market sentiment.

Pump Token (PUMP)

• Pump.fun is launching its PUMP token via an ICO starting Saturday, July 12th.
• The ICO price implies a $4 billion valuation. The private sale was completely sold out.
• Tokenomics: 25% of Pump.fun's platform revenues will be used to buy and burn the PUMP token, giving it a direct link to platform success.
• Goal: The project's stated ambition is to "kill Facebook, TikTok, and Twitch" by creating a tokenized streaming platform competitor. They have raised significant funds ($700 million from private investors) to attract big streamers to their platform.
• Host's Take: One host is not a buyer, calling it "not my thing." However, he believes the price will likely end the week higher than $4 billion due to hype, though he expects initial volatility as early investors may sell.

Takeaways

• High-Risk, High-Reward: This is a speculative bet on a new social media and streaming platform trying to disrupt massive incumbents. The token's value is tied to this ambitious goal.
• Watch for Volatility: The hosts expect significant price swings in the first few days of trading as tokens from early investors unlock.
• A Bet on a New Model: Investing in PUMP is a bet that a token-based incentive model can successfully compete with traditional Web2 social media platforms.

Solana (SOL)

• The Solana ETF in Canada saw $75 million in inflows in its first week, which was described as "respectable."
• BitMining, a mining company, is converting into a "sole treasury" and raising up to $300 million to support a Solana-focused stock, similar to the ETH treasury trend.
• A potential negative sign was mentioned: Phantom Wallet, which originated as Solana's primary wallet, chose to integrate Hyperliquid (an Arbitrum-based platform) for perpetuals trading instead of a Solana-native option like Jupiter. This was seen by some as a "loss for Solana."

Takeaways

• Growing Institutional Interest: The respectable ETF inflows and the creation of a Solana-focused treasury company indicate growing interest from traditional finance.
• Competitive Ecosystem: The Phantom Wallet decision highlights the intense competition between blockchains. Wallets and applications are becoming "super apps" that will integrate the best product regardless of which chain it's on, which could be a headwind for chains that don't have best-in-class apps.

Hyperliquid (HYPE)

• Hyperliquid is a decentralized perpetuals exchange that was just integrated into the popular Phantom Wallet. This is a major development, as it makes the platform much more accessible to a large user base.
• The hosts discussed its valuation, noting a $14.3 billion price and a $43 billion fully diluted valuation (FDV).
• One host compared it to the "next generation version of BitMEX," a historically massive crypto derivatives exchange.
• Despite the bullish case, the host was hesitant to buy the HYPE token due to concerns about large upcoming token unlocks, which could create selling pressure.

Takeaways

• Bullish on Adoption: The integration into Phantom Wallet is a significant catalyst for user growth and trading volume on Hyperliquid.
• Valuation and Unlocks are a Concern: While the platform is promising, the high fully diluted valuation and upcoming token unlocks are key risk factors for potential investors to consider. This could lead to price volatility or downward pressure in the future.

Investment Theme: Tokenized Stocks

• This is an emerging theme of bringing real-world stocks onto the blockchain.
• Regulatory Scrutiny: Regulators in the EU are questioning some current models. SEC Commissioner Hester Peirce also published a speech urging caution, warning that some current structures (like Liechtenstein-based SPVs) are likely illegal and not good for investors.
• Product Quality Varies: The hosts distinguished between "bad products" that are not truly 1-for-1 backed and trade at a discount/premium, and the "right way" to do it.
• A Compliant Path is Coming: It was suggested that Robinhood (HOOD) is working on a compliant model in the EU. Furthermore, an expert guest believes a fully regulated, one-to-one backed, compliant model for tokenized stocks could be available in the U.S. by the end of the year.

Takeaways

• Huge Potential, Early Days: Tokenized stocks represent a massive potential market, but the current landscape is risky and filled with products of varying quality and legality.
• Regulation is the Key Catalyst: The future of this sector depends entirely on a clear, compliant pathway blessed by regulators like the SEC. The news that this may be coming by the end of the year is a major potential catalyst.
• Be Cautious with Current Offerings: Investors should be extremely careful with current tokenized stock offerings, as they may carry significant regulatory and structural risks. Waiting for regulated products from major players like Robinhood may be a more prudent approach.