Consider depositing capital into the LIDAR Liquidity Vault (LLP) to earn yield and potential airdrop points, as direct trading to farm the upcoming LIDAR token is now highly competitive. For a core long-term holding, Mantle (MNT) is a high-conviction investment based on its strong fundamentals and valuation. A key strategy is to focus on airdrop farming by actively participating in new protocols before their tokens launch to the public. More advanced investors could consider shorting a small basket of overvalued tokens like SUI on platforms such as Variational to hedge risk and simultaneously farm for future airdrops. Keep an eye on the invite-only platform Variational, which is highlighted as the next major airdrop opportunity after LIDAR.

LIDAR (Pre-Launch Token)

• The speaker is extremely bullish on the upcoming LIDAR token launch and airdrop, anticipating it will be his largest ever, potentially exceeding $1,000,000.
• He believes LIDAR has the potential to become the #2 perpetual futures exchange (perp dex) in the crypto market, right behind Hyperliquid. He does not believe it's a "winner-takes-all" market.
• Key differentiators for LIDAR include: being a CKL2 (a type of blockchain scaling solution), having no fees, and likely listing more assets as collateral than competitors.
• Valuation Speculation:
  • Over-the-counter (OTC) desks are pricing LIDAR points at roughly $100 each.
  • The speaker believes this is "way too cheap" and that points could be worth $250 - $300 each. His reasoning is that a $100 price implies a $4 billion fully diluted valuation (FDV), which he considers too low compared to competitor Hyperliquid.
• Farming Strategy:
  • While trading on the platform to earn points has become very difficult due to high competition, the speaker is "farming the farmers."
  • He deposits capital into the LIDAR Liquidity Vault (LLP), which provides liquidity to traders on the platform. This strategy profits from the trading activity of others who are trying to earn points.
  • His $248,000 deposit into the LLP grew to $261,000 in about a month.
• Upcoming Catalysts:
  • Season 2 of the points program is starting.
  • A spot exchange is expected to launch around December, which is necessary for the LIDAR token to be listed and traded.
  • The speaker anticipates a memecoin airdrop for point holders before the main token launch, similar to what Hyperliquid did with its Purr token. He plans to buy this memecoin as early as possible and hold it.

Takeaways

• LIDAR represents a significant, albeit speculative, investment opportunity focused on airdrop farming. The speaker's sentiment is overwhelmingly bullish.
• For those already farming: The speaker suggests holding onto the eventual airdrop and any associated memecoins, as holding them may lead to earning even more points.
• For new investors: Direct farming of points through trading is now very competitive. A potential alternative is providing liquidity to the LIDAR Liquidity Vault (LLP) to "farm the farmers," though this may have deposit caps for users without enough points.
• Keep an eye out for the launch of the spot exchange and a potential memecoin airdrop as key events leading up to the main token launch.

Investment Theme: Airdrop Farming & Portfolio Strategy

• The speaker advocates for a "Humble Farmer" approach, stating that the primary "edge" for retail investors in crypto is no longer just buying coins on exchanges, but actively participating in on-chain activities to earn airdrops.
• The Playbook: New projects launch tokens at very high valuations. The strategy is to "farm" these tokens for free before they launch and then sell them to the market hype.
• "Farming the Farmers": A key strategy mentioned is to provide liquidity to perpetual exchanges (like LIDAR's LLP or JLP on Solana). This allows you to earn yield from the trading fees generated by other users who are aggressively trading to farm points.
• Long/Short "Humble Farmer" Portfolio:
  • Hold 50% of the portfolio in stablecoins to reduce risk and earn yield.
  • Hold 30-60% in a spot portfolio of "good coins" you believe in long-term (like his Mantle position).
  • Use a smaller portion of the portfolio to short tokens you believe are overvalued "vaporware." This acts as a hedge against a market downturn and can also be used to farm points on new perp dexes that reward trading activity (like Variational).

Takeaways

• Consider shifting focus from simply buying tokens on exchanges to actively participating in on-chain ecosystems to earn airdrops, which can offer better risk-reward opportunities.
• A balanced portfolio can include core holdings, a large allocation to yield-bearing stablecoins, and a "farming" component that may involve both long and short positions to generate alpha and hedge risk.
• Shorting overvalued tokens with high inflation can be a dual-purpose strategy: it acts as a market hedge and can earn points for future airdrops on platforms like Variational.

Short Basket (SUI, Royalty Fi, XPL)

• The speaker is actively shorting a basket of tokens he believes are fundamentally overvalued, have high token emissions (inflation), or are "vaporware."
• He gets paid a funding rate (e.g., 50% on XPL) for holding these short positions, meaning longs are paying shorts.
• Specific Shorts Mentioned:
  • Sui (SUI)
  • Royalty Fi (which he calls "definitely vaporware")
  • XPL (the farm token for the Plasma ecosystem)
• His strategy is to start with small short positions and "dollar cost average up" by adding to the short if the price of the token pumps further.
• Shorting XPL also serves to lock in profits from his XPL farming activities, as he is effectively pre-selling his future farming rewards at the current price.

Takeaways

• Advanced investors could consider building a small "short basket" of tokens perceived as highly overvalued, especially those with high inflation and questionable utility.
• Platforms like Variational allow you to get paid for shorting certain tokens while also farming points for a potential future airdrop.
• This is a high-risk strategy that requires a strong understanding of market dynamics and the specific tokens being shorted. The speaker himself notes he is starting with small size.

Other Assets & Opportunities

• Mantle (MNT): The speaker is "really bullish" on Mantle based on its valuation and fundamentals. It has performed well and is a core holding in his spot portfolio.
• USDAI (Stablecoin): He successfully farmed USDAI on the Pendle platform, earning over 45% APY plus points. He also made a $4,000 profit on a $200,000 position by selling the stablecoin when it traded above its $1 peg. He still considers it a good farm.
• Variational (Pre-Launch Platform): An invite-only perp dex that is "pre-points." The speaker believes this will be the next major airdrop farming opportunity after LIDAR and is using it to execute his short strategy.
• JLP (Jupiter Liquidity Pool on Solana): Described as a "fantastic product" for earning yield. However, the speaker recently rotated out of his position because he feels the Solana (SOL) ecosystem is getting "heated" (i.e., potentially overvalued or crowded).
• Apex (APEX): The speaker is bearish on Apex. He bought some but is not a fan and plans to sell his position.