Qrafty heard that NFTs are worthless, Fed sees no recession and a beautiful case of insider trading!

***Qrafty smiling the biggest smile*** Aloha, crypto curious! I am Qrafty - the crypto lovin’ honey badger 🦡 !

Welcome to Coinqraft – the daily crypto newsletter for busy but curious people who don’t have time for the crypto drama!🌟

🦡   Qrafty has fresh bits from the crypto jungle, so let’s dive in: 📰 🌟

1. Surprise of the Century: NFTs Are Worthless

2. The Fed Doesn’t See a Recession

3. X Will Integrate Payments

Bonus: A Beautiful Case of Insider Trading

The FED Doesn’t See a Recession Soon

After the fabulous “higher for longer“ speech yesterday, the Fed is saying that they don’t see a recession until 2027. Maybe Mr. Powell needs better glasses… or a different perception of time? 🤭 

👇️ That’s how TradFi markets reacted yesterday to Mr. Powell’s wisdom sharing. Looks as if someone splashed some red paint there to create some abstract art. Yes, you are right… it’s just a reaction and doesn’t paint the whole picture. Markets could come back up tomorrow with a vengeance and print green.

Aside from that, average mortgage interest rates have reached 7.6%, a fresh 52 week high; this is 1% higher than 2008. You remember 2008, right?

Moving on, Default rate on credit card loans from small lenders has now surpassed the highs of: Dot Com bubble (2000), Financial Crisis (2008), Covid (yesterday).

If that wasn’t enough, bankruptcy filings have hit levels comparable to 2008 crisis and Covid.

Qrafty… what’s your point?

Qrafty’s point is to pay attention! While the people employed to keep things in balance in the economy and protect your financial wellbeing are regarded as experts in their field, that doesn’t mean they will do a good job. Or that they have your interest at heart.

If you have a hammer in your hand, you only see nails. Just a few days ago, we witnessed the Fed saying that they want to see more people unemployed in order to cut rates. Think about this for a second… really think! Bit unsettling to want to see people out of jobs, isn’t it? Makes you think who these people are really working for.

Qrafty’s point is: make sure you are covered for all scenarios. The economy and overall global situation is way more complex and unstable than it was in 2008 and 2020. And just to be clear, we are seeing the same REPO operations the Fed is doing like in 2020. So no, things aren’t looking good. Every time the consensus was for a soft landing things got bad very very quickly.

Also please consider that 2024 is election year. Qrafty is just saying this: don’t trust politicians and bureaucrats. Never!

Finally, please consider that Qrafty doesn’t want to scare you, just to inform you and prepare you ahead of time. That’s all.

🙃 Qrafty hopes that today’s main story brought brave badgery value to you! Now it’s time for a break, you deserve a bit of fun! 😇 👇️

Reality Check for NFTs

In the land of crypto the difference between the highs and lows is so big sometimes that you can’t even comprehend it. Once worth millions and regarded as revolutionary and state of the art tech, now most NFTs are worthless.

So… what happened to their value, Qrafty?

Weeell… there wasn’t a lot of it to begin with. NFTs are going through a phase similar to the one digital coins go through, which is the bear market test. It wasn’t pretty for the coins either, as 99% of the coins that were in top 10 in the previous cycle are either dead or in limbo.

The purpose of all this is for you to realize that what is being said in the market during a bull run and the underlying value are two completely different things.

Essentially NFTs are worthless JPEGs. Not most of them, pretty much all of them right now.

Qrafty… you’re are bit mean.

That’s true! Qrafty is indeed a bit mean because of all the lies that has been going on about NFTs. This isn’t about crypto bros and Twitter degens, this is about theoretically reputable traditional media outlets who have shilled NFTs and presented them as the second coming of Jesus during the bull market phase.

Only to find out later that they were paid to do so. NFTs have failed to show a real mechanism of storing/offering value until now. To most, that is painful to hear. But it’s the truth.

The companies operating in this area need to step up and do a LOT more than rugpulls and cheating their fan base while laughing all the way to the bank. A LOT MORE!

Just to have an idea, there isn’t a single company that has a real and clear use case for NFT’s. Yes, there are many still “building“, but the open market is the true test. And right now… the market is saying that NFTs are worthless.

There is though a different perspective: maybe it’s time to buy! The question is… what? While there are several coins that one might consider buying now based on their past performance and the evolution of their ecosystem, for NFTs there’s really no way of determining their value except for the wet dreams of their follower base. That’s the hard, cold truth today. Maybe tomorrow things will change.

Tether Loading Up on Chips

Although Qrafty really loves those, this isn’t about potato chips. Mmm… chips with barbecue flavor…

Qrafty… ?

Sorry about that! So, Tether is buying $420 million worth of 10,000 Nvidia H100 GPUs!

Where do they get so much money from, Qrafty?

They print it, duh! 😂 🙃 All jokes aside, what you might not actually know is that there’s a war (another one?) in the chip manufacturing industry. And no, Qrafty wasn’t joking about Tether printing magical Internet coins. That’s how USDT comes into existence.

But this is about computer chips and the underlying battle between the US and China. Advancements in AI, LLMs and computing in general are conducive to more and more processing power needs.

But the US has recently imposed strict controls on advanced chips being exported to China and… NVIDIA made the A800 and H800 versions of the chip for… ding ding ding! You guessed it: they made those chips for the Chinese market!

So Tether got in and bought them chips for around $420 million on behalf of Northern Data, a German Bitcoin miner, for a 20% in the company, allowing them to diversify their operation from printing magic internet coins to AI and Bitcoin mining.

Friend Dot Tech Has a Clone

They say that copying is the best form of flattery… Qrafty doesn’t really know who “they“ are, but copying is really a form of admitting incompetence and fomo (fear of missing out).

Post dot tech is a copy of the above mentioned social network, built on the Arbitrum blockchain. And it seems that Post.Tech decided to give Friend.Tech a run for its money, literally! With over $1.8 million in trading volume within a 24-hour joyride, it's safe to say they've hit the big leagues.

These two apps are like peas in a pod, or more accurately, like twins separated at birth. They're all about those tokens and that sweet 10% transaction fee, which gets divvied up like a modern-day Robin Hood scheme - half for the app, half for the channel's boss.

Friend Tech is based on a points system, hinting at a potential airdrop in the future, while Post Tech is straight-up making it rain with cash rewards, and they've got a clear roadmap to their treasure trove.

Just remember, all that glitters isn't gold. These apps come with their own set of risks. These apps won't guarantee you the full keys to your crypto kingdom. If by some cosmic quirk, the Friend Tech frontend website gets hacked, well, you could be singing the blues about your potentially compromised funds.

US Congressman - CBDCs are Tools for Control

He ain’t wrong… Pair that with the abolition of cash and you have the Chinese system implemented in America. It’s literally that easy and that’s what makes it hard to believe. A good idea would be to make cash guaranteed through Constitution.

Qrafty, that kinda sounds like a conspiracy theory…

Weeell… Qrafty really hopes it just stays a conspiracy theory and doesn’t transform into a documentary. Cash has already almost disappeared in the US and most Western countries.

The rails for digital payments have already been built. It all culminates with the absolute control of currency and your financial independence. Remember, the purpose of blockchain is to be implemented so that citizens monitor how public money is spent by state institutions, NOT the other way around.

A Clear Case of Insider Trading

The trade occurred just hours prior to Cisco's announcement on Thursday, revealing the largest technology acquisition of the year: a deal in which the networking equipment giant agreed to purchase AI cybersecurity company Splunk for approximately $28 billion.

Hey hey 🙃 Qrafty hopes you are enjoying the experience here and would like to regularly get Qrafty’s letters!

If so, please click on the button below. Qrafty is really really grateful to have you here, so thank you!

Tomorrow: the day we all plan to be productive, but end up inventing new ways to rearrange our sock drawer instead!

Qrafty’s thougt of the day

Other stories

X/Twitter to integrate payments feature

X is well on its way to become a super app. Qrafty wrote about this in a previous edition, so this comes as no surprise. Next step? X becomes a huge P2P exchange for both fiat and crypto.

eToro registers in Cyprus to expand in EU

eToro intends to move into the EU so they registered in Cyprus to prepare their move for expansion.

Investor loses $4.5m in USDT phishing scam

It’s nothing sophisticated really... It’s a form of loverboy, but with crypto instead of love. Basically, the scammers build a relationship with the victim and then ask them for funds or to accept a transaction. Because the victim isn’t used to verifying, it falls in the trap. This time, it was a big catch.

Binance causes ETH fees to go bonkers

Thursday morning witnessed a surge of transactions coming from Binance wallets, causing Ethereum gas fees to skyrocket. This spree of transactions came at a cost of over $844,000 for Binance. A strikingly similar event happened last year.

Coin Listings/Delistings - September 22, 2023

BitForex lists Bazaars (@bazaarsbzr) with BZR/USDT pair at 10:00 AM (UTC).

Market Whispers

Seems like BTC is sensitive when it comes to unemployment rates in US, maybe because it knows that if the unemployment raises there will be no money left for pump...

Anyway, despite the overall drop in all TradFi assets, Bitcoin held Monday low, at $26,377. We can count this candle as a re-test of the S/R. Looking forward to hold 26.5k!

Qrafty ends channeling his inner trader.

Today is INTERNATIONAL ESCAPOLOGY DAY!

That’s all from Qrafty 🦡 for today! Qrafty thanks you and wishes you to live each moment as if you are listening to the music you love most!

If you enjoyed Qrafty’s letters, you can make Qrafty mucho happy happy and subscribe below 👇️ Wahaha!