Are you rich enough to Hodl?

Good morning! Welcome to The Daily Moon. Only 64 ‘agents’ controlled Bitcoin’s computing powers between 2009 and 2011. They could have easily attacked the network, as a research paper says. But it seems they really cared about the future of crypto. Even though they didn’t know each other. And the rest is history.

Wealthy HODL BTC

What’s the benchmark for wealth? It’s whether you hold crypto. Over 50% of rich Asians hold crypto in their portfolio. And many more are eager to invest. That’s the case among Americans too.

Holding makes senseThe wealthy know the tricks. They buy crypto and hold on to these assets. Spending in a hurry isn’t their thing. A recent survey says:

• Among HODLers, 46% have an income over $100,000. And 99% of them have a bank account.

• Among spenders, 60% had an income of less than $50,000.

• Just 24% of frequent crypto transactors had an income above $100,000.

Crypto holders are simply more integrated into the financial system. That means they have a cushion to fall back on crypto flips. But regular crypto spenders won't have that luxury, since their reliance on crypto is super high.

Crypto Rich AsiansAffluent Asian investors are also going crypto crazy. About 52% of them have either crypto funds, tokens, or stablecoins in their portfolio.

• These assets constituted 7% of their total investments.

• Thailand and Indonesian investors led this growth.

By 2022 end, 73% of these investors could have digital assets in their repertoire.

There’s more companyInstitutional investors are enthusiastic about Bitcoin and are taking advantage of the bear market. The crypto asset is down ~36% since 2022 started. It has been preferred over ETH, whose investment products have lost ~$357 million so far this year. In this mix:

• So far, BTC investment funds have received $506 million.

• Grayscale leads, with 99% of its $27 billion assets under its Bitcoin fund.

• Even multi-asset crypto funds saw inflows worth $201.3 million.

While we are on Bitcoins, two US senators are introducing an industry-friendly crypto law. This bill looks to balance consumer protection with financial innovation.

A Crypto Swindle?

Noticed Fortnite’s FNT token on PancakeSwap? It’s fake. Epic Games CEO Tim Sweeney lashed out at exchanges for hosting the ‘scam’ crypto.

It’s not realFortnite’s parent company Epic Games clarified that there is no such crypto token available yet.

Sweeney is getting the company lawyers involved, ensuring that crypto investors aren’t swindled.

What’s the big deal?Fortnite isn’t any run-of-the-mill game. It has the highest global MAUs and a 350+ million registered gamer base.

Right now:

• FNT token is trading well below $0.001, down ~96% since its January debut.

• The token’s official Twitter account called it fair.

• Sweeney doesn’t think so. After all, you cannot use Fortnite’s name without prior permission.

And some meta buzzTokens aside, NFT digital land plots are selling like hotcakes. About $85 million worth of it was sold just in January this year.

Of this, Ethereum-based Illuvium Games sold 20,000 digital plots for a whopping $72 million. A Tier-1 land here costs 2 ETH or $3,700. A prime Tier-4 land costs 80 ETH or $148,000.

LIC’s Big Slip

Just three weeks after the IPO, LIC investors have lost ~Rs 1.2 trillion. The stock hit a new all-time low of Rs 751 on Tuesday before closing at Rs 752.95.

Sliding downLIC fell below the Rs 800 mark on Monday. The stock is down ~21% from its issue price. A panic selloff seems to be happening, leading to a crash in prices.

What’s the matter?Analysts point to three main factors leading to the fall:

1. Profit fall: The insurer’s Q4 net profit fell 17% to Rs 2,409 crore compared to the previous year.

2. Business mix: Most of LIC’s premiums come from with-profit or par policies. Here, policyholders get a bonus if the company makes money. It’s good for customers, but not great from a business perspective.

3. Volatility: Broking firm Emkay says there are a lot of uncertainties about LIC’s future growth.

Binance’s Troubles Mount

Binance has a situation. US regulators are investigating whether Binance’s BNB token is valid. BNB dropped ~9% to $279 levels following this decision.

What happened? The SEC is looking into Binance and its BNB token. This is because:

• In 2017, Binance debuted its BNB token. But the token wasn’t registered.

• The independence of Binance US from its parent is under question.

• There are doubts about insider trading.

This is a double whammy. Binance is already under the microscope, with the US justice department and IRS inspecting the company.

Gemini’s hit tooMeanwhile, crypto exchange Gemini is being sued for a $36 million hack. Retirement services provider IRA Financial Trust is filing a lawsuit over this theft. It says the exchange didn’t act swiftly enough. Gemini, obviously, has rejected these claims.

And that’s it for today. If this email was forwarded to you, please consider subscribing. It’s free. We’ll never show you an ad or charge you for this. We swear.

Who are we? There is a lot happening in our world. Everything has layers, and each layer has to be carefully peeled so you, the reader, know how the world of money is changing every day. That’s our promise. Help you unpeel the onions, which are the public markets in the US, India, and crypto, so that you know just a little more.