BITCOIN’s Getting SOLD For These LowCap ALTCOINs!!

BITCOIN this, bitcoin that, buy BTC…BTC,
BTC, BTC and BTC. Sound similar, does it sound like what everyone
is talking about!? Well get ready for something different jarheads,
cuz it’s time for Chico Crypto! BTCs all over the airwaves because it’s
doing really well, shattering expectations over the past 2 months, rising basically nonstop
from 10k to over 18k once again as of yesterday. An 80 percent increase, in just 60 days. BTC is on literal fire. But, But, But, But….there is data that says,
hey maybe there’s bigger opportunities that lie somewhere else. So there is a nice little open source tool,
called btc-on-ethereum.com. It tracks bitcoin that is being moved over
from the bitcoin chain to the ethereum chain. And nearly 152,000 BTC have been moved to
ethereum, and it’s been a blast off since August of this year. Out of the total BTC supply, that will be
ever made, 21 million, that is nearly .73 percent of the total supply, with most of
that coming over the past 3 months.

But if you account for the lost coins, it’s
actually estimated to be over 1 percent of the total supply. Ethereum’s DeFi is swallowing up BTC, faster
than anyone could have anticipated. Now here is a very interesting figure, which
makes me oh so bullish on ETH. So, what if a 1 percent move of the total
supply of BTC ,moves to the Ethereum chain, per year from 2020 and beyond? By 2025, 5 percent of the total BTC will be
locked, and by 2030 10 percent of all BTC will be locked. And 1 percent might be a low estimate. BITCOIN UTXO, bitcoin unspent transaction
output, it’s what wallet’s have left after doing a bitcoin transaction, and it’s the
part of the transaction which keeps the ledger balanced. It says this wallet has this much left, unspent
with each and every BTC transaction. Thus you can use UTXO, to see BTC that’s
just sitting there, not moving. AKA, it’s being held, not used. So here is the BTC UTXO age distribution chart,
it shows the percentage of BTC, and how long it’s been held in the last wallet.

As we can see over 22 percent of the BTC has
been held over 5 years, 3-5 years, 14 percent, 2-3 years 12 percent, 1.5 years to 2 years
10 percent, and 1 year to 1.5 years, is over 11 percent. So adding that all up, nearly 70 percent of
all BTC hasn’t moved in 1 year, or over. So, some of you are like hey, isn’t this
bullish for BTC?? Yes, it is, holding an asset for a long time,
and not adding it to the trading supply, is a bullish sign, just based on supply and demand. But that means, 30 percent of the BTC has
been moved in under a year. And 1 percent of that move in the last year,
with a bulk of it in the last 3 months was to Ethereum. So here is where things get interesting, those
BTC, moving to Ethereum, are usually gonna be there for some time, to earn interest,
and stay..so eventually a large bulk, will turn into 1+ year, UTXO transaction age, That will “look” good for BTC, in the
charts, but in reality it’s not, not at all…unless BTC embraces ETH as a layer 2
but in my opinion that’s not happening.

So why’s it bad? Well based on it’s proof of work algorithm,
you have to keep the miners happy. BITCOINs inflation rate is currently about
1.8 percent, after the next halving in 4 years, it will be less than 1 percent per year….remember
I said, Ethereum may be taking 1 percent of the BTC per year, so by 2024, 4 percent will
already be there, and now it’s taking more than the inflation rate too and the miners
rewards? That’s not good, especially as time goes
on, 2030 issuance on BTC will be under half a percent and upwards of 10 percent of the
supply could be on Ethereum. And the longer time goes on, more Ethereum
could be moved, while issuance gets closer to zero and the miners rely more on onchain
activity, aka transaction fees. Well guess what? Activity might not be happening on Bitcoin,
it might be happening on Ethereum, and that bitcoin will be locked, not moving. Like I said….that’s not good as time goes
on. So obviously, if this trend continues, who
do you think would be the better long term bet? Ethereum… BITCOIN on Ethereum, a hot topic which leads
me right into the sponsored segment of today’s video, supported by the DAO, decentralized
autonomous organization, PIEDAO and like always the full details of the agreement can be found
in the description.

Now, I’m excited about this sponsorship,
#1 I’ve covered PIEDAO and their DAOs products before, back in April, specifically something
to do with Bitcoin on Ethereum, called Bitcoin ++ which we will get into again and #2 this
sponsorship is a product of decentralized governance and DAOs. So PieDAO is the a top Aragon based DAO, and
actually a top DAO in this sector, they have the second most assets under management according
to DAO tracking site, deepdao.

But look at membership, compared with others
around them like mstable or airlab, they have over 2100 dao members, compared with their
8 & 11. Much more robust, and puts much more of the
decentralized in decentralized autonomous organization. So this DAO, they actually voted on doing
this sponsorship. As we can see, here is the proposal in the
Aragon client voting dashboard, digging into it, we can see the payment for the sponsorship,
was voted on by the DAO members, and I needed to hit metrics for it to succeed, over 60
percent relative support, and hit the 10 percent minimum approval threshold…Did I do it? Did I win support? Well obviously, checking it out, I hit the
metrics and the proposal passed.

And the beauty of this, discussion’s happen
during the voting periods on the forums, tagged to my proposal, so people can say, ya let’s
do it, or no Chico sucks. And why. PieDAO exemplifies the beauty and future of
distributed organizations, and how funds are dispersed from them, live and progressing
in Action. So let’s now get into the PIEDAO, DeFi products,
what are they offering to the DeFi space. Well BTC++ is a piece of the pie, so what
is that?? Well bringing over your BITCOIN to ethereum,
it’s risky. There is the potential for hacks or rugpulls
with centralized entities getting centralized wallets emptied and with decentralized entities,
you have the potential for hacks through smart contract exploits, defi exploits like flash
loan attacks & more. BTC++ was made to spread out that risk of
BITCOIN on Ethereum. Itis balanced pools of top ethereum based
bitcoin assets, 4 right now, wrapped into 1 token.

So you don’t put all your eggs into one
smart contract basket, but multiple. Spreading out risk.Now BTC++ was just their
first product, they have launched more portfolio’s wrapped inside of a single token, and this
can be found at the app dashboard, pools.piedao.org, and of course the link for this is in the
description. The new pies include DeFi+L, Large Cap exposure
to top DeFis top projects like compound, aave, link, yearn & more. DeFi +S, smaller cap exposure to projects
like UMA, REN, Loopring, Balancer and more.Then they also have a 50-50 weighted pie, of those
two pies, called DeFi++, and they also got out, their risk adjusted stablecoin out, called
USD++, which contains UDSC, TUSD, DAI and SUSD again spreading out stablecoin risk.

Now, I’m sure some of you are like hey,
this sounds pretty similar to the set protocol, and their token index’s..and you are correct. The two kind of spun out of eachother…with
the launch of the Index Coop in October, someone asked why not PIEDAO? And Felix Feng, CEO of setprotocol said, Haven’t
really looked into PieDAO. Seems like they have a similar vision / thesis. Always good for customers if the market has
multiple vendors. Which is true, but the Alexintosh came in
and said “We spoke on October 2019 during the concept phase of PieDAO, again on June,
you know we did a testnet on SetProtocol (github check) In June, you informed us rebalancing
multiples assets was not possible yet and still far away + you had to whitelist the
assets. A little crypto index token drama? Well competition is a good thing, but if Set
Protocol and DeFi pulse got their ideas from PieDAO, give credit where credit is due.

Although, PIEDAO indices are currently performing
better than INDEX’s DPI, and other’s, depending on which one you choose. Here is a comparison, the DEFI+L is the best
performing, over 77 percent returns, then synthetics defi index, sDeFi at over 65 percent,
then piedaos DeFi++, at nearly 62 percent, then the DPI at just over 58 percent, and
finally the DeFI+S at just over 24 percent. And the beauty about PIEDAO’s pies versus
others, they are fully governed already, by the DAO with their governance token dough,
which gives you access to participating in the DAO’s governance votes and proposing
votes of their own….not bad slice of pie, wouldn’t you say! Now besides tokenized indices, what else within
ethereum am I bullish on…?? Well, I’m bullish on Deep DeFi integrations,
and this one actually leads us to a new token. So Kleros, I’ve brought them up, and am
a holder of their token, bullish on their decentralized dispute resolution layer.

Well Kleros just brought on a big player,
Jimmy Ragosa, former product lead and manager at Conseynsys. And now he is lead of product integrations
with Kleros, from the wide Ethereum net of consensys to product integrations at Kleros? Me thinks big plans…and Jimmy he some of
their current integrations, including Uniswap, Omen, Gnosis & more, including a picture of
the cross defi integrations, kleros plays in…but also he said “Among many others
(integrations) now and tomorrow that I will detail in dedicated threads soon.

Tomorrow as in future product integrations
and others. Well, I know of one, its OctoFi, the decentralized
finance tentacles. They tweeted this 2 weeks ago “Thanks to
Kleros_io and our inclusion in klerosT2CR, the listing process on OctoFi will be completely
decentralized. And $OCTO holders will have listing fees directly
distributed to them. The future of #DeFi is more decentralized
than you think. Then in an October blog post, they said something
that might reveal something that’s bullish for both, Kleros and OctoFi…they said this
“Now you can stay up to date with the octopus directly from coinbase. Just one of many integrations made possible
by our recent inclusion with Kleros. Which isn’t false, you can view Octo on
Coinbase, but of course it’s not supported..but this is possible only by Kleros? Is Coinbase using Kleros tech for their asset
exploration lists? How was that made possible by Kleros?? But back to Octo remember I, Deep DeFi integrations
are a good thing. Kleros is one, but they have many more. The aquafarm dapp, is deep it’s a dashboard
and tool that aggregates the thousands of DeFi opportunities, tracks them, allows you
to invest, swap and govern with them, and shows you your performance, all in one place! So OctoFi, it’s DAO governed too…they
are currently using Snapshot, to run voting, which is from Aragon and Balancer.

Although going to their wiki, Octo 101, they
do say the team is anonymous…but give their reasons, but scrolling up in 101, it says
its rug pull proof. How? Well going back to their October blog post,
about Kleros…below it says this “OctoFi has been rug-pull proofed.We locked approximately
$2.3 million with our friends at Team Finance following their audit: 200,000 OCTO from Project
Reserve locked for 1 year, with 25,000 streamed back in real-time to project over 6 months. Approx $300,000 OCTO-USDC and OCTO-ETH Uniswap
liquidity locked for 1 year. So this is a good sign, they are locking up
the team's tokens, and integrating with DeFi to eventually pay the team. 25k Octo are being streambacked to the team,
in real time to the project over 6 months.

Streambacked? What does that mean? Well it’s a solid DeFi tool…DeFi Dad on
twitter said he was thinking about moving his team payments from zapper fi, to Sablier.. And OctoFi replied, “We use Sablier quite
a bit. Fantastic tool. So the tool? I’ve covered it a few times… It allows payments to securely be streamed,
on set schedules, even by the second. So this leads weight to their vision, and
long term stay, but just like any anonymous team or protocol this is not an endorsement,
I’m investing an extremely small amount, not going all “in” and nor should anyone
else. Cheers I’ll see you next time!.

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